Applying Islamic Rational Consumption Perspective in Egypt

This study investigated the impact of applying Islamic rationality on consumption in Egypt by using economic- methods. We covered the period starting from year 2000 due to the changing in consumer taste as an impact of overwhelming globalization and, place limitations: the study is concerned with Egypt, designing an Islamic consumption framework that may be applicable to Egypt and using the suggested, framework to develop Islamic theory of consumer behavior, which will add the concept of "Rushd" (as opposed to the concept of rationality in secular economics) in adjusting the consumption in Egypt. Finally, we found that the most important conclusion is that conventional economics should include normative and religious instrument to attain the goal on consumer satisfaction. To achieve this goal, it is concerned with applying three methods of linear regression (ordinary least squares, least trimmed, square and M-estimation) on the data of consumption and expenditure at 2015 in both urban and rural sectors to study the effect of some independent variables on the total expenditure (the dependent variable). A comparison between the three methods is made using the standard error and R -squared obtained. The relation between the dependent variable and independent variables is represented by the path analysis using the Amos program. Two of robust skewness and kurtosis measures are used to determine the shape of the distribution of the total annual income in both urban and rural sectors before and after removing the outliers in income data. It is suggested to calculate the Zakah by diving the individuals into two groups (Poor and nonpoor) according to the median of the income.