Knowledge Economy and Islamic finance: A New Institutional Economics Perspective

This lecture aimed to discuss the role of knowledge in economy and provide a theoretical basis of how to include knowledge in economy using the New Institutional Economics (NIE) perspective. To do that, the NIE will be discussed along the status of knowledge in the Muslim world. Due to the difficulty getting data and information on the Muslim world, it was used data representing the Arab world. Besides discussing the status of knowledge in Muslim/Arab nations, the lecture discussed the implications for Islamic finances looking at the NIE framework.