Work

Towards an Objective Measure of Gharar in Exchange

Year: 2000

Type: article

Abstract: This paper develops a framework for analyzing gharar based on economic aspects of game theory. The framework is consistent with Shari’ah maxims as well as individual gharar transactions widely studied in classical fiqh resources. In addition, the framework brings insights into explaining different fiqhi positions on controversial gharar contracts. When extended to contemporary practices, the measure helps understanding the logic of instrument design, and where violation of Islamic rules exactly lies. The moral, ethical, and social aspects of this framework show the deep consistency between Islamic rules of exchange and general Islamic principles of human behavior.

Source: RePEc: Research Papers in Economics

Author: Sami Al‐Suwailem

Institutions: Islamic Development Bank, Islamic Research and Training Institute

Language: English

Topic: Islamic Finance and Banking Studies

Subfield: Accounting

Field: Business, Management and Accounting

Domain: Social Sciences

SDG: Peace, justice, and strong institutions

Open Access status: green

OpenAlex ID: W2164750379

FWCI: 2.743

Cites: 38

Cited by: 59

Related to: 10