Research Institute of Hawzah and University "Hawzah wa Dāneshgāh Research Institute" Journal of Economic Essays: an Islamic Approach 3115-8226 23 51 2026 09 23 Economic Justice from the Perspective of Islam and Conventional Economics: Index Construction and Measurement across the Provinces of Iran Economic Justice from the Perspective of Islam and Conventional Economics: Index Construction and Measurement across the Provinces of Iran 137 175 2564 10.30471/jee.2026.11575.2562 FA MohammadJavad Alishahi PhD Student in Economics, Faculty of Humanities, Islamic Azad University, Zanjan, Iran 0009-0001-2319-3234 Ashkan Rahimzadeh Associate Professor, Department of Economics, Faculty of Humanities, Islamic Azad University, Zanjan, Iran 0000-0001-6992-746X Mohammad Dalmanpoor Assistant Professor, Department of Economics, Faculty of Humanities, Islamic Azad University, Zanjan, Iran 0000-0003-0065-3354 Journal Article 2025 11 19 Extended Abstract Introduction and Objectives: Economic justice is a fundamental concept in development studies, public policy, and Islamic economics. This concept is not limited merely to income distribution but encompasses broader dimensions such as equitable access to resources, economic opportunities, public facilities, quality of life, and the reduction of regional disparities. In most conventional studies, the measurement of economic justice has primarily focused on indicators such as the Gini coefficient, poverty rates, or income inequality. However, these indices alone fail to provide a comprehensive representation of the justice status at a regional level. In Iran, particularly at the provincial level, structural differences between developed and underdeveloped regions highlight the need for a multidimensional, localized index tailored to the country’s specific conditions. Against this backdrop, the present study attempts to simultaneously analyze and index economic justice from the perspectives of both conventional economics and Islamic thought. Within this framework, economic justice in Islamic thought is regarded not only as a moral principle but as a social and religious end that must be reflected in the policymaking process and resource allocation. Conversely, conventional economics has also explored aspects of justice through perspectives such as the capability approach, Rawls’ theory of justice, and the Atkinson and Gini indices; however, these have predominantly centered on income inequality. Consequently, the primary research problem is the absence of a comprehensive composite index for measuring economic justice in Iranian provinces—an index capable of reflecting both distributive components and the dimensions of opportunity, benefit, and social balance. Research Methodology: This research is descriptive-analytical in nature, utilizing provincial panel data for 28 Iranian provinces covering the period from 2012 to 2021 (1391-1400 SH). The data include a set of socio-economic variables at the provincial level, such as household expenditures and facilities, per capita consumption of electricity, gas, and water, per capita public budget, education index, household income, value-added, poverty, and inequality indices. The primary objective of gathering this data was to construct a composite index to measure economic justice through a multidimensional approach. In the first stage, the collected variables were scaled using the Min-Max normalization method to facilitate inter-provincial comparisons. In this process, undesirable indicators such as poverty, the Gini coefficient, the Atto-Fricke index, and other inequality measures were reverse-coded so that higher values ultimately represent a higher degree of justice. This point is methodologically significant, as the ultimate goal was to create an index where an increase in value corresponds to an improvement in the state of economic justice. Two primary indices were designed and calculated. The first index, TR1, is a preliminary measure constructed using the arithmetic mean of four selected variables: human development, Amartya Sen’s welfare index, the absolute poverty rate, and the Atto-Fricke index. This index serves as an initial gauge of the overall status of justice in the provinces. The second index, TR2, is a more comprehensive and theoretical measure based on three core dimensions of economic justice: first, access to public facilities (measured by electricity, gas, water, public budget, and education); second, the degree of benefit from production (measured by the ratio of household income to value-added); and third, income imbalance (explained by the Gini coefficient, the 10th to 1st decile ratio, the Atto-Fricke index, and relative poverty). Thus, TR2 provides a multilayered and more precise depiction of economic justice. Results: The research findings indicate that economic justice is not uniformly distributed among Iranian provinces, revealing a clear center-periphery gap. Based on the TR1 calculations, provinces such as Yazd, Tehran, and Isfahan ranked higher in economic justice, while provinces like Kurdistan, Sistan and Baluchestan, and Ilam occupied the lower ranks. Specifically, Yazd (0.78), Tehran (0.75), and Isfahan (0.72) were among the leading provinces, whereas Kurdistan (0.45), Sistan and Baluchestan (0.42), and Ilam (0.40) were at the bottom. The results of the TR2 index generally confirm the same pattern of inequality, though the differences between provinces are more pronounced due to the inclusion of additional dimensions. In this index as well, Yazd and Tehran remained at the top, while Sistan and Baluchestan ranked last with a score of 0.38. This suggests that some provinces may perform well in one dimension but suffer from severe weaknesses in others. For instance, Khuzestan performs adequately in certain components but ranks lower in the comprehensive TR2 index due to income inequality. Additionally, provinces like Chaharmahal and Bakhtiari show signs of improvement and the potential to bridge the gap. Overall, the results suggest that in the absence of compensatory policies, regional economic inequalities in Iran are prone to reproduction. Therefore, relying on one-dimensional indices provides an incomplete picture of reality. Discussion and Conclusion: The central argument rests on the idea that economic growth alone does not guarantee justice. A province may grow in terms of production or certain economic indicators, but if this growth is not accompanied by a balanced distribution of opportunities, equal access to public facilities, and a reduction in income inequality, economic justice will not be realized. From this perspective, development without a regional justice component can deepen the existing gap between prosperous and deprived provinces. While traditional indices like the Gini coefficient are useful for measuring inequality, they are insufficient for understanding the multidimensional nature of justice. Composite indices TR1 and TR2 provide a more holistic evaluation and can serve as a suitable basis for regional policymaking. Economic justice must be regarded as an independent policy goal in regional planning. To achieve this, several recommendations are proposed: allocating budget based on justice indices, establishing a regional justice development fund, asymmetric investment in the infrastructure of deprived provinces, strengthening multi-level governance, developing local employment, and implementing social security and wealth tax policies. In other words, economic justice in Iran requires policymakers to move beyond purely growth-oriented approaches toward distributive and compensatory models. Ultimately, integrating the foundations of Islamic economics with the analytical tools of conventional economics allows for a localized and multidimensional index to measure economic justice. This index can be utilized not only to assess the current situation but also to design policy interventions aimed at reducing regional disparities and strengthening social cohesion across Iranian provinces. Acknowledgments: The authors sincerely thank the Statistical Centre of Iran, the Central Bank of the Islamic Republic of Iran, and other statistical institutions for providing the data used in this study. We also extend our gratitude to the professors and reviewers whose scientific suggestions significantly enhanced the quality of this research. JEL Classification: D63, I32, O18, R11. Extended Abstract Introduction and Objectives: Economic justice is a fundamental concept in development studies, public policy, and Islamic economics. This concept is not limited merely to income distribution but encompasses broader dimensions such as equitable access to resources, economic opportunities, public facilities, quality of life, and the reduction of regional disparities. In most conventional studies, the measurement of economic justice has primarily focused on indicators such as the Gini coefficient, poverty rates, or income inequality. However, these indices alone fail to provide a comprehensive representation of the justice status at a regional level. In Iran, particularly at the provincial level, structural differences between developed and underdeveloped regions highlight the need for a multidimensional, localized index tailored to the country’s specific conditions. Against this backdrop, the present study attempts to simultaneously analyze and index economic justice from the perspectives of both conventional economics and Islamic thought. Within this framework, economic justice in Islamic thought is regarded not only as a moral principle but as a social and religious end that must be reflected in the policymaking process and resource allocation. Conversely, conventional economics has also explored aspects of justice through perspectives such as the capability approach, Rawls’ theory of justice, and the Atkinson and Gini indices; however, these have predominantly centered on income inequality. Consequently, the primary research problem is the absence of a comprehensive composite index for measuring economic justice in Iranian provinces—an index capable of reflecting both distributive components and the dimensions of opportunity, benefit, and social balance. Research Methodology: This research is descriptive-analytical in nature, utilizing provincial panel data for 28 Iranian provinces covering the period from 2012 to 2021 (1391-1400 SH). The data include a set of socio-economic variables at the provincial level, such as household expenditures and facilities, per capita consumption of electricity, gas, and water, per capita public budget, education index, household income, value-added, poverty, and inequality indices. The primary objective of gathering this data was to construct a composite index to measure economic justice through a multidimensional approach. In the first stage, the collected variables were scaled using the Min-Max normalization method to facilitate inter-provincial comparisons. In this process, undesirable indicators such as poverty, the Gini coefficient, the Atto-Fricke index, and other inequality measures were reverse-coded so that higher values ultimately represent a higher degree of justice. This point is methodologically significant, as the ultimate goal was to create an index where an increase in value corresponds to an improvement in the state of economic justice. Two primary indices were designed and calculated. The first index, TR1, is a preliminary measure constructed using the arithmetic mean of four selected variables: human development, Amartya Sen’s welfare index, the absolute poverty rate, and the Atto-Fricke index. This index serves as an initial gauge of the overall status of justice in the provinces. The second index, TR2, is a more comprehensive and theoretical measure based on three core dimensions of economic justice: first, access to public facilities (measured by electricity, gas, water, public budget, and education); second, the degree of benefit from production (measured by the ratio of household income to value-added); and third, income imbalance (explained by the Gini coefficient, the 10th to 1st decile ratio, the Atto-Fricke index, and relative poverty). Thus, TR2 provides a multilayered and more precise depiction of economic justice. Results: The research findings indicate that economic justice is not uniformly distributed among Iranian provinces, revealing a clear center-periphery gap. Based on the TR1 calculations, provinces such as Yazd, Tehran, and Isfahan ranked higher in economic justice, while provinces like Kurdistan, Sistan and Baluchestan, and Ilam occupied the lower ranks. Specifically, Yazd (0.78), Tehran (0.75), and Isfahan (0.72) were among the leading provinces, whereas Kurdistan (0.45), Sistan and Baluchestan (0.42), and Ilam (0.40) were at the bottom. The results of the TR2 index generally confirm the same pattern of inequality, though the differences between provinces are more pronounced due to the inclusion of additional dimensions. In this index as well, Yazd and Tehran remained at the top, while Sistan and Baluchestan ranked last with a score of 0.38. This suggests that some provinces may perform well in one dimension but suffer from severe weaknesses in others. For instance, Khuzestan performs adequately in certain components but ranks lower in the comprehensive TR2 index due to income inequality. Additionally, provinces like Chaharmahal and Bakhtiari show signs of improvement and the potential to bridge the gap. Overall, the results suggest that in the absence of compensatory policies, regional economic inequalities in Iran are prone to reproduction. Therefore, relying on one-dimensional indices provides an incomplete picture of reality. Discussion and Conclusion: The central argument rests on the idea that economic growth alone does not guarantee justice. A province may grow in terms of production or certain economic indicators, but if this growth is not accompanied by a balanced distribution of opportunities, equal access to public facilities, and a reduction in income inequality, economic justice will not be realized. From this perspective, development without a regional justice component can deepen the existing gap between prosperous and deprived provinces. While traditional indices like the Gini coefficient are useful for measuring inequality, they are insufficient for understanding the multidimensional nature of justice. Composite indices TR1 and TR2 provide a more holistic evaluation and can serve as a suitable basis for regional policymaking. Economic justice must be regarded as an independent policy goal in regional planning. To achieve this, several recommendations are proposed: allocating budget based on justice indices, establishing a regional justice development fund, asymmetric investment in the infrastructure of deprived provinces, strengthening multi-level governance, developing local employment, and implementing social security and wealth tax policies. In other words, economic justice in Iran requires policymakers to move beyond purely growth-oriented approaches toward distributive and compensatory models. Ultimately, integrating the foundations of Islamic economics with the analytical tools of conventional economics allows for a localized and multidimensional index to measure economic justice. This index can be utilized not only to assess the current situation but also to design policy interventions aimed at reducing regional disparities and strengthening social cohesion across Iranian provinces. Acknowledgments: The authors sincerely thank the Statistical Centre of Iran, the Central Bank of the Islamic Republic of Iran, and other statistical institutions for providing the data used in this study. We also extend our gratitude to the professors and reviewers whose scientific suggestions significantly enhanced the quality of this research. JEL Classification: D63, I32, O18, R11.

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