A Review of Dr. Yunus’ Book on Social Business and the New Economics of Zero Poverty, Zero Unemployment, and Zero Net Carbon Emissions

  Today we are going to discuss the latest book by Dr. Muhammad Yunus, the Nobel laureate and founder of Grameen Bank, who proposes a new economic system that aims to eliminate poverty, unemployment, and environmental degradation. The book is called A World of Three Zeros: The New Economics of Zero Poverty, Zero Unemployment, and Zero Net Carbon Emissions.

He argues that the current capitalist system is broken and unsustainable, and that we need a new economic paradigm that harnesses the power of altruism and social responsibility as well as self-interest.

He defines social business as a non-dividend company that is created and designed to address a social problem. Unlike a charity, it does not depend on donations or subsidies, but generates its own income by selling goods or services. Unlike a conventional business, it does not aim to maximize profits for its owners or shareholders, but reinvests all its surplus in expanding its social impact. He gives many examples of successful social businesses that he has launched or supported in various sectors such as health, education, energy, agriculture, and finance.

According to Dr. Yunus, social business can create a world of three zeros by tackling the root causes of poverty, unemployment, and environmental degradation. He claims that social business can empower the poor by providing them with access to basic needs and opportunities for income generation. He also claims that social business can create employment for the millions of young people who are left out of the formal economy by tapping into their creativity and entrepreneurial potential. He further claims that social business can reduce greenhouse gas emissions and promote renewable energy sources by offering low-cost and eco-friendly solutions for the consumers and producers.

I appreciate his vision and analysis, but I also have some reservations and criticisms. I agree that the current capitalist system is flawed and needs reform, but I do not think that social business alone can replace it or solve all its problems. I think that social business is a valuable complement to other forms of economic organization, such as cooperatives, nonprofits, charities, and public enterprises, but not a substitute for them. I also think that social business faces many challenges and limitations in terms of financing, regulation, governance, accountability, and competition. I do not think that social business can operate effectively in every sector or market without proper support and coordination from the government and other stakeholders.

I would suggest that he incorporates more insights from Islamic economics and finance into his model. Islamic economics and finance share many common values and objectives with social business, such as justice, equity, welfare, cooperation, trust, and sustainability. Islamic economics and finance also offer many tools and instruments that can enhance the performance and impact of social business, such as zakat (obligatory charity), sadaqah (voluntary charity), waqf (endowment), qard al-hasan (benevolent loan), mudarabah (profit-sharing), musharakah (partnership), ijara (leasing), murabahah (cost-plus sale), salam (advance purchase), istisna (manufacturing contract), sukuk (Islamic bonds), takaful (Islamic insurance), hawala (informal money transfer), bayt al-mal (public treasury), hisbah (market regulation), shura (consultation), shari’ah (Islamic law), fiqh (jurisprudence), maqasid al-shari’ah (objectives of Islamic law), maslahah (public interest), darurah (necessity), etc.