National Income Calculation in the Islamic Economic System

Abstract

This study aims to analyze the concept and calculation of national income from the perspective of Islamic economics and compare it with the conventional approach. National income is an essential indicator for determining a country's level of production, welfare, and overall economic capacity. In conventional economics, national income is measured through instruments such as Gross Domestic Product (GDP), Gross National Product (GNP), Net National Product (NNP), Personal Income, and Disposable Income using the production, income, and expenditure approaches. In contrast, Islamic economics emphasizes moral, social, and spiritual dimensions by incorporating zakat, infaq, sadaqah, and waqf as instruments of wealth redistribution. These instruments play a crucial role in promoting social justice, enhancing income distribution, and reducing structural poverty. This study employs a qualitative method through library research, examining academic literature to understand how Islamic instruments can be integrated into national income and welfare measurement. The findings indicate that national income assessment based on Islamic principles provides a more comprehensive framework, as it evaluates not only economic growth but also societal well-being and equitable prosperity in accordance with the objectives of maqasid al-shariah.