•  
  •  
 

Abstract

This study examines the role of Zakat as a mechanism for providing the sufficiency level (Had al-Kifayah) and its impact on reducing the scale and depth of poverty. It analyzes the effect of Zakat on wealth redistribution by calculating the Gini coefficient and constructing the Lorenz curve both before and after Zakat application, using the Hashemite Kingdom of Jordan as a case study. The research is based on two primary hypotheses: the potential of Zakat to serve as a successful mechanism for achieving the sufficiency level, and its significant impact on redistributing income across different social strata. The study's findings highlight a distinct difference between the subsistence level and the sufficiency level, emphasizing Zakat's substantial role in redistributing wealth, narrowing the gap between the wealthy and the poor, and minimizing poverty to its lowest possible levels. Furthermore, the results demonstrate that implementing Zakat would lead to a measurable decrease in the Gini coefficient from its initial value to a lower post-application value, thereby improving distributional equity by a specific percentage and providing empirical evidence to support the research hypotheses.

DOI

10.33095/k38r1f53

Subject Area

Economics

First Page

336

Last Page

353

Rights

https://creativecommons.org/licenses/by-nc/4.0

Download

Share

COinS