ABSTRACT
In an Islamic state, legislation and policy must not fall into conflict with general rules and specific regulations of the Quran and the Sunna. General rules have to be applied to specific cases, and specific regulations of the past may no longer be applicable under changed socioeconomic circumstances today. Islamic economics is the perception and application of economic theories with an explicit consideration of the value system of Islam. Jurists (theologians, fuqaha) have been, for centuries, the experts for the interpretation and application of Islamic values and norms. But today, the monopoly of Islamic jurists to apply Islamic values and to give guidance in all aspects of economic, social, and political life has been challenged by Muslim social scientists and economists. They are familiar with contemporary theories and can claim a higher competence for the explanation of complex economic and social relations. Since understanding is the precondition for judging, the recommendations and assessments of Islamic economists should be taken seriously if they are explicitly based on the Islamic value system. Islamic economists have come up with proposals for the design of a system of taxation and public finance in a modern Islamic state which differ from the traditional views of Islamic jurists.
