Production

Abstract

This entry explores the disparities and resemblances between the production process in Islamic economics and conventional economic theory. It delves into fundamental aspects such as the conceptual definition of production, production factors, and production function. The topic under discussion highlights the notion that production in Islamic economics ought to be constrained by theological and moral principles. In contrast, conventional economics primarily relies on the law of supply/demand and profit maximization to determine production. Additionally, the production process in Islamic economics should align with objectives such as enhancing societal welfare and promoting social justice. This analysis examines the definition of the process and the underlying concepts it is grounded upon, drawing from the arguments presented in conventional economic theory.