What is Knowledge? Contrasting Views

{bit.ly/IEPC1A} This post provides a summary of the first half of Chapter 1 of Islamic Economics: The Polar Opposite of Capitalist Economics. The chapter discusses the contrast between Western and Islamic views on epistemology (theory of knowledge). To join our weekly mailing list which will develop a unique course on Islamic Economics, use Google Form: http://bit.ly/AZIEML For the next post in this sequence, see Historical Origins of Social Science

In Islam, knowledge plays a central role. The Quran and Hadeeth are full of praise for seekers of knowledge. The saying “the ink of the scholars will be worth more than the blood of the martyrs on the day of judgement” highlights the importance of knowledge in Islam. However, there are significant differences in the way knowledge is understood in Western and Islamic thought.

Western education often promotes a Western worldview, which is based on the idea that knowledge is objective and can be arrived at through the scientific method. In contrast, Islamic thought places a greater emphasis on knowledge of the internal world and the purification of the heart as a means to understanding the meaning of life and learning to know God.

The first chapter of the book “Islamic Economics: Polar Opposite of Capitalist Economics” discusses the differences in epistemology between the West and Islam. Contrary to the dominant Western view that knowledge comes from observations and logic, most of the knowledge we have is “received” knowledge – ideas accepted uncritically from previous generations. How can we free ourselves from the limited and narrow perspective this creates? There are two strategies which are very useful

  • Archaeology of Knowledge: Examining how historical circumstance, and power struggles shaped knowledge allows us to imagine alternatives ways of thinking about the world.
  • Alternative worldviews: The victors and the defeated have entirely different narratives about the same set of historical events. Looking at the world from perspectives of others enriches our understanding, and frees us from limitations created by our history and heritage.

Because of dominance of Western education globally, we have all been schooled into a Eurocentric perspective. The most effective way to break the hold of this perspective is to use the method of binary opposition. This characterizes the West and East as opposites, along the dimensions considered. This method suppresses complexity and diversity, but is effective in allowing us to imagine radical alternatives to entrenched ideas.

Western epistemology focuses on Truth or Falsehood of knowledge claims. Looking at the archeology of knowledge – the history of how economics emerged in the West – provides insights not available to true/false evaluations. The Scholastics built a theory of society, including politics and economics, on the basis of the Bible. However, more than a hundred years of religious wars in Europe led to the widespread realization that Christianity could not be used as a basis for building society. As a result, Christianity became confined to a set of personal beliefs. In a process known as the Enlightenment, European intellectuals began to develop secular thought as a basis for social organization. Modern economics is part of this development. Because it is founded on the rejection of God, it is naturally based on individualism, selfishness, and hedonism.

In contrast, Islamic economic thought is based on the belief that God is the sole source of all value and that the purpose of life is to submit to His will. This belief leads to a focus on justice, fairness, and the common good in economic organization. Islamic economic thought offers a coherent alternative to dominant Western views on the subject.

In summary, the social sciences, including economics, developed in Europe as a result of the rejection of Christianity as a basis for organizing society. These disciplines are based on lessons learned from European historical experiences, as analyzed by European intellectuals, and are rooted in the tradition of Enlightenment thought. The term “science” suggests universal applicability, but this claim is false. The lessons of Islamic history, and the methods of economic, political, and social organization of Islamic societies offer radical alternatives to currently dominant capitalist systems. In this book, we will provide an analysis of these differences.

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About Asad Zaman

BS Math MIT (1974), Ph.D. Econ Stanford (1978)] has taught at leading universities like Columbia, U. Penn., Johns Hopkins and Cal. Tech. Currently he is Vice Chancellor of Pakistan Institute of Development Economics. His textbook Statistical Foundations of Econometric Techniques (Academic Press, NY, 1996) is widely used in advanced graduate courses. His research on Islamic economics is widely cited, and has been highly influential in shaping the field. His publications in top ranked journals like Annals of Statistics, Journal of Econometrics, Econometric Theory, Journal of Labor Economics, etc. have more than a thousand citations as per Google Scholar.

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