ABSTRACT
The idea of a self-regulating market was highly attractive to scholars because it meant that the central economic decisions of production and distribution could be made in a purely non-political way. Not only does the market model provide insight into how a market economy ideally works, but it also provides guidelines for setting up an actual market society. According to its advocates, the model demonstrates the superior outcomes that follow from market-based decision-making. The inventors of the market model believed that they were improving upon Adam Smith’s original formulations. In the market model irrationality refers specifically and exclusively to not perfectly following market-derived objective criteria. In the market model that difference is probably best understood as a fee for financial services. The major markets for Islamic bonds are in Malaysia, the Persian Gulf states, and London. The market is a dynamic set of ever-changing relationships.
