Operationalizing Al-Kasb: Economic Sufficiency, Cigarette Expenditure, and Regional Human Development in Indonesia

Authors

  • Agung Pardini Institute for Demographic and Affluence Studies (IDEAS) and Universitas Islam Negeri Sunan Gunung Djati Bandung, Indonesia https://orcid.org/0009-0005-3787-8495
  • Elis Ratna Wulan Universitas Islam Negeri Sunan Gunung Djati Bandung, Indonesia
  • Tira Mutiara Institute for Demographic and Affluence Studies (IDEAS) and Universitas Islam Negeri Syarif Hidayatullah Jakarta, Indonesia https://orcid.org/0009-0001-1708-4613

DOI:

https://doi.org/10.21580/economica.2026.17.1.33050

Keywords:

Al-Shaybani, Israf, Kifayah, Life expectancy, Mean years of schooling, Spatial Error Model

Abstract

Regional disparities in human development persist across Indonesia, while Islamic concepts of economic sufficiency and consumption moderation remain empirically underexplored. Drawing on al-Shaybānī’s al-Kasb, this study examines associations of kifāyah (economic sufficiency) and isrāf (wasteful consumption) with life expectancy (LE) and mean years of schooling (MYS) across 514 regencies and cities. Using March 2025 Susenas data, kifāyah is measured as per capita expenditure relative to 1.5 times the regional poverty line, and isrāf is partly approximated by the cigarette share of total expenditure. The poverty rate serves as a control. Nested ordinary least squares (OLS) models with HC1 robust and province-clustered standard errors are estimated alongside spatial error models. Kifāyah is positively and significantly associated with MYS but not LE, whereas isrāf and poverty are negatively and significantly associated with both outcomes. These patterns persist under clustered and spatial specifications. Spatial error models yield lower Akaike information criterion (AIC) values than OLS, and residual Moran’s I indicates no significant spatial autocorrelation under the specified weights. The findings are consistent with an Islamic economic perspective that links consumption moderation to both outcomes and sufficiency to education, but are associational rather than causal, and the proxies capture only part of al-Shaybānī’s thought.

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Published

2026-05-30

How to Cite

Pardini, A., Wulan, E. R., & Mutiara, T. (2026). Operationalizing Al-Kasb: Economic Sufficiency, Cigarette Expenditure, and Regional Human Development in Indonesia. Economica: Jurnal Ekonomi Islam, 17(1), 181–209. https://doi.org/10.21580/economica.2026.17.1.33050

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