The chapter of Individual ownership has always been a bone of contention between Islam and Socialism. Socialism accepts the man's individual ownership on consumable goods but doesn't consider the same for factors of production i.e. land and factories etc. On the other hand, Islam recognizes and accepts the individual ownership on both consumable goods and factors of production. However, Islam has also made a legal system for the rightful use of this individual ownership. Under this legal system, the owner of a factory cannot shut it down by his own will. If the products of this factory are a necessity for general masses and shutting it down is causing trouble for them, the government will force the owner to open the factory for benefit of general masses
The individual ownership on consumable goods and factors of production has existed during the periods of all Prophets of Al Mighty Allah. No Prophet has denied this. The same was done during the life of Prophet Muhammad, before prophet hood and afterwards. Had the important issue of individual ownership of consumable goods and factors of production not valid in Islam, it would certainly have been described in detail in the discussion of lawful and forbidden in Islam. The true reason for giving goods and factors of production in the individual ownership was that a man will increase them through his efforts and grow in the commercial field which will result in benefit of people and country.
In this paper a view of world’s economic problems and currently revolving economic systems have been discussed. A review of all revolving economic systems is given so to find out the most impactful economic system that is free of societal evils. Firstly at a glimpse each economic system has been explained along with their social impacts, so to abstain from ambiguity in concepts. It is observed that economic system is highly sensitive to changes in the distribution of resources. Then basic societal evils including poverty, corruption, inequality, terrorism, unemployment and social injustice, reasons of their emergence, how to overcome them need of an impactful economic system and how to implement it have been discussed.