The Analysis of Just share of production factors Pattern with the Islamic Approach

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Khandoozi Seyed Ehsan; AFSARI ALI

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Journal: EGHTESAD-E ISLAMI Year:2018 | Volume:18 | Issue:71 Page(s): 37-65

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Information Journal Paper

Title

The Analysis of Just share of production factors Pattern with the Islamic Approach

Author(s)

Khandoozi Seyed Ehsan | AFSARI ALI | Issue Writer Certificate

Keywords

Distribution theoryQ1

Profit participationQ1

Economic JusticeQ2

laborQ2

Islamic EconomicsQ2

Abstract

The manner of benefits distribution of production among the production factors is one of the fundamental questions of the economy, and there are many controversies around it at the level of rival models. In this research, with the assumption of comprehensive rationality, according to which individuals interfere both their own interests and the interests of others in economic decision-making, the objective function of individuals generalized and the fair behaviors of individuals in the field of production are analyzed in the form of a mathematical model. Based on this model, two strategies for achieving a fair share of production among the factors are analyzed: first, the role of the government in determining the level of wage more than the minimum wage, and second, the role of employers' fair employments in allocating a portion of the profits as labor rewards. In the meantime, the second strategy, while improving the perception of justice and fairness, improves the welfare state of the labor force without adversely affecting labor demand and employment, and is consistent with both aspects of justice. The results of the paper confirm the superiority of horizontal and spontaneous justice in relation to grammatical solutions from above. In this framework, it is suggested to use extension tools and economic incentives to increase employers' willingness to engage in profits.

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APA: Copy

Khandoozi, Seyed Ehsan, & AFSARI, ALI. (2018). The Analysis of Just share of production factors Pattern with the Islamic Approach. EGHTESAD-E ISLAMI, 18(71 ), 37-65. SID. https://sid.ir/paper/381301/en

Vancouver: Copy

Khandoozi Seyed Ehsan, AFSARI ALI. The Analysis of Just share of production factors Pattern with the Islamic Approach. EGHTESAD-E ISLAMI[Internet]. 2018;18(71 ):37-65. Available from: https://sid.ir/paper/381301/en

IEEE: Copy

Seyed Ehsan Khandoozi, and ALI AFSARI, “The Analysis of Just share of production factors Pattern with the Islamic Approach,” EGHTESAD-E ISLAMI, vol. 18, no. 71 , pp. 37–65, 2018, [Online]. Available: https://sid.ir/paper/381301/en

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