Abstract

http://ssrn.com/abstract=1086446
 
 

References (112)



 
 

Citations (2)



 


 



Institutions, the Rise of Commerce, and the Persistence of Laws: Interest Restrictions in Islam & Christianity


Jared Rubin


Chapman University - The George L. Argyros School of Business & Economics

June 1, 2010

Islamic Law and Law of the Muslim World Paper No. 08-10

Abstract:     
Why was economic development retarded in the Middle East relative to Western Europe, despite the Middle East being far ahead for centuries after the fall of Rome? A theoretical model inspired and substantiated by the history of interest restrictions suggests that this outcome emanates in part from the greater degree to which early Islamic political authorities derived legitimacy from religious authorities relative to those in Europe. This entailed a feedback mechanism in Europe in which the rise of commerce led to the secular (and eventually religious) relaxation of interest restrictions while also diminishing the Church’s ability to legitimize political authorities. These interactions did not occur in the Islamic world despite equally amenable economic conditions.

Number of Pages in PDF File: 50

Keywords: Islam, Christianity, Political Institutions, Religious Institutions, Institutional economics, Conservativism, Legal Persistence, Comparative Institutional Economics, Interest, Usury, Ijtihad

JEL Classification: N43, N45, O17, O33, P51, Z10, K00, K42, C73, H11

working papers series


Download This Paper

Date posted: January 25, 2008 ; Last revised: June 8, 2010

Suggested Citation

Rubin, Jared, Institutions, the Rise of Commerce, and the Persistence of Laws: Interest Restrictions in Islam & Christianity (June 1, 2010). Islamic Law and Law of the Muslim World Paper No. 08-10. Available at SSRN: http://ssrn.com/abstract=1086446 or http://dx.doi.org/10.2139/ssrn.1086446

Contact Information

Jared Rubin (Contact Author)
Chapman University - The George L. Argyros School of Business & Economics ( email )
333 N. Glassell
Orange, CA 92866
United States
HOME PAGE: http://https://sites.google.com/site/jaredcrubin/
Feedback to SSRN


Paper statistics
Abstract Views: 1,952
Downloads: 330
Download Rank: 50,744
References:  112
Citations:  2
People who downloaded this paper also downloaded:
1. Economic Welfare from Islamic Perspective
By Mahadzir Ahmad

© 2014 Social Science Electronic Publishing, Inc. All Rights Reserved.  FAQ   Terms of Use   Privacy Policy   Copyright   Contact Us
This page was processed by apollo1 in 0.297 seconds