Mudarabah Definition - Free Essay Example

Sample details Pages: 3 Words: 885 Downloads: 8 Date added: 2018/12/30 Category Finance Essay Type Assignment Level High school Did you like this example? Whats Mudarabah? It is a kind of partnership where one partner gives money to another for investing in a commercial enterprise. The investment comes from the first partner who is called Rab-ul-Maal while the management and work is an exclusive responsibility of the other, who is called Mudarib and the profits generated are shared in a predetermined ratio (Aziz, 2012 pg 7). Types of Mudarabah Restricted Mudarabah (Al Mudarabah Al Muqayyadah): It implies thatRab-ul-Maal is identifying particular business or a particular place for theMudarib, in the case that he shall invest the money in (Chowdhry, 2016 pg. 5) Don’t waste time! Our writers will create an original "Mudarabah Definition" essay for you Create order Types of Mudarabah Unrestricted Mudarabah (Al Mudarabah Al Mutlaqah): It implies thatRab-ul-Maal provides full freedom toMudarib to undertake whatever business he considers, HoweverMudarib cannot lend money to anyone or do any extraordinary work without the approval ofRab-ul-Maal. He is also not authorized to: Keep another Mudarib or a partner. Mix his own investment in that particular Mudarabah without the consent ofRab-ul-Maal (Anwar, 2011 pg. 30). Business case Durrat Al Bahrain is considered as a hallmark resort island city, Located on the south coast of Bahrain. Offerings over 2000 beachfront villas, 3600 executive apartments and offices, luxury hotels and spa resorts, parks and entertainment (Ma, 2009 pg. 12). On 2003 Development of Durrat Khaleej Al-Bahrain Project launched. Its a US$ 6 billion joint development project owned by the Government of Bahrain and Kuwait Finance House (Bahrain). Kuwait Finance House (Bahrain) owning equal shares (50%) with the Government of Kingdom of Bahrain (Manap, 2017 pg. 10) Transaction Structure 1. Project Feasible study Collection capital Sharing Profit/ Loss Marketing project CBB Insurance Approve project Risk management department evaluate proposed project, and draw scenarios, backup plan. Presented project to CBB insurance for approval, and risk assessment. CBB hold project forecasted capital as guarantee, to reduce risk of project failure and to protect investors. Collecting and marketing project, through adding expected profit from the project. Made will be shared between the capital provider and the entrepreneur according to an agreed ratio, where both parties share in profits and only capital provider bears all the losses if occurred (Nisar, 2007 pg. 31). Why Mudarabah was successful? Low Participation in Profit Loss Sharing Arrangement: They studied the market too well and they considered offering an affordable and realistic rate to the buyers. It is the most secure product based on the feasibility studies that they have done (Nuruzzaman, 2013 pg. 32) The real state projects are always welcome and on high demand in the gulf. Advantages of Mudarabah Although this Quranic verse do not addresses straight forward the validity of mudaraba, it has been interpreted to include the intention of trading and seeking permissible income (Sadique, 2009 pg. 12) Basically, the wordmudarabat/ is derived from the Arabic word Daraba/ Which meansto strike. In Islamic Jurisprudence, mudarabat/ is such trade or business of partnership in which one party provides toanother party the capital and that other party carries on the business. Like all other trade and business the object of this business is also to earn profit by dong a business which isnot prohibited by the Shari`ah and in which no element of? Riba involves. When at the end the business earns profitthe same is distributed among the partners according to thealready agreed conditions. Thusmu darabat/ is akind of Partnership (Shir a kat) in which one partyinvests money and the other party puts his services. Advantages of Mudarabah Earn profit by doing a business which is not prohibited by the Shari`ah and in which no element of Riba involves. When at the end of the business earns profit the same is distributed among the partners according to the already agreed conditions (Khan, 2016 pg. 11) It assists in financial inclusion. Reducing the impact of harmful products and practices. It promotes the principle of financial justice Encouraging stability in investments. Accelerating economic development. Disadvantages (limitation) of Mudarabah Due to greater complexities of Islamic bank transactions, they face a greater difficulties in recognizing and handling risks as compare with a conventional bank. It is difficult to expand a business financed through Mudarabah because of limited opportunities to re-invest retained earnings and/or raising additional funds. TheMudarib cannot become the sole owner of the project except through diminishing Musharakah, which may take a long time PLS (Khaled, 2011 pg. 9) Reference List Anwar, M., 2011. Development Of Mudarabah Instruments: Understanding Their Profitability, Securitization And Negotiability Aspects. International Journal of Economics, Management and Accounting, 9(2). Aziz, F., Anjam, M., Fahim, S.M. and Saleem, F., 2012. Mudarabah in Islamic Finance: A Critical Analysis of Interpretation Implications. International Journal of Asian Social Science, 3(5), pp.1236-1243. Chowdhry, S., 2016. Creating an Islamic microfinance model: the missing dimension. Dinar Standard: Business Strategies for the Muslim World. Khaled, M., 2011, June. Building a successful business model for Islamic microfinance. In Global Microcredit Summit Commissioned Workshop Paper. Khan, M.A., 2012. Types of Business Organisation in an Islamic Economy. Quill Publishers. Ma, I.Z.L., 2009. How Islamic Banking System work and operate in Malaysia/Isa Ma Zi Liang (Doctoral dissertation, Universiti Malaya). Manap, A., Hanna, S. and Siththi, F., 2017. Poverty Alleviation via Microfinance using the Concept of Mudharabah.? International journal of management and applied research, 4(3), pp.188-178. Nisar, S., 2007. Islamic Bonds (Sukuk): its introduction and application. Electronic Article at: www. financeinislam. com. Nuruzzaman, M., 2013. Politics, economics and Saudi military intervention in Bahrain. Journal of Contemporary Asia, 43(2), pp.363-378. Sadique M.A., 2009. Essentials of Musharakah and Mudarabah: Islamic texts on theory of partnership. IIUM Press.

Bipolar Disorder ( Bd ) - 1879 Words

Bipolar disorder (BD), or manic depression, is one of the oldest mental illnesses, first being documented in 1st Century Greece by Aretaeus of Cappadocia. He first noted the link between mania and depression that is so characteristic of the disease. As the years progressed the disease changed names from â€Å"mania† and â€Å"melancholia† during Ancient Greece and Rome, to â€Å"manico-melancolicus† in the 17th century, â€Å"lafolie circulaire† in 1851, and now, finally, â€Å"bipolar† as defined by the American Psychiatric Association’s Diagnostic and Statistical Manual of Mental Disorders (DSM) in 1980. Bipolar disorder affects 2.3 million Americans, or 1.2% of the population (Gambaccini, 2012). It is equally represented in men and women and among all races,†¦show more content†¦The first paper, Large-scale genome-wide association analysis of bipolar disorder identifies a new susceptibility locus near ODZ4, by Sklar et al.,  "combined genome-wide association (GWAS) analysis of 7,481 individuals affected with bipolar disorder and 9,250 control individuals within the Psychiatric Genomewide Association Study Consortium Bipolar Disorder group (PGC-BD)† (2011). In order to achieve this, they used a variety of methods including a genome wide association analysis (GWAS), replication study, and a pathway analysis. For the GWAS they used 16,731 BD samples from multiple overlapping case and control studies facilitated by the Psychiatric Genome-wide Association Study Consortium (PGC) and 47,035 individuals for the replication sample. After receiving the primary genotype and phenotype data for all of the samples, they combined them into a datasheet with 7,481 unique cases and 9,250 unique controls selected. The sample was broken down with 84% BD type 1, 11% BD type 2, 4% schizoaffective disorder bipolar type, and 1% other bipolar diagnosis. They used 46,234 SNP’s, or single nucleotide polymorphisms, to directly genotype all 11 groups and 1,016,924 NPs were genotyped for 9 of the groups. SNPs are a single nucleotide that is changed that can result in a disease by altering a gene’s function. They then used a logistic regression of the case statuses on the dosages of SNPs and determined that

Negative Utilitarianism An Overview Free Essays

Most utilitarian theories deal with producing the greatest amount of good for the greatest number of people. Negative utilitarianism (NU) requires us to promote the least amount of evil or harm, or to prevent the greatest amount of suffering for the greatest number. Proponents like Karl Popper, Christoph Fehige and Clark Wolf argue that this is a more effective ethical formula, since, they contend, the greatest harms are more consequential than the greatest goods. We will write a custom essay sample on Negative Utilitarianism: An Overview or any similar topic only for you Order Now Karl Popper also referred to an epistemological argument: â€Å"It adds to clarity in the fields of ethics, if we formulate our demands negatively, i. e. if we demand the elimination of suffering rather than the promotion of happiness. †(Karl R. Popper,1945) Most forms of utilitarianism hold that we ought to do that which maximises the good and minimises the bad. There is some disagreement about what the good and the bad are– whether the good is people being happy and the bad is people being unhappy, or the good is people getting what they want and the bad is people not getting what they want, or whatever–but most utilitarians agree that whatever the good and the bad are, we ought to bring about as much of the former and as little of the latter as is possible. Negative utilitarians disagree. Negative utilitarians are concerned only with minimising the bad. They don’t think we ought to maximise the good and minimise the bad, and that when we must choose between the two we must weigh the difference that we can make to the one against the difference that we can make to the other; rather, negative utilitarians hold just that we ought to minimise the bad, that we ought to alleviate suffering as far as we are able to do so. Suppose that I have a choice to make: I can either make the happiest man in the world even happier than he already is, or I can alleviate some of the suffering of the unhappiest man in the world. Suppose further that the difference that I can make to the happy man is much greater than the difference that I can make to the unhappy man. Most utilitarians would say that in this case I ought to help the happy man. As I can make a greater difference to the life of the happy man than I can make to the life of the unhappy man, it is the happy man whom I should help. Negative utilitarians disagree. Negative utilitarians hold that it is more important to alleviate suffering than it is to promote pleasure, and that I should therefore always choose to alleviate suffering rather than promote pleasure when forced to choose between the two. In most supporters of moderate NU the preference to survive is stronger than the wish to be freed from suffering, so that they refuse the idea of a quick and painless destruction of life. Some of them believe that, in time, the worst cases of suffering is defeated and a world of minor suffering can be realized. The big problem with negative utilitarianism is that it appears to require the destruction of the world. The world contains much suffering, and the future, presumably, contains a great deal more suffering than the present. Each of us will suffer many calamaties in the course of our lives, before those lives finally end with the suffering of death. There is a way, however, to reduce this suffering: we could end it all now. With nuclear weapons technology, we have the capability to blow up the planet, making it uninhabitable. Doing so would cause us all to suffer death, but death is going to come to us all anyway, so causing everyone to die will not increase the suffering in the world. Causing us to die now, though, will decrease the suffering in the world; it will prevent us from suffering those calamaties that were going to plague us during the remainder of our lives. Destroying the planet, then, will reduce the suffering in the world. According to negative utilitarianism, then, it is what we ought to do. That, though, is surely absurd. Negative utilitarianism, therefore, is false. How to cite Negative Utilitarianism: An Overview, Papers