Proceedings of the 6th Batusangkar International Conference, BIC 2021, 11 - 12 October, 2021, Batusangkar-West Sumatra, Indonesia

Research Article

Monetary and Fiscal Policy Mix on the Economy: Sharia Perspective in Literature Review

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  • @INPROCEEDINGS{10.4108/eai.11-10-2021.2319550,
        author={Y Rahmat Akbar and Rahmi  Zainal and Novian  Novian and Martin  Martin},
        title={Monetary and Fiscal Policy Mix on the Economy: Sharia Perspective in Literature Review},
        proceedings={Proceedings of the 6th Batusangkar International Conference, BIC 2021, 11 - 12 October, 2021, Batusangkar-West Sumatra, Indonesia},
        publisher={EAI},
        proceedings_a={BIC},
        year={2022},
        month={8},
        keywords={monetary; fiscal; stability; economy sharia},
        doi={10.4108/eai.11-10-2021.2319550}
    }
    
  • Y Rahmat Akbar
    Rahmi Zainal
    Novian Novian
    Martin Martin
    Year: 2022
    Monetary and Fiscal Policy Mix on the Economy: Sharia Perspective in Literature Review
    BIC
    EAI
    DOI: 10.4108/eai.11-10-2021.2319550
Y Rahmat Akbar1,*, Rahmi Zainal1, Novian Novian2, Martin Martin3
  • 1: Sekolah Tinggi Ilmu Ekonomi Persada Bunda, Indonesia
  • 2: Universitas Riau, Riau, Indonesia
  • 3: Universitas Negeri Malang, Malang, Indonesia
*Contact email: yrahmat.akbar@stiepersadabunda.ac.id

Abstract

This study can conclude the Islamic economic literature's views on fiscal and monetary policy. The monetary policy use to execute the dual banking system will have an influence on macroeconomic policies. Meanwhile, In fiscal policy, the State Expenditure Government Budget instrument relies on taxes as income, whereas Islam, on the other hand, views zakat as the primary source of state revenue. This study used a qualitative approach and descriptive statistics from journal publications published from 2015 to 2021. The analysis results obtained 20 journals and research on the Mix of Monetary and Fiscal Policy on the Economic in the Sharia Perspective. It can be concluded that in the Islamic perspective, Monetary and fiscal policies are critical for a country's welfare, with government protection in the form of fiscal and monetary policies with an Islamic viewpoint as an alternative for creating national welfare.