Abstract
Risk sharing and Islamic economic philosophy long provided ideas for different nations to prosper and innovate. Some of those ideas have survived in venture capital financing, but with the passage of time risk sharing-based instruments for firms and for governments to target domestic markets have been replaced by risk shifting instruments. This chapter provides some preliminary proposals on micromarket instruments which can be used both by governments to bridge fiscal finances, as well as by firms for revenue and non-revenue generating projects. Some empirics and mathematics are also discussed to explore the viability of the proposals.
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Rizvi, S.A.R., Bacha, O.I., Mirakhor, A. (2016). Micro Market Application. In: Public Finance and Islamic Capital Markets. Palgrave Studies in Islamic Banking, Finance, and Economics. Palgrave Macmillan, New York. https://doi.org/10.1057/978-1-137-55342-3_8
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DOI: https://doi.org/10.1057/978-1-137-55342-3_8
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