What is Islamic Banking?
What will be an ideal response?
Islamic law prohibits the charging of interest on loans. In Muslim countries, banks are not allowed to make traditional loans, but rather play their intermediary role by taking a predetermined percentage of the borrowing firm's profits until the loan is repaid. Therefore, in a sense, banks under Islamic Banking act as venture capitalists rather than traditional lenders.
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Economic growth is the result of all of the following EXCEPT
A) technological change. B) capital accumulation. C) opportunity cost. D) investment in human capital.
"Mediocre economists often consider only the immediate apparent effects of a change, whereas a good economist will also consider effects that may only become observable over time." This statement most clearly emphasizes
a. the fallacy of composition. b. economizing behavior. c. the importance of secondary effects. d. the fact that association is not causation.