The Causes and Consequences of Interest Theory

Interest has always been a part of humans' daily economic life, and the concept of interest has attracted intense attention from economists, philosophers, religious scholars and lawmakers. This book analyses the issue of prohibition of interest through the lens of conventional economics and then makes a comparison with the position of Islamic economists. It evaluates the theory of interest presented by Böhm-Bawerk, which is the most respected and applicable theory at present. It provides an in-depth analysis of the current literature, and it is the first book to scrutinize the interpretation of Islamic economists on the concepts of time preference and interest rate control.

This book will be of interest to academics and students of economics and Islamic economics.

Evaluates the theory of interest presented by Böhm-Bawerk Analyses the issue of prohibition of interest through the lens of conventional economics and compares this with the position of Islamic economists Scrutinizes the interpretation of Islamic economists on the concepts of time preference and interest rate control

Autorentext

Cem Eyerci is an Advisor at the Central Bank of the Republic of Turkey. Previously, he managed the Banknote Printing Plant and Human Resources Department as Executive Director, and Statistics Department as Deputy Executive Director. Before joining Central Bank, he worked at the Turkish Statistical Institute as Head of the Department of Business Statistics, Regional Manager, and Expert. Cem received his Ph.D. from Ankara Yildirim Beyazit University in Economics.

Inhalt

1 Introduction.- 2 The Concept of Interest: Its Meaning, History and Theoretical Development.- 3 The Time Preference Theory of Interest.- 4 Interest Rate Control.- 5 Islamic Economics, Time Preference and Price Control.- 6 Conclusion.