Islamic Economic, Capitalism & Socialism (a discussion with economic students)
Islamic economics in Indonesia still connoted with things transactional style of capitalist economy. The popular words that are often expressed when explaining economics such as, pressing expenses to a minimum level, to reap maximum benefit, and became a motto of economic activity. We have quite long been fed ordinances economic activity with West lifestyle that disseminates the principles of liberal and capitalistic economy. In fact, as real and in fact we have a style and a different pattern of their lives, until then conventional economic sciences was entered into the recesses of this nation's life, make life-style changes and patterns that resemble the liberal capitalistic economic community.
Community life in the liberal climate of capitalistic had no view, a philosophy and a handle on life itself obtained from the thesis, antithesis and synthesis on their understanding of the faith (read: religious) based on common sense logic. Aqliyyah power so dominant liberal society and there is no dogma that could hinder a reasonable product yield, especially adjusting the duniawiyyah life. The appeal of the religion professed and believed unable to stem the skill sense criticizing religious texts in realizing the life of the world governance. One of the most contrast phenomenal is Galileo Galilei conflict with the Church in the 17th century AD. From this skepticism toward religion appears that gave birth to prejudice on religion he follows. Then position the Western societies religion is not the role of directing the life of the world, but was born secularism which is distancing religion from human activities in both the government and the development of science. This secularism derivative brings with dichotomous understanding between religion and science. The strength of rationality, logic and empirical evidence becomes integral to recognize which develop science and technology.
Secularism can make materially prosperous, advanced in civilization and have a high work ethic, but on the other hand secularism implications for the human touch is dry, selfish, individualistic society and ignorant. From there comes the term humanism, socialism and post-positivism. Adam Smith is considered as the father of modern economics pioneer Capitalism liberalism. Afterwart, came the idea of Karl Marx which is the opposite of Adam Smith’s idea. Although Karl Marx’s thought on socialist communists is anti thesis of Adam Smith view, but both were born in the womb of secularism.
A student in a discussion arised opinion which quoted from his lecturer that Adam Smith was aware of the hands of the Lord in the practice of economic system. I asked him what is the meaning of God's intervention in this matter? Certainly understanding of Adam Smith is not congruent with the true understanding of God by Muslims which based on the Koran. God's intervention in the Western sense is actually a "godless spiritualism", similar to the adherents of communism that makes socialism as "spiritualism communism".
Both (Capitalism and Socialism) are actually possessing dichotomous view (without religion) in their worldly activity. Consequently, Capitalism and Socialism are similar despite of non identic concepts (world-oriented without the provision of eternal life in the hereafter).
Indeed, liberalism and communism equally apply to the principle of secularism which is different from Islamic principle, as a religion of enlightened humanity, an "old but it is a new religion". The Islam precept combines the power aqliyyah under the naqliyyah God’s verses and it has not been properly understood by Western society for years.
As the life value system the Quran also discusses economic issues. A number of verses in the Quran, and historically from hadith (the Prophet life) and the Islamic traditions in golden era of Islam proved that economy issues exposed comprehensively in Islamic society. Therefore, as a way of life, Islam, if it is implemented correctly, then the world problem may be solved.
Unfortunately, due to a liberal economic concept the Islamic (sharia) economy is stuck and stumbling for welfare of people. However, the world community gradually began to realize the fragility of liberal economic system. Non-Muslim scholars who study Islamic economic concept even know that the Islamic concept of the economic system is very interesting to be explored, developed and implemented. It emerges attention to economic activities based on sharia which was originally started from banking system. Islamic banks refer to the essence of Islamic values ??that are used in banking operations activities. In Indonesia, Islamic economic was begun from the estableshment of Bank Muamalat in 1994 as a banking pioneer of Islamic values whhich was followed by other Islamic banks.
Furthermore, the emerging economic activities keep continue based on sharia concepts such as in financing, insurance and financial institutions. Yet, the shadow of capitalist economic which has been embedded very long time in the nation's economic activity may still "disturb" the purification of economic concepts in Islamic perspective.
Islamic Economic growth in Indonesia is quite encouraging, though, it is still limited to the development mostly in banking and insurance. Yet, the Islamic economic has not been still thoroughly used to follow the commands of Allah in shaping the public welfare. Indeed, the economic system must be applied to make the people prosperous. In Islam, welfare and material prosperity are only instruments for the achievement of success in life both in this world and hereafter.
The blessing of living can only happen if we implement the teachings of Islam in kaffah (thoroughly with all its aspects) to obtain the joy of life in this dunya and akherah. Islam actually teaches balance in the world and the hereafter by setting the hereafter purpose. If the purpose is only fitted to the happiness in the world as the direction of West's economic then, the happiness can not be achieved in the hereafter. Islamic economic system should not also be toggled between the objective world and the hereafter destination. Islami economy is an integrated life and non-dichotomous system.
Dr. Aries Musnandar
Postgraduate Lecturer of UNIRA (Universitas Raden Rahmat) Malang Indonesia and the Advisor to the CIES, Business and Economic Faculty, Brawijaya University (FEB UB).
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