| Aspect | Capitalism | Communism | Islamic Economics |
|---|---|---|---|
| Core Principle | Free market, profit-driven | Classless, state-controlled economy | Ethical, Sharia-compliant economy |
| Ownership | Private property encouraged | Collective/state ownership | Private property with social obligations (Zakat, etc.) |
| Wealth Distribution | Unequal (market-based) | Equal (theoretically) | Redistribution via Zakat, charity, and interest-free loans |
| Profit Motive | Maximization allowed (can lead to greed) | Profit abolished (state allocates) | Profit allowed but with moral limits (no exploitation) |
| Interest (Riba) | Permitted (banks charge interest) | Abolished (state controls finance) | Forbidden (Islamic banking avoids interest) |
| Social Justice | Limited welfare (depends on policies) | Enforced equality (often authoritarian) | Mandatory charity (Zakat) + voluntary giving (Sadaqah) |
| Economic Freedom | High (individual choices) | Restricted (state decides production) | Moderate (free market within Sharia limits) |
| Exploitation Risk | High (labor/consumer exploitation) | Low (but state can exploit everyone) | Low (exploitation prohibited by Islamic law) |
| Real-World Examples | USA, UK, Germany | USSR (historically), China (modified) | Iran, Saudi Arabia (mixed models) |
Key Takeaways:
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Capitalism prioritizes growth but risks inequality and greed.
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Communism seeks equality but often fails in practice, leading to oppression.
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Islamic Economics blends market freedom with ethical constraints (no interest, mandatory charity).
