Abbas Mirakhor

Social Capital and Risk Sharing: An Islamic Finance Paradigm - Palgrave Studies in Islamic Banking, Finance, and Economics Abbas Mirakhor 1st ed. 2015 edition

Marc Notes: Includes bibliographical references and index. Biographical Note: Adam Ng is Assistant Professor at INCEIF, Malaysia, and the SC-OCIS Scholar in Residence in Islamic Finance at the Oxford Centre for Islamic Studies, UK. Abbas Mirakhor is the First Holder of INCEIF's Chair in Islamic Finance at INCEIF, Malaysia. Mansor H. Ibrahim is Professor of Finance and Econometrics and the Dean of Graduate Studies at INCEIF, Malaysia. Review Quotes: ""Social Capital and Risk Sharing" is a book in which Adam Ng, Abbas Mirakhor and Mansor H. Ibrahim articulate a new business model that brings social capital and risk sharing into renewed focus to create the demonstration effect and to have a global impact. As debates and discussions continue in the battle for the soul of capitalism, their work is a call for action for both Islamic financial institutions and conventional finance to come together and build a fairer, just and sustainable economic society." - Iqbal Khan, Chief Executive Officer, Fajr Capital, United Arab Emirates "The standard economics curriculum has a gaping hole. The role of ethics in economic interactions is curiously missing, although it always lurks in the background with references to 'trust' and 'good' institutions, as if such social capital somehow evolves independently of human values. This book patches that hole by integrating moral guideposts based on Islamic principles of preferred economic behavior in exploring the sources of social capital. Such guideposts are analytically most meaningful in uncertainty, particularly in financial markets. It is time that we think about alternative risk sharing methods in order to create more stable and accessible financial markets. This book articulates the Islamic view of risk sharing that may curb speculative risk shifting and result in greater financial stability. It also provides a novel discussion of various Islamic financial arrangements to facilitate greater access to markets and induce more equitable economic growth. For both the beginning and the seasoned reader on Islamic finance, this book is a welcome addition and a treasure box of novel ideas to reckon with." - S. Nuri Erbas, Former Economist and Advisor to the International Monetary Fund's Board, United States "Review Quotes: "Social Capital and Risk Sharing articulates a new business model that brings social capital and risk sharing into renewed focus to create the demonstration effect and to have a global impact. As debates and discussions continue in the battle for the soul of capitalism, this work is a call for action for both Islamic financial institutions and conventional finance to come together and build a fairer, more just and sustainable economic society." - Iqbal Khan, CEO of Fajr Capital, UAE "The standard economics curriculum has a gaping hole. The role of ethics in economic interactions is curiously missing, although it always lurks in the background with references to 'trust' and 'good' institutions, as if such social capital somehow evolves independently of human values. This book patches that hole by integrating moral guideposts based on Islamic principles of preferred economic behavior in exploring the sources of social capital. Such guideposts are analytically most meaningful in uncertainty, particularly in financial markets. It is time that we think about alternative risk sharing methods in order to create more stable and accessible financial markets. This book articulates the Islamic view of risk sharing that may curb speculative risk shifting and result in greater financial stability. It also provides a novel discussion of various Islamic financial arrangements to facilitate greater access to markets and induce more equitable economic growth. For both the beginning and the seasoned reader on Islamic finance, this book is a welcome addition and a treasure box of novel ideas to reckon with." - S. Nuri Erbas, Former Economist and Advisor to the International Monetary Fund's Board, USATable of Contents: Foreword by Tan Sri Zarinah Anwar1. Significance of Social Capital and Risk Sharing2. The Fountainhead of Social Capital: Love of the Creator and Oneness of Humanity 3. The Social Capital Fountain: Solidarity, Empathy, Trust, and Property Rights 4. Social and Moral Capital in Market Exchange 5. The Power of Social Capital in Reducing Financial Inequality6. Trust, Ethics, Stock Market and Economic Growth7. Risk Sharing and Crowdfunding8. Risk Sharing and Social Impact Partnerships9. Parting Thoughts

Contributor Bio:  Mirakhor, Abbas Hossein Askari is Iran Professor of International Business and International Affairs, George Washington University, USA.