Faculty Member of The Research Institute of Seminary and University, Department of Economics
Abstract
The present essay deals with-among different types of distribution - "the distribution of product among production factors" and suggests two important ideas: First, it is not possible to claim with certainty that in a perfect competitive market, final output of a factor shows its added value and participation rate in production. It is true if some presuppositions being considered i.e.; not only getting assured that production function is homogenous but also not a specific rate of factors influences the added value. Accepting a fixed output, a product is earned from the added value of all factors, but separating the added value of each factor is not possible by final output. Second, in Muslim scholar's point of view, justice necessitates that the owners of production factors demand their share to the extend they participate in the production of a product, the role they play in it and the rate of added value they create. It can't be claimed that their added value is equal with their final output.
Karami, M. H. (2010). Distribution of Income Earned from Production Process. Journal of Economic Essays; an Islamic Approach, 7(14), 153-169.
MLA
Mohammad Hussein Karami. "Distribution of Income Earned from Production Process". Journal of Economic Essays; an Islamic Approach, 7, 14, 2010, 153-169.
HARVARD
Karami, M. H. (2010). 'Distribution of Income Earned from Production Process', Journal of Economic Essays; an Islamic Approach, 7(14), pp. 153-169.
VANCOUVER
Karami, M. H. Distribution of Income Earned from Production Process. Journal of Economic Essays; an Islamic Approach, 2010; 7(14): 153-169.
)