Does Ethico-Moral Coalition Complement to Economic Coalition? A Response in the Periphery of Islamic Economics

Abstract

Abstract: Purpose – To reason whether the ethical–moral cum economic coalition among the different sets of economy is more efficient with objectives of Islamic Shariah. Design/methodology/approach – This is a theoretical paper based on the modified model of layers of economic coalition which was initially developed by W. Leontief and P.N. Mathur and tries to evaluate the impact of ethical–moral cum economic coalition among different sets of an economy within the framework of Islamic political economy system. Findings – This study suggests that endogenoising the ethical–moral cum economic coalitions will comparatively enhance the efficiency level of the economy, and will also increase the social welfare level. Practical implications – A dynamic cum marginal input–output table can be constructed on the basis of this framework. Originality/value – This research is beneficial to the researchers, policy makers and social scientists for the enhancement of the level of social welfare through this coalition.