The Source of Making a Distinction between the Real and False Needs in Islamic Economics

One of the fundamental issues in economic policymaking is determining the needs that must be met. Explaining the source of human needs is among the factors of determining and ranking the human needs. Using a theoretical analysis, this paper analyzes the text and content of traditional and religious sources in this regard. The question here is whether all the desires of man are regarded as his needs and scarce resources should be allocated to satisfy them or a part of them, or are there false and illusory needs with no foundation and basis in human’s existence? In order to distinguish between real and false needs, the origin of human needs should be known. The research hypothesis is that the source of man’s real needs is the inherent talents that God placed in his nature at the beginning of creation, and the origin of man’s false needs is his uncontrolled desires. The research findings confirm the distinction between real and false needs based on man’s inherent talents. Such distinction can contribute to the improvement of theories and policies in Islamic economics.