Optimization of Consumption in Divine Context: Basic Principles and Extension
| Journal | Al-Idah |
| Title | Optimization of Consumption in Divine Context: Basic Principles and Extension |
| Author(s) | Khan, Zahoor, Muhammad Farooq, Asmat Ullah |
| Volume | 24 |
| Issue | 1 |
| Year | 2012 |
| Pages | 33-49 |
| Full Text |  |
| Chicago 16th | Khan, Zahoor, Muhammad Farooq, Asmat Ullah. "Optimization of Consumption in Divine Context: Basic Principles and Extension." Al-Idah 24, no. 1 (2012). |
| APA 6th | Khan, Z., Farooq, M., Ullah, A. (2012). Optimization of Consumption in Divine Context: Basic Principles and Extension. Al-Idah, 24(1). |
| MHRA | Khan, Zahoor, Muhammad Farooq, Asmat Ullah. 2012. 'Optimization of Consumption in Divine Context: Basic Principles and Extension', Al-Idah, 24. |
| MLA | Khan, Zahoor, Muhammad Farooq, Asmat Ullah. "Optimization of Consumption in Divine Context: Basic Principles and Extension." Al-Idah 24.1 (2012). Print. |
| Harvard | KHAN, Z., FAROOQ, M., ULLAH, A. 2012. Optimization of Consumption in Divine Context: Basic Principles and Extension. Al-Idah, 24. |
Abstract
ABSTRACT: The paper aims to analyze the behavior of Islamic consumers that how they can get the maximum possible satisfaction in divine constraints. Islamic consumers ought to be socially conscious economic agents. They will always take into consideration that what their consumption means for the rest of the society? In the Islamic theory of consumption, we essentially look for both “religious success and personal gains”. Islam believes in aggregate welfare but at the same time it does not ignore personal gain i. e. maximization of personal utility or profit. A rational Islamic consumer will never spend all his money on material goods for maximization of his own utility. He will allocate some portion of his earning towards spending in the way of Allah (S. W. T) , thus the total utility for an Islamic consumer can be decomposed into two parts; material utility plus eternal utility. We have assumed that eternal utility is at least as good as worldly utility (U, >Um) ¥ \ye conclude that total utility derived from spending on material goods pluseternal utility derivedfrom spending in the way of Allah (SWT) will be at least as good as utility derivedfrom theincome of the consumer allocated towards theconsumption of material commodities only. Finally, wemay conclude that based upon the satisfaction of needs indivine context, resources will be allocated towardsIslamically valid, humanly productive and economically efficient goods and services.