The Prosociality Dilemma: Contrasting Modern and Islamic Economics

In a world increasingly driven by economic forces, does our understanding of economics shape our capacity for compassion? This comprehensive review explores the complex relationship between economics education and prosocial behavior, juxtaposing conventional economic theories with alternative perspectives, particularly Islamic economics. It examines how exposure to economic reasoning may foster self-interested behavior through self-selection and indoctrination effects, while also considering the potential of markets to promote cooperation. The paper roots into behavioral economics and social preferences, highlighting the role of fairness and reciprocity in economic interactions. A significant focus is placed on religious economics, especially Islamic economics, as a counterpoint to neoclassical models. Empirical evidence suggests that religious frameworks can enhance prosocial tendencies in economic decision-making. The review concludes by emphasizing the need for a more holistic approach to economics education that integrates ethical considerations and diverse cultural perspectives. Future research directions include longitudinal studies to assess long-term impacts and field experiments to validate findings in real-world contexts.