Tomáš Sedláček; Economics of Good and Evil: The Quest for Economic Meaning from Gilgamesh to Wall Street

Abstract

Implications for Islamic Economics What is left untouched on purpose in Sedláček’s version of the history of econo- mic thought is Islam. I respect his decision of not touching upon something about which he does not have much to say. But that does not change the fact that Islamic economics which is theorized to be depending on Islam’s rules and values is taking place more on the agenda of economics today. Thus, the book of Sedláček needs to be supported by inclusion of a chapter in that sense because he himself asks in the book “why would not we swim against the current (main “stream” current) and look at economics from the perspective of theology, sociology and politics?” This is exactly what Islamic economics aims to do with its definition of “looking at economics from Islam’s perspective” (Orman, 2014). In that part I will attempt to fill this gap partially by following the abovementioned steps of Sedláček for Islam and Islamic economics. What are the first examples regarding economics in Islam? In the Qur’an, the first human beings and Prophet Adam’s sons’ (Cain and Abel) attempt of showing gratitude to God (Allah) by giving from what they have economically produced (grain from the first son and animals from the second one) may be taken as the very first example. Besides that, there are lots of direct or indirect references to economic reasoning in the Qur’an from different time spans which require separate researches. One of the narratives about economic reasoning in the Qur’an belongs to the Prophet Joseph as also mentioned by Sedláček. There is even a specific surah with his name in the Qur’an. How would it look like then if one reads the narrative of the Prophet and the so-called business cycle from Islam’s perspective? Such a question is asked and tried to be answered by Ahmed, Meera and Collins (2014). Another important question asked by Sedláček is about the connection betwe- en wealth, and being good or bad. That issue is a concern of Khan (2019) who attempts to understand the relationship between ethical behavior, and material well-being and happiness from an Islamic perspective. Though it is a nice attempt, Khan tries to fulfill his aim interestingly from a very positivistic way of thinking. The issue of prohibition of interest is one of the main pillars of economics in Islam, which also was the case for Judaism and Christianity before. In fact the word interest in Judaism tells an interesting story; neshek meaning “the bite of a snake” since interest is assumed to “kill” people slowly but painfully as a snake bite does. In that regard, an interesting reading of interest and money from an Islamic perspective comes from Thomas (2005) who argues that accepting interest on the basis of time value of money is a kind of shirk (sin of practising idolatry) since it attributes time a power disconnected from God. Furthermore I can say that today interest is being attempted to be legitimized through Mandeville-type of point of view explained in detail by Sedláček because it is accepted as a “necessary sin.” On the other hand, Smith’s famous term “spectator” is a focal point of Reda (2018) whose aim resembles Sedláček’s because Reda attempts to make compara- tive analysis of Islamic economic thought through concepts instead of periods or names. Reda criticizes the term with the following words: “The “impartial specta- tor,” an idea that is central to Smith’s moral philosophy, is inherently subjective,lacking a given ethical framework that can establish moral objectivity or perma- nency… From an Islamic perspective, the conscience constitutes both a descriptive and normative role, and is therefore more than a mere spectator. It is an internal “witness” or judge that intends to educate rather than appease, and to seek justice rather than praise.” (Reda, ibid.) Sedláček argues in the book that people before science did not worry of lacking evidences thus, they did not feel ashamed of the beliefs of faith and accepted them freely whereas today we hide these beliefs into our (economic) assumptions wit- hout proving them. In my opininon that could be the power of Islamic economics, i.e. openly and proudly putting its beliefs into economics. One of the problem sol- ving suggestions of such a point of view towards economics would be being “medi- ocre” in which sabbath economy mentioned by Sedláček can be a part.