Document Type : Research Paper
Ph.D. Student of Islamic Economics, Allameh Tabataba’i university
Allameh Tabataba’i university
Assistant professor of Allameh Tabataba’i university
Assistant professor of Kharazmi university
There have been different views trying to approve or reject interest by defining the origins of interest as well as criticizing and investigating such origins. Pros approaches mostly focus on objective origins of interest, i.e. productivity of capital and population as well as subjective origins, i.e. time preference, diminishing marginal utility rule and liquidity preference. However, the focal point of course is the narrative reasons taken from religions and rational reasons which root in philosophy.
This article is trying to criticize the subjective origins of interest based on Islamic philosophy. In this regard Time preference, as the “inter-temporal” factor, diminishing marginal utility and liquidity preference as the intera-temporal preference could not be moved in during the time. Because ability for motion need to puissance, subsequently the subjunctives’ interest rates do not have this feature, and would be criticized. This would be done using Islamic philosophy concepts such as nature, essence, objective or subjective essence, respecting subjective time theory.