The debates and discussions regarding the relationship between ethics and economy in Islam are one of the most controversial and never-ending ones in the history of economics. To have a brief grasp of this issue, let’s take a look at some of the arguments and what Islam thinks of this relationship.

Many of the modern economists believe that economic issues, just like other materialistic ones, are only governed by specific natural and scientific rules that can be examined through empirical evaluations [1]. Accordingly, since ethical and moral matters cannot be understood through scientific ways of assessment and are not empirical, then they cannot be in any way related to the science of economy and business.

While it is true that both the economy and natural sciences are based on the principle of causality, the nature of this relationship entirely differs in each one of them. That is, cause and effect work for natural phenomena in a deterministic way, while in the case of the economy, one party -human beings- in this relationship is capable of choosing based on his/her own free will [2].

In other words, in economic issues, this law of causality appears in an indeterministic way, since human beings are born naturally to be independent and free to choose. So, here comes the issue of ethics through which human values would be defined, and their choice would be directed.

Moreover, the other reason that some economists believe in the separation of economy and ethics roots back in their worldview, that is their view of human being and their relationship with the world and their Creator.

This opinion is mainly based on the humanistic and philosophical principles of capitalistic societies such as Deism, Humanism, Individualism, and Utilitarianism, all of which exclude God and spiritual matters and regard human beings and his desires as the sole purpose of life. On the other hand, according to the Islamic worldview, God is the center and pivot of the universe in which human beings are His successors [3].

Consequently, the whole of nature with all its resources is given to humankind as a kind of loan which he can only use for a specific period. Furthermore, Islam considers two aspects of human beings: one spiritual and the other material, both sides of him/her should be taken into account in all his/her activities, including business. As a result, he is bound to execute financial affairs concerning ethical and moral principles.

According to the Holy Quran, a person who observes moral and ethical principles in his financial affairs would develop some characteristics in his life regarding materialistic issues, such as

1. Being observant of other people’s economic interests and sometimes preferring their interests over his/her own [4],

2. Not being dependent on his/her wealth, only using it with the intention of God’s satisfaction and serving the people in need [5],

3. Showing self-restraint and patience when facing difficulties, not losing his/her control at the time of prosperity, and avoiding extravagance and ostentation [6],

4. Having foresight and deep insight into the way he/she earns and spends money [7].

To conclude, an economic system without moral principles will have no result other than causing injustice and dissatisfaction both for each individual and the society in which he/she lives. Ethical issues, specifically of Islamic kind, should be salient in all aspects of the economy -e.g., production, distribution, spending, etc.- for the people in society to reach a desirable environment for lawful and satisfactory business and trading [8].

References:

1. Tafazzoli, Freydoon. Tarikhe Aghayede Eghtesadi (A History of Economic Ideologies). 1st ed. Tehran, Nei Publication
2. for more information about Islam’s idea regarding human beings willpower see the Holy Quran: 18:29, 76:3 and 13:11.
3. 1:30
4. 59:9
5. 1:265, 51:19
6. 11:10-11
7. 35: 29-30
8.  Iravani, Javad. Akhlaghe Eghtesadi Az Didgahe Quran va Hadith. Majaleye Takhasosie Elahiat va Hughugh 14, 1383. P 90-100. 

After an exhausting day of unending work, you decide to have a night out with your friends. And you end up in a nightclub or casino where you can enjoy your time by playing a fun and simple-looking game. In no time you find yourself engaged in a gamble which seems to be going on forever. And you end up either losing the money – no matter how much - you have gained through too much effort, or achieve some money without doing any profitable action in return. That is only one instance of this kind of so-called fun called gambling. Though, it sometimes turns out to be much more than simple entertainment and results in losing one’s whole living in a matter of a few seconds. But does Islam allow its followers to go through such an experience? The answer is a definite No [i] & [ii], for this is a lose-lose situation for both parties, financially and psychologically, even though it may not look so. In this matter, Islam, as always plans what is best for the lives of human beings. Let’s regard this issue in depth. Is Gambling in Islam Allowed?

Which Kinds of Games are Forbidden (Haram) in Islam?

According to all Islamic jurists, games that include the special means of gambling such as cards, backgammon, etc. are forbidden if they are accompanied with betting. Moreover, every kind of game that is played through betting is forbidden. Nevertheless, some scholars believe that playing with the special means of gambling, even without betting, is not allowed [iii]&[1]. This is because the one who plays with particular means of gambling will automatically be accused of betting or may seem like doing it.

  Why is Gambling in Islam Forbidden (Haram)?

The adverse effects of gambling on one’s life as well as the society he/she lives in are many and have been mentioned by many Islamic and/or non-Islamic scholars.

Gambling Threatens Financial Health of the Society and Social Security

According to a study done in the United States, “more than $5 billion has been lost each year to gambling addictions. In addition, $40 billion has been spent on social services and creditor losses. These studies go on to state that two out of three gambling addicts will engage in illegal acts to pay for their gambling debts. The effect is that the addiction places a severe hardship on prison systems, public assistance programs and legal systems” [3].

Lose of credit and job is only one among many financial losses that are caused by gambling on an individual but it will not be limited to him/her and requires the society to take care of him/her. Moreover, when a game turns to a real-life lose or win, the one who engages in it sees his/her opponent as a real-life enemy whom he/she needs to defeat. This, as a result, spreads the feeling of enmity, avarice, and vengeance within the society [2]. Quran also emphasizes the evilness of this action: “Indeed Satan seeks to cast enmity and hatred among you through wine and gambling, and to hinder you from the remembrance of Allah and prayer. Will you, then, relinquish?” (5:91).  

Gambling Undermines Psychological and Physical Well-being of the Individual 

No matter you lose or win in this game, the effect would be detrimental for you. Let’s say you are a very lucky person and win every time you gamble, what would you do with the growing sense of greed for money? Or with this incessant desire to gamble more and more to the point that you cannot think about anything except gambling? Losing also brings its own destructive results; aside from losing the money that you could spend in a much useful way for yourself or your family, you lose your own self-confidence and feel undermined.

The pressure that is inflicted upon the gambler will inevitably lead to physical problems. According to a study, “the stress of gambling problems sometimes causes health problems, for both the person who gambles and the family. This can include anxiety, depression and stress-related problems such as poor sleep, ulcers, bowel problems, headaches, and muscle pains”. Also, in some cases this mental pressure caused the individual to feel suicidal and want to end his/her life [5].

When your mind is occupied with gaining more money, how to beat your opponent on the next gamble or how to pay your debts, no place will remain for you to turn and remind yourself of your duty toward Allah and His mercy upon you. And when Allah is absent from your heart and mind, the result is the constant feeling of insecurity and stress, for: “…The hearts find rest in Allah’s remembrance!”(13:28).   

The Last word

Finally, gambling is the cause of many harms to the individual as well as the society. Based on a general rule in Islam, no one is allowed to either “cause harm or return harm” [6] to him/herself or others. As it was mentioned above, gambling brings many financial as well as psychological complexities for the people involved in it and the society they live in. Therefore Islam does not allow its followers to bear such disadvantages.   

Notes:

[i] (2:219), (5:90).

[ii] Imam Reza (AS) Said: “Allah forbids His followers from any kind of gambling and ordered them to refuse doing them and called them impure and evil…” [4].

[iii] It is important to note that for the participants in horse racing and archery the action of betting is allowed [2]. The reason for that was Islam’s attention to the importance of learning the martial arts for Muslims.

References:

1. Gambling in Islam
2. Sayyid Abdul Husayn Dastghaib Shirazi, Greater Sins, Vol.1
3. Gambling addiction
4. Fiqh al-Reza, p.284.
5. Shaikh al-Hur al-Aamili, Wassail Al-Shia, vol. 18, p.32