Human development index from the Islamic perspective: roles of taxation, zakah, and health and education expenditures

This study analyzes the relationship between taxation, zakah, and health and education expenditure, and the Islamic Human Development Index (I-HDI). It further examines the relationship between these factors and the Human Development Index (HDI). We calculate I-HDI based on maqāṣid al-sharī'ah...

Full description

Bibliographic Details
Main Authors: M. Zidny Nafi’ Hasbi, Makhrus Munajat, Abdul Qoyum
Format: Article
Language:English
Published: Penerbit Universiti Kebangsaan Malaysia 2023
Online Access:http://journalarticle.ukm.my/22005/
http://journalarticle.ukm.my/22005/1/JeM_8.pdf
_version_ 1848815492112842752
author M. Zidny Nafi’ Hasbi,
Makhrus Munajat,
Abdul Qoyum,
author_facet M. Zidny Nafi’ Hasbi,
Makhrus Munajat,
Abdul Qoyum,
author_sort M. Zidny Nafi’ Hasbi,
building UKM Institutional Repository
collection Online Access
description This study analyzes the relationship between taxation, zakah, and health and education expenditure, and the Islamic Human Development Index (I-HDI). It further examines the relationship between these factors and the Human Development Index (HDI). We calculate I-HDI based on maqāṣid al-sharī'ah theory by combining material and non-material aspects and then compare it with HDI. The indicators used in the I-HDI calculation are based on the objectives that reflect a comprehensive human development. Employing the dynamic panel regression two-step Generalized Method of Moments on data from 34 provinces in Indonesia, this study finds a significant difference between the results of the HDI and I-HDI analyses. This study reveals that economic growth, health expenditure, and zakah improve HDI and I-HDI. Although educational expenditure improves I-HDI, it also has a negative effect on HDI. This research suggests that when formulating budget policies, the government should focus not only on material elements but also on non-material elements that are reflected in the I-HDI model.
first_indexed 2025-11-15T00:50:50Z
format Article
id oai:generic.eprints.org:22005
institution Universiti Kebangasaan Malaysia
institution_category Local University
language English
last_indexed 2025-11-15T00:50:50Z
publishDate 2023
publisher Penerbit Universiti Kebangsaan Malaysia
recordtype eprints
repository_type Digital Repository
spelling oai:generic.eprints.org:220052023-08-07T03:19:04Z http://journalarticle.ukm.my/22005/ Human development index from the Islamic perspective: roles of taxation, zakah, and health and education expenditures M. Zidny Nafi’ Hasbi, Makhrus Munajat, Abdul Qoyum, This study analyzes the relationship between taxation, zakah, and health and education expenditure, and the Islamic Human Development Index (I-HDI). It further examines the relationship between these factors and the Human Development Index (HDI). We calculate I-HDI based on maqāṣid al-sharī'ah theory by combining material and non-material aspects and then compare it with HDI. The indicators used in the I-HDI calculation are based on the objectives that reflect a comprehensive human development. Employing the dynamic panel regression two-step Generalized Method of Moments on data from 34 provinces in Indonesia, this study finds a significant difference between the results of the HDI and I-HDI analyses. This study reveals that economic growth, health expenditure, and zakah improve HDI and I-HDI. Although educational expenditure improves I-HDI, it also has a negative effect on HDI. This research suggests that when formulating budget policies, the government should focus not only on material elements but also on non-material elements that are reflected in the I-HDI model. Penerbit Universiti Kebangsaan Malaysia 2023 Article PeerReviewed application/pdf en http://journalarticle.ukm.my/22005/1/JeM_8.pdf M. Zidny Nafi’ Hasbi, and Makhrus Munajat, and Abdul Qoyum, (2023) Human development index from the Islamic perspective: roles of taxation, zakah, and health and education expenditures. Jurnal Ekonomi Malaysia, 57 (1). pp. 1-15. ISSN 0127-1962 https://ejournals.ukm.my/jem/
spellingShingle M. Zidny Nafi’ Hasbi,
Makhrus Munajat,
Abdul Qoyum,
Human development index from the Islamic perspective: roles of taxation, zakah, and health and education expenditures
title Human development index from the Islamic perspective: roles of taxation, zakah, and health and education expenditures
title_full Human development index from the Islamic perspective: roles of taxation, zakah, and health and education expenditures
title_fullStr Human development index from the Islamic perspective: roles of taxation, zakah, and health and education expenditures
title_full_unstemmed Human development index from the Islamic perspective: roles of taxation, zakah, and health and education expenditures
title_short Human development index from the Islamic perspective: roles of taxation, zakah, and health and education expenditures
title_sort human development index from the islamic perspective: roles of taxation, zakah, and health and education expenditures
url http://journalarticle.ukm.my/22005/
http://journalarticle.ukm.my/22005/
http://journalarticle.ukm.my/22005/1/JeM_8.pdf