03-24-2006, 05:31 AM
<blockquote id="quote"><font size="1" face="Verdana, Tahoma, Arial" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by Ice_Blue</i>
<br />to give a better view of the picture, here r two more cases
Case A u buy some part of a business thinking that it is going to increase in worth. u take all risks and rewards and most importantly ur winning doesnt mean that somebody is necessarily losing (i.e it isnt a Zero-sum game)
Case B by buying some shares u become a stakeholder in a company. the company's worth increase and the share price goes up. u win and other ppl dont lose so that u may win.
are case A and B halal? Either of them or both of them ?
Honestly, i dont have sufficient knowledge of the Islamic Law to comment.
Ice Blue
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">
In my sense case A and case B both are halal. To understand the Islamic finance we have to understand that why Islam forbids things. As being Muslims we all know that Islam only forbids those things which are not good for human being (i.e. things which are harmful for human society or put negative impact on human being).
Now consider betting, betting is forbidden in Islam because overall it put negative impact on our society. In betting there is always a more chance that you will lose and if it becomes a habit than you will lose every thing. Because if you win once than defiantly you will lose at least 100 times and bet also make you greedy. Betting also creates corruption in society and you can see this in most of the games for example cricket and horse racing.
Now consider interest
Interest make rich people richer and poor become poorer. Many people argue that if you take a loan on interest you can build business and therefore you can create jobs for the people. In this way rich becomes richer and poor also become rich and there is no negative impact on our society. Well! If you are thinking same than consider following
Business
Most of the business set price according to the cost i.e. if a product cost you 100 and you want 20% profit on total cost than your selling price would be 120.
Business A
You start a business and make a product which cost you 100 and you want 20% profit on the total cost of product than you selling price would be 120.
Business B
Assume you take a loan out and start the same business (business A) and want the same return on your product. This time your total cost on product would be more compare to business A because when you will calculate your total cost on product you will put the element of interest on it as well. Therefore you will set the higher price on your product which will affect the poor people. In other words you are paying the interest to bank and charging it from consumers.
Now consider your case A and B
If a man starts the business in hope to make profit if he succeeds he will make a profit and surely will increase his business. His business will create jobs for unemployed people which will help to reduce the unemployment etc. But if he fails at least for some time in starting he will employee people and people still be benefited and at the he will be the only person who will suffer loses nobody else.
<br />to give a better view of the picture, here r two more cases
Case A u buy some part of a business thinking that it is going to increase in worth. u take all risks and rewards and most importantly ur winning doesnt mean that somebody is necessarily losing (i.e it isnt a Zero-sum game)
Case B by buying some shares u become a stakeholder in a company. the company's worth increase and the share price goes up. u win and other ppl dont lose so that u may win.
are case A and B halal? Either of them or both of them ?
Honestly, i dont have sufficient knowledge of the Islamic Law to comment.
Ice Blue
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">
In my sense case A and case B both are halal. To understand the Islamic finance we have to understand that why Islam forbids things. As being Muslims we all know that Islam only forbids those things which are not good for human being (i.e. things which are harmful for human society or put negative impact on human being).
Now consider betting, betting is forbidden in Islam because overall it put negative impact on our society. In betting there is always a more chance that you will lose and if it becomes a habit than you will lose every thing. Because if you win once than defiantly you will lose at least 100 times and bet also make you greedy. Betting also creates corruption in society and you can see this in most of the games for example cricket and horse racing.
Now consider interest
Interest make rich people richer and poor become poorer. Many people argue that if you take a loan on interest you can build business and therefore you can create jobs for the people. In this way rich becomes richer and poor also become rich and there is no negative impact on our society. Well! If you are thinking same than consider following
Business
Most of the business set price according to the cost i.e. if a product cost you 100 and you want 20% profit on total cost than your selling price would be 120.
Business A
You start a business and make a product which cost you 100 and you want 20% profit on the total cost of product than you selling price would be 120.
Business B
Assume you take a loan out and start the same business (business A) and want the same return on your product. This time your total cost on product would be more compare to business A because when you will calculate your total cost on product you will put the element of interest on it as well. Therefore you will set the higher price on your product which will affect the poor people. In other words you are paying the interest to bank and charging it from consumers.
Now consider your case A and B
If a man starts the business in hope to make profit if he succeeds he will make a profit and surely will increase his business. His business will create jobs for unemployed people which will help to reduce the unemployment etc. But if he fails at least for some time in starting he will employee people and people still be benefited and at the he will be the only person who will suffer loses nobody else.
