Journal of Economics, Law and Society
type: channel
description: Welcome to JELS - Exploring the Intersection of Economics, Law and Society Journal of Economics, Law and Society (ISSN 3029-3189) is a cutting-edge academic platform dedicated to exploring the intricate relationships between economics, law, and society, with a special emphasis on the Islamic finance industry. Journal of Economics, Law and Society (JELS) provides a robust space for rigorous research, insightful analysis, and scholarly discussions on these pivotal subjects. As an international journal published in Bosnia and Herzegovina, JELS focuses on interdisciplinary research, recognizing the growing importance of interdisciplinary approaches in revitalizing and unifying theory and practice in academia. Our journal facilitates rapid communication and knowledge exchange among global researchers, universities, and academic institutions. It covers the latest developments across various scientific disciplines, encompassing business and management, law, public administration, sociology, anthropology, economics, social work, history, education, psychology, political science, ethics, and more. All submissions undergo a stringent double-blind peer-review process, emphasizing clarity and accessibility for a global audience, without bias toward any particular theories. JELS offers readers high-quality theoretical and empirical research that seamlessly merges legal and economic perspectives. We welcome articles that enhance our understanding of legal phenomena, judicial decisions, and their economic implications, including theoretical papers rooted in law and economics, case studies, empirical analyses, and experimental investigations. While we do not favor specific topics, we hold a keen interest in new and emerging issues, particularly those related to Islamic finance, as we believe in exploring innovative approaches to financial intermediation. Our journal’s mission also involves showcasing the diversity of law and economics approaches, with contributions from an internat…
publisher: ESREIN
language: en
publication name: Journal of Economics, Law and Society
issn: 3029-3189
items: Editorial
items: What Drives Corporate Financial Resilience? A Credit Analysis Approach with Management Efficiency Insights
items: Banking Sector Concentration, Profitability and Non-Performing Loans
items: The Lagged Financial Effects of R&D Investments on IT Company Performance in Bosnia and Herzegovina
items: Decentralized Crime: Fraud, Cybercrime and Legal Enforcement
items: Awareness and Attitudes of Customers Towards Islamic Banking Products in Non-Muslim Country
items: Examination of Sukuk Structures in the Turkish Participation Financial System
items: Crowdfunding: An end of an era, or a course correction? A bibliometrics analysis.
items: Structuring Islamic Financial Literacy Construct to Measure Islamic Banking Products Adoption in Uganda
items: Profitability and Resilience
items: Total Factor Productivity and Foreign Human Capital
items: Wasatiyah Optimization in Sustainable Wealth Management
items: Harmonizing Economic Growth with Environmental Justice
items: Adapting to Change
items: Islamic Finance as a Crisis-Resilient Framework
items: Surah Al-Qalam and the Tragedy of the Commons
items: Are Islamic bonds a safe choice for portfolio diversification in time of crisis?
items: The Rise of Green Bonds
items: Enhancing Financial Inclusion through Financial Literacy
items: The The Role of Demographics in Green Purchase Intentions
items: The Institutions-Finance-Growth Nexus

Editorial
type: item
description: As the Journal of Economics, Law and Society (JELS) (ISSN 3029‑3189) publishes Volume 2, Issue 2, we mark the completion of our second year as an international, peer‑reviewed platform dedicated to the intricate relationships between economics, law, and society, with a particular emphasis on Islamic finance and related interdisciplinary themes. This milestone coincides with an important strategic shift in our publishing model. Beginning with Volume 3, JELS will adopt a continuous publication policy, under which articles will be published online as soon as they complete peer review and production, rather than waiting for compilation into a full issue. This change reflects our commitment to timely scholarly communication, enhanced visibility for our authors, and greater accessibility for our global readership. Continuous publication has become an increasingly common model across academic journals because it reduces delays between acceptance and publication, allows research to be cited sooner, and supports a more dynamic flow of knowledge. For JELS, this model aligns closely with our mission to facilitate rapid, rigorous, and interdisciplinary dialogue among scholars, practitioners, and policymakers working at the intersection of law, economics, and society. While our archival structure of volumes and issues will remain, these will now be built progressively over time, as accepted articles are added in sequence. This evolution in our publishing practice is thus both operational and conceptual: it positions JELS as a responsive forum for emerging debates in areas that demand timely engagement, such as financial regulation, technological innovation, and institutional reform.
subject: Editorial
  topic: section
subject: editorial
  topic: keywords
subject: JELS
  topic: keywords
subject: editorial
  topic: subjects
creator: Edib Smolo
rights: Copyright (c) 2025 Dr. Edib Smolo (Author) https://creativecommons.org/licenses/by/4.0
date: 2025-12-30
publication date: 2025-12-30
starting page: 1
ending page: 3
doi: 10.70009/jels.2024.2.2.0

What Drives Corporate Financial Resilience? A Credit Analysis Approach with Management Efficiency Insights
type: item
description: Building resilient companies capable of withstanding financial pressure is increasingly important for stakeholders, especially banks, investors, and suppliers operating in uncertain economic environments. Conventional credit assessment models often prioritize financial ratios, yet overlook the strategic influence of managerial capability on a firm's capacity to endure stress and maintain financial stability. This research places management efficiency at the forefront as a key driver of corporate resilience, examining how internal resource utilization, operational decisions, and financial management shape long-term sustainability. The analysis is based on 1,531 corporate loan cases from a commercial bank in Bosnia and Herzegovina, incorporating balance sheet and income statement indicators available at loan approval, including both static financial ratios and year-to-year performance changes. Factor analysis and regression results reveal that liquidity, self-financing levels, asset turnover, gross margin, and accounts receivable collection time are relevant predictors of financial resilience; however, management efficiency stands out as the most influential determinant. Firms with inefficient managerial practices demonstrate substantially lower resilience and higher vulnerability to financial deterioration. The findings highlight the strategic importance of integrating managerial effectiveness into risk evaluation frameworks and support the view that strong management is a foundation of corporate resilience in the financial sector.
subject: Original Articles
  topic: section
subject: company resilience; management efficiency; multivariate analysis
  topic: keywords
subject: company resilience; management efficiency; multivariate analysis
  topic: subjects
creator: Admir Meskovic
rights: Copyright (c) 2025 Admir Meskovic (Author) https://creativecommons.org/licenses/by/4.0
date: 2026-01-30
publication date: 2026-01-30
starting page: 73
ending page: 86
doi: 10.70009/jels.2025.2.2.5

Banking Sector Concentration, Profitability and Non-Performing Loans
type: item
description: This paper examines how banking sector concentration and profitability relate to non-performing loans (NPLs) in a broad cross-country setting. Using an unbalanced panel of 93 countries over 2000-2020, it combines system-level data on the ratio of bank non-performing loans to gross loans, the asset share of the three largest banks (concentration), and the post-tax return on assets (ROA) of the banking sector. The empirical strategy proceeds in two steps. First, descriptive statistics and simple correlations document basic patterns in NPLs, concentration and profitability, including systematic differences between advanced and other economies. Second, a set of linear regressions is estimated with NPLs as the dependent variables: pooled ordinary least squares models, panel specifications with country fixed effects and year dummies, and pooled interaction models that allow coefficients to differ between advanced and other country groups. The results indicate a robust, economically meaningful negative association between profitability and NPLs across specifications: higher ROA is consistently linked to lower NPL ratios. By contrast, banking sector concentration plays a more nuanced role. In pooled regressions, concentration is only weakly related to NPLs, but in fixed-effects models increases in concentration within countries over time are associated with moderately higher NPLs. Advanced economies exhibit persistently lower NPL ratios than other economies even after conditioning on concentration and profitability, while the marginal effects of these variables appear broadly similar across groups. Overall, the findings highlight the importance of sustained profitability for asset quality and suggest that greater concentration does not automatically translate into lower credit risk.
subject: Original Articles
  topic: section
subject: bank non-performing loans
  topic: keywords
subject: credit risk
  topic: keywords
subject: banking sector concentration
  topic: keywords
subject: return on assets
  topic: keywords
subject: ROA
  topic: keywords
subject: Banking
  topic: subjects
creator: Ilinka Antova
rights: Copyright (c) 2025 Ilinka Antova (Author) https://creativecommons.org/licenses/by/4.0
date: 2025-12-30
publication date: 2025-12-30
starting page: 39
ending page: 57
doi: 10.70009/jels.2025.2.2.3

The Lagged Financial Effects of R&D Investments on IT Company Performance in Bosnia and Herzegovina
type: item
description: Investments and allocations in research and development (R&D) represent a main driver of competitive advantage, innovation, and sustainable growth for the most reputable IT companies in Bosnia and Herzegovina. This study empirically examines the impact of R&D expenditures on corporate performance and market value over the period 2022–2024, using comprehensive and balanced data that ensures high analytical precision. Descriptive statistics indicate significant variability in the expected growth rate measured by the DCF method, while correlation analysis confirms positive and statistically significant relationships between R&D expenditures and key performance indicators (ROA, ROE, DCF), with stronger links observed in 2023 and 2024. Regression analyses, including models with lagged effects from previous periods, demonstrate that increased R&D allocations significantly enhance current and future profitability, market value growth, and competitive positioning, with variations depending on year and indicator. The results underscore the strategic importance of continuous and well-planned R&D investments for achieving sustainable growth, creating comparative advantages, and maximizing corporate value, providing empirical evidence and practical implications for managers and investors in the IT sector in Bosnia and Herzegovina.
subject: Original Articles
  topic: section
subject: Economics & Finance
  topic: category
subject: Finance
  topic: category
subject: R&D, DCF method, ROA, ROE, regression analysis, correlation analysis, lagged effects, IT sector of Bosnia and Herzegovina
  topic: keywords
subject: Keywords: R&D, DCF method, ROA, ROE, regression analysis, correlation analysis, lagged effects, IT sector of Bosnia and Herzegovina JEL: G31, G32, C10, C50, O30
  topic: subjects
creator: Jasmina Džafić
creator: Šeherzada Šakić
creator: Aida Zahirovic Hadžić
rights: Copyright (c) 2025 Jasmina Džafić, Šeherzada Šakić, Aida Zahirovic Hadžić (Author) https://creativecommons.org/licenses/by/4.0
date: 2025-12-30
publication date: 2025-12-30
starting page: 59
ending page: 72
doi: 10.70009/jels.2025.2.2.4

Decentralized Crime: Fraud, Cybercrime and Legal Enforcement
type: item
description: The rapid rise of Decentralized Finance (DeFi) and anonymity-focused cryptocurrencies has transformed financial systems by eliminating intermediaries and enabling peer-to-peer transactions. While these innovations offer numerous benefits, they also present unprecedented challenges for crime prevention and regulatory enforcement. This paper examines how DeFi and privacy-enhanced cryptocurrencies, such as Monero and Zcash, facilitate financial crimes, including money laundering, ransomware attacks, and fraud. By applying criminological theories—Strain Theory, Routine Activity Theory, and Rational Choice Theory—this study reinterprets traditional crime models in the context of blockchain-based financial ecosystems. Law enforcement agencies face significant hurdles in investigating and prosecuting crypto-enabled financial crimes due to jurisdictional limitations, privacy-enhancing technologies, and decentralized governance. This paper explores how blockchain analytics, artificial intelligence-driven risk assessment, and cross-border regulatory collaborations, such as the Financial Action Task Force (FATF) Travel Rule and the EU’s Markets in Crypto-Assets (MiCA) regulation, are being developed to counter these emerging threats. Additionally, it assesses the institutional limitations of law enforcement agencies, the role of DeFi governance communities in mitigating financial crimes, and the potential impact of central bank digital currencies (CBDCs) on reducing illicit transactions. To enhance regulatory effectiveness, this study recommends strengthening international cooperation, improving forensic capabilities for tracking illicit blockchain transactions, and implementing ethical frameworks that balance financial privacy with security. The findings contribute to criminology, financial regulation, and cybersecurity by offering insights into evolving digital crimes and proposing solutions to mitigate their risks. Future research should explore the role of artificial intel…
subject: Original Articles
  topic: section
subject: Society
  topic: category
subject: Law & Legal Studies
  topic: category
subject: Economics & Finance
  topic: category
subject: Decentralized Finance
  topic: keywords
subject: Financial Crime
  topic: keywords
subject: Blockchain Forensics
  topic: keywords
subject: Cryptocurrency Regulation
  topic: keywords
subject: Criminal Theory
  topic: subjects
subject: Cryptocurrency Regulation
  topic: subjects
subject: Decentralized Finance
  topic: subjects
subject: Financial Crime
  topic: subjects
creator: Hazik Mohamed
rights: Copyright (c) 2025 Hazik Mohamed (Author) https://creativecommons.org/licenses/by/4.0
date: 2025-12-30
publication date: 2025-12-30
starting page: 5
ending page: 22
doi: 10.70009/jels.2025.2.2.1

Awareness and Attitudes of Customers Towards Islamic Banking Products in Non-Muslim Country
type: item
description: The objective of this study is to examine the level of potential customers awareness and attitude towards Islamic banking products in Cameroon as a non-Muslim country. This research used mix method approach. First, Primary data obtained from Structured questionnaire with 300 respondents are analyzed using appropriate tools in order to examine customers level of awareness and their attitude. Secondly, the study used qualitative by interviewing 10 experts in Islamic finance. Potential customers awareness towards Islamic banking products is very low in Cameroon. They are only aware of the basics difference between Islamic banking and conventional banks. Unfortunately, they don’t know the principles and operation of Islamic banking products. Their level of knowledge is limited to the fact that Islamic banks operate without interest while conventional banks charge interest. Although they have low level of awareness, they have a positive attitude towards Islamic banking. Consequently, there are willing to patronize Islamic banking. This study is only limited in Muslim zone with the the targeted non users of Islamic banking products. The results of this study fill the existing gap in literature in Cameroon about Islamic banking in general and specifically customers awareness. It provides managerial implications at the level of Islamic finance operators. Meanwhile, this research provides some policy recommendations that can help boost the development of Islamic finance in Cameroon and promote financial inclusion. There is no prior research about potential customers awareness and attitude toward Islamic banking products in Cameroon. Therefore, this study remains the first one to be conducted.
subject: Original Articles
  topic: section
subject: Awareness, Cameroon, Islamic banking, Potential customers
  topic: keywords
subject: Awareness, Cameroon, Islamic banking, Potential customers
  topic: subjects
creator: Issa Hamadou
creator: Luthfi Hamidi
creator: Aimatul Yumna
creator: Aboubakar Mohamadou Soudi
rights: Copyright (c) 2025 Issa Hamadou, Dr. Luthfi Hamidi, Dr. Aimatul Yumna, Aboubakar Mohamadou Soudi (Author) https://creativecommons.org/licenses/by/4.0
date: 2025-12-30
publication date: 2025-12-30
starting page: 25
ending page: 37
doi: 10.70009/jels.2025.2.2.2

Examination of Sukuk Structures in the Turkish Participation Financial System
type: item
description: Following the trends in the world, especially in the Muslim world, where Islamic banking started to emerge, there was a need for Islamic banking in Turkey as well. Sukuk is one of the services that has recently become more popular in Turkey due to the legal regulations that enable Islamic banks in the country to issue it and be competitive in the market. This paper tries to examine the applied contracts for the issuance of sukuk and recommend some structures by first explaining the path of Islamic finance in Turkey and its services and then sukuk regulations and contracts. We find that murabaha, wakalah, and ijarah are the most popular contractual forms among the five approved financial contracts (ijarah, wakalah, murabahah, mudarabah-musharakah, and istisna’a) by the Capital Market Board of Turkey for the issuance of sukuk. As we can see from the sukuk structures, the debt-based modes of finance used predominantly in sukuk issuance and priced with the same interest-based benchmarks, it seems that the practices of sukuk are far from the ideals of Islamic economic principles. Therefore, the sukuk issuers should, away from over-usage of debt-based sukuk, should move towards more equity-based sukuk.
subject: Original Articles
  topic: section
subject: Islamic banking
  topic: keywords
subject: financial services
  topic: keywords
subject: sukuk
  topic: keywords
subject: financial contracts
  topic: keywords
subject: structure
  topic: keywords
subject: Islamic banking
  topic: subjects
subject: financial services
  topic: subjects
subject: sukuk
  topic: subjects
subject: financial contracts
  topic: subjects
subject: structure
  topic: subjects
creator: Burhan Uluyol
creator: Pashtrik Hajraj
rights: Copyright (c) 2024 Dr. Burhan Uluyol, Pashtrik Hajraj (Author) https://creativecommons.org/licenses/by/4.0
date: 2024-12-30
publication date: 2024-12-30
starting page: 5
ending page: 19
doi: 10.70009/jels.2024.1.2.1

Editorial
type: item
description: It is with great pleasure that we present the first issue of the second volume of the Journal of Economics, Law and Society (JELS), published by the Economic and Social Research Institute (ESREIN). Now entering its second year of publication, JELS continues to grow in both substance and reach. We remain steadfast in our mission to provide a dynamic, interdisciplinary platform for scholarly dialogue, critical analysis, and research dissemination at the intersection of economics, law, finance, and broader social issues. Despite being a relatively young publication, JELS has made remarkable progress in building its academic presence. The journal is now indexed and abstracted in reputable platforms such as Google Scholar, CrossRef, ResearchBib, Index Copernicus, Scilit, Zenodo, and OpenAIRE. Our goal remains to further elevate the journal’s visibility and academic recognition by seeking inclusion in leading citation indices such as Scopus and the Web of Science. This commitment reflects not only our internal dedication but also the quality of submissions we continue to attract from researchers around the world. This issue showcases five diverse and timely contributions that reflect the broad aims and scope of the journal. Each article addresses contemporary challenges and proposes informed perspectives grounded in empirical evidence or theoretical innovation. Below, we offer a brief overview of each contribution: Wasatiyah Optimization in Sustainable Wealth Management Author: Prof. Dr. Tariqullah Khan In this compelling paper, Prof. Khan introduces a novel framework for Islamic Wealth Management based on the principle of Wasatiyah (moderation). He presents the concept of Normalized Balance Coordinates (NBCs) as a multidimensional performance metric that balances ethical, environmental, and economic considerations. The paper provides practical strategies through the STO (Substitutions, Transformations, Offsets) model and challenges the paradigm of wealth maximization, pr…
subject: Editorial
  topic: section
subject: editorial
  topic: keywords
subject: JELS
  topic: keywords
subject: Edib Smolo
  topic: keywords
subject: editorial
  topic: subjects
subject: JELS
  topic: subjects
subject: Edib Smolo
  topic: subjects
creator: Edib Smolo
rights: Copyright (c) 2025 Dr. Edib Smolo (Author) https://creativecommons.org/licenses/by/4.0
date: 2025-06-30
publication date: 2025-06-30
starting page: 1
ending page: 3
doi: 10.70009/jels.2025.2.1.0

Crowdfunding: An end of an era, or a course correction? A bibliometrics analysis.
type: item
description: Writing and publishing on crowdfunding has been booming since it began in 2010, till it showed its first decline in 2020. Bibliometric analyses of crowdfunding literature are very few, and the existing ones did not investigate the decline, nor did they try to understand the direction it was taking. Using bibliometric network analysis on Scopus data from 2010-2024, we investigate whether this decline represents a natural evolution of scholarly attention or signals a paradigm shift in the field. Through the lens of Kuhn's paradigm shift theory and citation lifecycle frameworks, we analyze co-authorship networks, citation patterns, and thematic evolution before and after 2020. Our findings reveal three distinct phases in crowdfunding research: emergence (2010-2015), consolidation (2016-2019), and transformation (2020-2024), with the latest phase characterized by greater fragmentation and a shift from financial mechanisms toward sustainability applications. This analysis provides critical insights for researchers, journal editors, and funding agencies navigating the evolving crowdfunding knowledge landscape. We also noted the underutilization of network science by researchers and have made some recommendations to remedy that in order to get better results in future analyses.
subject: Original Articles
  topic: section
subject: Crowdfunding
  topic: keywords
subject: Finance
  topic: keywords
subject: Entrepreneurship
  topic: keywords
subject: Bibliometrics
  topic: keywords
subject: Fintech
  topic: keywords
subject: Investment
  topic: keywords
subject: Crowdfunding
  topic: subjects
subject: Finance
  topic: subjects
subject: Entrepreneurship
  topic: subjects
subject: Bibliometrics
  topic: subjects
subject: Fintech
  topic: subjects
subject: Investment
  topic: subjects
creator: Shadi Al Shebli
rights: Copyright (c) 2025 Shadi Al Shebli (Author) https://creativecommons.org/licenses/by/4.0
date: 2025-06-30
publication date: 2025-06-30
starting page: 85
ending page: 117
doi: 10.70009/jels.2025.2.1.5

Structuring Islamic Financial Literacy Construct to Measure Islamic Banking Products Adoption in Uganda
type: item
description: Islamic banking in Uganda was introduced recently in 2016. However, Islamic microfinance Institutions started operations immediately as they are differently regulated by the Uganda Microfinance Regulatory Authority (UMRA) under the Tier 4 regulatory Act. So, this study aims to structure and conduct content validation of a survey questionnaire of Islamic financial literacy construct for the adoption of Islamic banking products among Muslims in Uganda. Methodologically, this study was executed in five stages. Firstly, the content validation form was prepared detailing the items to be validated and their sources. Secondly, a review panel of experts was selected based on their expertise in Islamic banking adoption and Islamic financial literacy, and 6 experts were considered. Then an online content validation form with clear instructions was sent to experts to critically review the domains and items before scoring them to improve relevance. The results showed that an S-CVI score of 0.864 was attained by the tool and thus relevant to be used for the study. The CVI for Islamic financial literacy was between 0.83-1, and thus, all items were relevant to assess the Islamic financial literacy concept of the Muslims in Uganda. Thus, this tool can be a reference for researchers who intend to conduct research on Islamic financial literacy and other factors of Islamic banking adoption in jurisdictions that have just embraced the Islamic financial system.
subject: Original Articles
  topic: section
subject: Islamic financial literacy
  topic: keywords
subject: Content Validation
  topic: keywords
subject: Islamic Banking Products Adoption
  topic: keywords
subject: Islamic financial literacy
  topic: subjects
subject: Content Validation
  topic: subjects
subject: Islamic Banking Products Adoption
  topic: subjects
creator: Yusuf Kaweesa
creator: Romzie Rosman
rights: Copyright (c) 2025 Yusuf Kaweesa, Romzie Rosman (Author) https://creativecommons.org/licenses/by/4.0
date: 2025-06-30
publication date: 2025-06-30
starting page: 73
ending page: 83
doi: 10.70009/jels.2025.2.1.4

Profitability and Resilience
type: item
description: Fueled by a remarkable year-on-year growth in 2022, reaching USD 30 billion, the global Takaful industry is experiencing a surge. The Gulf Cooperation Council (GCC), contributing a dominant 55.7% of global Takaful contributions, stands as a cornerstone of this growth. This study compares the financial metrics of Islamic (Takaful) and conventional insurance companies within the GCC region. Employing the System Generalized Method of Moments (SGMM) panel data estimator on a 10-year (2013-2022) sample of 85 insurance companies across six countries, the analysis reveals significant differences in the performances of the two insurance segments. Takaful companies generally exhibit lower capitalization, leverage, solvency, claim ratios, and firm size but demonstrate higher premium growth than their conventional counterparts. Furthermore, the study identifies economic growth as a key driver of profitability, while firm-specific factors like leverage, capital adequacy, and firm size also play a significant role. Interestingly, neither the business model nor the COVID-19 pandemic significantly impacted profitability, highlighting the industry's adaptability and robust risk management practices. These findings offer valuable insights for stakeholders to make informed decisions on fostering growth, stability, and innovation within the GCC's insurance landscape. Additionally, the research emphasizes the need for continuous analysis to adapt to evolving market conditions and regulatory environments and ensure long-term sustainability for the region's insurance sector.
subject: Original Articles
  topic: section
subject: Islamic Finance
  topic: keywords
subject: Takaful
  topic: keywords
subject: insurance
  topic: keywords
subject: GCC
  topic: keywords
subject: financial performance
  topic: keywords
subject: Islamic finance
  topic: subjects
subject: Takaful
  topic: subjects
subject: Insurance
  topic: subjects
subject: GCC
  topic: subjects
creator: Abdulrahim Amrullah
rights: Copyright (c) 2025 Abdulrahim Amrullah (Author) https://creativecommons.org/licenses/by/4.0
date: 2025-06-30
publication date: 2025-06-30
starting page: 51
ending page: 72
doi: 10.70009/jels.2025.2.1.3

Total Factor Productivity and Foreign Human Capital
type: item
description: The Western Balkan Six economies have advanced structural reforms to boost economic growth, create new jobs, and bring living standards closer to those in Europe. However, the Western Balkan residents continue to be encouraged to look for career and educational possibilities outside of the region due to the slow rate of convergence and the significant development gap with other European nations. Over the past ten years, the Western Balkan emigration rate has increased by 10%, and as a result, about one-fifth of the population now lives outside of the region. The high levels of emigration that continue can be extremely challenging for development. They may cause skill shortages and labor market distortions, which may discourage potential investors from making investments because they are unable to find the necessary skills. Gaining competitiveness, attracting investment, and navigating the area's ecological and digital transition all depend on human capital and a competent workforce that can meet the labor market's skill requirements and spur innovation. They are also important pillars of an economy's resilience and prosperity, which is important in light of the COVID-19 pandemic and the changing nature of the global environment. The goal of this paper is to examine how immigrants contribute to innovation in Western Balkans. Using Total Factor Productivity as a measure of innovation. The focus is on the Western Balkan countries (Albania, Bosnia and Herzegovina, Montenegro, North Macedonia and Serbia). The relationship between migration and innovation is examined not only at regional, but also at sectoral level. This makes it possible to quantify the direct impact of immigrants in the industry where they are really employed. To address the potential endogeneity of migration we adopt instrumental variable technique originally devised by Card (2001). Moreover, we carried out the analysis of human capital composition across sectors in Bosnia and Herzegovina. The offered …
subject: Original Articles
  topic: section
subject: migration
  topic: keywords
subject: innovation
  topic: keywords
subject: highly skilled migrants
  topic: keywords
subject: low skilled migrants
  topic: keywords
subject: total factor productivity
  topic: keywords
subject: Western Balkans
  topic: keywords
subject: migration
  topic: subjects
subject: innovation
  topic: subjects
subject: highly skilled migrants
  topic: subjects
subject: low skilled migrants
  topic: subjects
subject: total factor productivity
  topic: subjects
subject: Western Balkans
  topic: subjects
creator: Daria Hukic
creator: Faruk Hadzic
rights: Copyright (c) 2025 Daria Hukic, Dr. Faruk Hadzic (Author) https://creativecommons.org/licenses/by/4.0
date: 2025-06-30
publication date: 2025-06-30
starting page: 29
ending page: 49
doi: 10.70009/jels.2025.2.1.2

Wasatiyah Optimization in Sustainable Wealth Management
type: item
description: Wealth generation and management are pivotal for sustainability. This paper explores the crucial role of wealth management in achieving regenerative sustainability, advocating for wealth optimization over maximization. It introduces a novel framework for Islamic Wealth Management (IWM) centered on regenerative and sustainable wealth creation, guided by the Islamic principle of Wasatiyah (moderation). This framework aims to integrate financial success with ethical responsibilities and spiritual well-being. A key innovation is the Normalized Balance Coordinates (NBCs), a generalized, unified measure applicable to various contexts involving tensions and trade-offs. The NBCs, initially conceived as Normalized Wasatiyah Coordinates (NWCs) for IWM, employ a two-dimensional Cartesian system with axes normalized between -1 and 1. This system provides a unified measure of performance across competing priorities, such as economic growth vs. balance of natural systems, efficiency vs. equity, quality vs. quantity, and full employment vs. price stability. In the context of IWM, the NBCs assess both ethical and financial performance, where positive coordinates reflect adherence to Wasatiyah principles, while negative coordinates highlight areas for improvement. The paper outlines regenerative transition strategies for each quadrant, using Substitutions, Transformations, and Offsets (STOs) to guide decision-makers through diverse situations. By integrating ethical considerations with financial strategies (or, more broadly, balancing competing priorities), the NBCs framework offers a holistic model that views wealth (or any resource under consideration) as a sacred trust with inherent social, environmental, and spiritual dimensions. The paper concludes by emphasizing the transformative potential of the NBCs approach in promoting holistic balancing optimization, as opposed to singular maximization, and fostering a more equitable, sustainable, and ethically grounded global system.
subject: Original Articles
  topic: section
subject: Sustainable Wealth Management
  topic: keywords
subject: Normalized Wasatiyah Coordinates
  topic: keywords
subject: Normalized Balanced Coordinates
  topic: keywords
subject: Islamic Economics
  topic: keywords
subject: Regenerative Transition
  topic: keywords
subject: Sustainable Wealth Management
  topic: subjects
subject: Normalized Wasatiyah Coordinates
  topic: subjects
subject: Normalized Balanced Coordinates
  topic: subjects
subject: Islamic Economics
  topic: subjects
subject: Regenerative Transition
  topic: subjects
subject: Islamic economics
  topic: disciplines
creator: Tariqullah Khan
rights: Copyright (c) 2025 Prof. Dr. Tariqullah Khan (Author) https://creativecommons.org/licenses/by/4.0
date: 2025-06-30
publication date: 2025-06-30
starting page: 5
ending page: 28
doi: 10.70009/jels.2025.2.1.1

Harmonizing Economic Growth with Environmental Justice
type: item
description: The global challenge of harmonizing economic growth with environmental sustainability has become a critical issue, particularly within the manufacturing sector. This paper explores the potential of circular economy principles as a pathway to achieving a sustainable manufacturing transition that not only promotes economic development but also ensures environmental justice. By analyzing the synergies and tensions between economic growth, environmental sustainability, and social equity, the paper highlights the role of circular manufacturing in creating resource-efficient, low-waste systems. Key findings show that while circular manufacturing holds substantial potential for enhancing economic growth, job creation, and industrial competitiveness, significant barriers remain, including economic costs, technological gaps, and political and social resistance. Moreover, achieving environmental justice in this transition is essential to ensure that marginalized communities are not disproportionately affected by pollution and waste. The paper emphasizes the need for innovative policies, collaborative governance, and inclusive strategies to overcome these challenges and design equitable supply chains and manufacturing systems. Future research should focus on scaling circular practices across industries, addressing regional disparities, and developing technologies that further reduce the environmental footprint of manufacturing.
subject: Original Articles
  topic: section
subject: Sustainable Development Goals (SDGs)
  topic: category
subject: Circular economy
  topic: keywords
subject: sustainable manufacturing
  topic: keywords
subject: resource efficiency
  topic: keywords
subject: policy frameworks
  topic: keywords
subject: social equity
  topic: keywords
subject: Circular manufacturing
  topic: subjects
creator: Dr. Hazik Mohamed
rights: Copyright (c) 2024 Dr. Hazik Mohamed https://creativecommons.org/licenses/by/4.0
date: 2024-12-30
publication date: 2024-12-30
starting page: 77
ending page: 93
doi: 10.70009/jels.2024.1.2.5

Adapting to Change
type: item
description: This article examines the establishment of modern financial institutions among Bosnian Muslims during the Austro-Hungarian occupation of Bosnia and Herzegovina (1878–1918). It explores how traditional Islamic financial practices were challenged and reshaped under the pressures of modern European administrative and economic systems introduced by the Austro-Hungarian authorities. Key areas of focus include the establishment of new banking institutions and the adaptation of local communities to emerging economic paradigms. By analyzing historical documents, economic policies, and cultural responses, the article sheds light on the intersection of faith, tradition, and modernity during a period of significant socio-economic transition. It argues that Bosnian Muslims navigated these changes through a combination of resistance, negotiation, and innovation, ultimately leaving a lasting imprint on the financial landscape of the country.
subject: Original Articles
  topic: section
subject: Social Finance
  topic: category
subject: Banking
  topic: category
subject: Islamic Finance
  topic: category
subject: financial institutions
  topic: keywords
subject: banks
  topic: keywords
subject: modernity
  topic: keywords
subject: interest
  topic: keywords
subject: transition
  topic: keywords
subject: Bosnia and Herzegovina
  topic: keywords
subject: Austro-Hungarian
  topic: keywords
subject: Bosnian muslims
  topic: keywords
subject: Economic history
  topic: subjects
creator: Edin Kadrić
rights: Copyright (c) 2024 Edin Kadric https://creativecommons.org/licenses/by/4.0
date: 2024-12-30
publication date: 2024-12-30
starting page: 55
ending page: 76
doi: 10.70009/jels.2024.1.2.4

Islamic Finance as a Crisis-Resilient Framework
type: item
description: The Global financial crisis (GFC) or “the crisis” exposed significant weaknesses within the global financial system, largely stemming from financialization activities. This research paper explores the potential of Islamic finance (IF) principles to prevent financial crises while offering a more stable and equitable financial framework. A qualitative approach was adopted, involving interviews with various professionals in the IF field to explore the ethical and practical distinctions between conventional finance and IF. Key findings reveal the resilience of Islamic banks during the crisis can be attributed to their adherence to Shari’ah principles, which prohibit interest (riba), excessive uncertainty (gharar), and speculative activities (maysir). The study emphasizes the advantages of asset-backed financing and profit-sharing models, which align financial activities with the real economy, thereby fostering long-term stability. By highlighting the practical benefits of the ethical framework underpinning IF, this research contributes to the broader discourse on financial crisis prevention.
subject: Original Articles
  topic: section
subject: Banking
  topic: category
subject: Islamic Finance
  topic: category
subject: Finance
  topic: category
subject: Islamic finance
  topic: keywords
subject: Financial Crisis
  topic: keywords
subject: Ethical Finance
  topic: keywords
subject: Agency theory
  topic: keywords
subject: Financialization
  topic: keywords
subject: CSR
  topic: keywords
subject: Banking
  topic: subjects
subject: Ethical Banking
  topic: subjects
subject: Islamic Banking
  topic: subjects
creator: Halima Alisic
creator: Betul Dinc
creator: Anitë Salihu
rights: Copyright (c) 2024 Halima Alisic, Betul Dinc, Anitë Salihu https://creativecommons.org/licenses/by/4.0
date: 2024-12-30
publication date: 2024-12-30
starting page: 37
ending page: 53
doi: 10.70009/jels.2024.1.2.3

Surah Al-Qalam and the Tragedy of the Commons
type: item
description: This paper examines Surah Al-Qalam (Chapter of the Pen) from the Qur’an, highlighting its economic and ethical implications through the lens of the ‘Tragedy of the Garden’ narrative (verses 17–32). The paper challenges traditional Tafsir interpretations and draws parallels with Garrett Hardin’s ‘Tragedy of the Commons’. Employing the Qur’anic exegesis method Tafsir-ul-Qur’an bil-Qur’an, the paper derives authentic Islamic principles such as stakeholder inclusion, sustainability, self-restraint, social responsibility, and cooperation over shared resources. The paper additionally explores contemporary applications of the Surah, including environmental conservation, public resource management, and sustainable corporate governance. By integrating modern concepts like game theory and stakeholder theory, the study demonstrates how Qur’anic principles can address current challenges, urging a re-evaluation of classical interpretations to unlock the Qur’an’s potential for advancing Islamic economic thought.
subject: Original Articles
  topic: section
subject: Shari'ah (Islamic Law)
  topic: category
subject: Tafsir
  topic: keywords
subject: Commons
  topic: keywords
subject: Property Rights
  topic: keywords
subject: Environmental Stewardship
  topic: keywords
subject: Game Theory
  topic: keywords
subject: Cooperation
  topic: keywords
subject: Tafsir
  topic: subjects
subject: Islamic Economic Policy
  topic: subjects
subject: Islamic Law
  topic: subjects
subject: Tragedy of the Commons
  topic: subjects
subject: Surah Al-Qalam
  topic: subjects
creator: Haris Lloyd
rights: Copyright (c) 2024 Haris Lloyd https://creativecommons.org/licenses/by/4.0
date: 2024-12-30
publication date: 2024-12-30
starting page: 21
ending page: 35
doi: 10.70009/jels.2024.1.2.2

Editorial
type: item
description: We are pleased to present the second issue of the Journal of Economics, Law, and Society (JELS). This issue builds on the foundations laid in our inaugural publication, continuing to explore the critical intersections between economics, law, and societal dynamics. Our aim remains to foster scholarly discourse that bridges diverse disciplines, addressing contemporary challenges with innovative, multidisciplinary approaches. The second issue features five diverse and thought-provoking articles that contribute to the advancement of knowledge in Islamic finance, economic sustainability, and the historical evolution of financial systems. Each article underscores the journal’s commitment to high-quality research and its role as a platform for intellectual exchange.
subject: Original Articles
  topic: section
subject: editorial
  topic: subjects
subject: jels
  topic: subjects
creator: Edib Smolo
rights: Copyright (c) 2024 Dr. Edib Smolo https://creativecommons.org/licenses/by/4.0
date: 2024-12-30
publication date: 2024-12-30
starting page: 1
ending page: 2
doi: 10.70009/jels.2024.1.2.0

Are Islamic bonds a safe choice for portfolio diversification in time of crisis?
type: item
description: Despite the popularity and uniqueness of Sukuk as an alternative tradable financing tool, the effectiveness of these products in portfolio allocation and diversity is still under constant scrutiny. This paper employs the multivariate BEKK-GARCH (1,1) model to analyse shocks and volatility based on the daily prices of the Dubai Islamic Capital Market (Sukuk Index) and the conventional stock market (DFM Index). Additionally, it applies Johansen co-integration and Granger causality to investigate the persistence of shocks and volatility in long-term relationships, as well as the leading relationship between Islamic and conventional markets. The results validate the impact of their respective news feeds on both Sukuk and stock market indices and demonstrate the persistence of volatility throughout the studied period from April 2009 to December 2020. The causality test reveals a multidirectional relationship effect between Sukuk and stocks, where each is contributing to the other's growth. The study confirms that Sukuk is not a safe haven for portfolio diversification in the Dubai financial market.
subject: Original Articles
  topic: section
subject: Islamic Finance
  topic: category
subject: Volatility
  topic: keywords
subject: Sukuk
  topic: keywords
subject: stock market
  topic: keywords
subject: financial crisis
  topic: keywords
subject: Bekk-garch
  topic: keywords
subject: Granger causality
  topic: keywords
subject: Islamic finance
  topic: subjects
subject: Islamic finance
  topic: disciplines
creator: Dr. Widad Metadjer
creator: Dr. Alija Avdukic
creator: Dr. Emir Camdzic
rights: Copyright (c) 2024 Dr. Widad Metadjer, Alija Avdukic, Dr. Emir Camdzic https://creativecommons.org/licenses/by/4.0
date: 2024-06-30
publication date: 2024-06-30
starting page: 73
ending page: 89
doi: 10.70009/jels.2024.1.1.5

The Rise of Green Bonds
type: item
description: This paper analyzes the global and European green bond markets from different perspectives. The paper uses data on green bond issues on the global and European green bond market, in the period from 2013 to 2023. Research results show that the issuance of green and other sustainability-related revenue use bonds has increased in recent years. Europe remains the largest issuance region, accounting for more than half of global issuance. Green bond issuance globally and in Europe has experienced a tumultuous couple of years after reaching record highs of USD 575 billion and USD 326 billion in 2021, respectively. In 2023, Europe's green bond issuance recovered 11% year on year to USD 341 billion. It slightly outperformed the global markets, which recorded 10% growth to reach USD 581 billion. In line with 2022, the corporate sector fueled 2023 green volume, contributing 57% of issuance. Corporate issuers in Europe are mostly dominated by the energy, utilities, automotive, transport, and building sectors, all of which have hystorically been dependent on fossil fuels. Analysis of the capital markets in Bosnia and Herzegovina (BiH) indicates that the green bond market exists, and it started in 2023 when the first issue of green bonds was announced by a commercial bank on the local capital market (Banja Luka Stock Exchange). The key barriers to the development of the green bond market are the lack of appropriate institutional arrangements for green bond management, the issue of minimum size, and the high transaction costs associated with issuing green bonds. Author Biographies Emira Kozarević, Faculty of Economics, University of Tuzla, Bosnia and Herzegovina PhD, Full Professor Admir Mešković, Faculty of Economics, University of Tuzla, Bosnia and Herzegovina & Economic and Social Research Institute, Sarajevo, Bosnia and Herzegovina PhD, Assistant Professor
subject: Original Articles
  topic: section
subject: Environmental, social, and governance (ESG)
  topic: category
subject: Economics & Finance
  topic: category
subject: Finance
  topic: category
subject: green bonds
  topic: keywords
subject: green financing
  topic: keywords
subject: green bond market
  topic: keywords
subject: barriers to the development of green bonds
  topic: keywords
subject: ESG
  topic: keywords
subject: BiH
  topic: keywords
subject: Green bonds
  topic: subjects
subject: European green bond market
  topic: subjects
subject: sustainable finance
  topic: subjects
subject: green finance
  topic: subjects
subject: Finance
  topic: disciplines
subject: Green finance
  topic: disciplines
subject: Sustainable finance
  topic: disciplines
subject: Green financial instrument
  topic: disciplines
creator: Muhamed Ibrić
creator: Emira Kozarević
creator: Admir Mešković
rights: Copyright (c) 2024 Muhamed Ibrić, Emira Kozarević, Admir Mešković https://creativecommons.org/licenses/by/4.0
date: 2024-06-30
publication date: 2024-06-30
starting page: 55
ending page: 71
doi: 10.70009/jels.2024.1.1.4

Enhancing Financial Inclusion through Financial Literacy
type: item
description: This paper aims to examine the awareness and perceptions of depositors in Bosnia and Herzegovina regarding the features of investment deposits in Islamic finance. It evaluates the contribution of mudarabah-based deposits to the financial inclusion of Muslims and identifies factors influencing clients' decisions to place their funds in Islamic banks. The study employs a quantitative research methodology, utilizing an online survey distributed via LimeSurvey to collect primary data. The survey targeted bank clients in Bosnia and Herzegovina, and a non-random convenience sample was obtained by promoting the survey link on a Facebook page aimed at users in the region. Paid advertising was used to enhance visibility, and direct outreach was conducted in cities with Islamic bank branches to ensure a representative sample. The survey included questions on demographic information, awareness of investment deposits, understanding of Islamic finance, and attitudes towards banking risks and returns. The structured nature of the survey allowed for effective data collection and analysis to identify knowledge gaps and depositor attitudes. The findings reveal that a significant portion of respondents lack adequate knowledge about investment deposits, posing a critical barrier to their effective use for mobilizing savings and enhancing financial inclusion. Muslim clients identify interest as a significant hurdle to saving in conventional banks, with similar expectations and risk aversion observed in Islamic banking investment accounts. This research underscores the potential role of investment deposits in advancing financial inclusion by addressing knowledge gaps and examining factors influencing clients' decision-making processes. It highlights the need for increased awareness and education about investment deposits to facilitate their wider adoption among depositors, enhancing the understanding of leveraging Islamic finance principles to promote financial inclusion and meet the un…
subject: Original Articles
  topic: section
subject: financial inclusion
  topic: keywords
subject: deposits
  topic: keywords
subject: investment deposits
  topic: keywords
subject: mudarabah
  topic: keywords
subject: islamic finance
  topic: keywords
subject: Bosnia and Herzegovina
  topic: keywords
subject: banking
  topic: subjects
subject: financial literacy
  topic: subjects
subject: islamic banking
  topic: subjects
subject: deposits
  topic: subjects
subject: savings
  topic: subjects
subject: financial inclusion
  topic: subjects
creator: Admir Meskovic
creator: Šejma Aydin
creator: Edib Smolo
rights: Copyright (c) 2024 Admir Meskovic, Šejma Aydin, Edib Smolo https://creativecommons.org/licenses/by/4.0
date: 2024-06-30
publication date: 2024-06-30
starting page: 39
ending page: 53
doi: 10.70009/jels.2024.1.1.3

The The Role of Demographics in Green Purchase Intentions
type: item
description: This study investigates the role that demographic factors (country of origin, age, gender, and education) play in green purchase intentions (GPIs) among consumers in Jordan, the United Arab Emirates, and the Kingdom of Saudi Arabia (KSA). It is based on primary, quantitative, cross-sectional data collected using the questionnaire. The final sample included 680 consumers from the three countries. Hypotheses are tested using the independent samples t-test and one-way ANOVA. Results of the study show that age, gender, and education are not significant differentiators in GPI, while partial support was found regarding the role of country of origin. The study points out the relevance of GPIs and indicates the theoretical and practical implications. It enriches the scarce literature on green consumer behavior in the Middle East region and presents future research suggestions for its further development.
subject: Original Articles
  topic: section
subject: Sustainable Development Goals (SDGs)
  topic: category
subject: Environmental, social, and governance (ESG)
  topic: category
subject: Green purchase intention
  topic: keywords
subject: Jordan
  topic: keywords
subject: United Arab Emirates
  topic: keywords
subject: Kingdom of Saudi Arabia
  topic: keywords
subject: Middle East
  topic: keywords
subject: /
  topic: subjects
creator: Hamza Smajić
creator: Emil Knezović
creator: Anas Ghassan Yousef Hamarsheh
rights: Copyright (c) 2024 Hamza S., Emil Knezović, Anas Ghassan Yousef Hamarsheh https://creativecommons.org/licenses/by/4.0
date: 2024-06-30
publication date: 2024-06-30
starting page: 23
ending page: 38
doi: 10.70009/jels.2024.1.1.2

The Institutions-Finance-Growth Nexus
type: item
description: This paper empirically investigates the impact of finance and institutions on economic growth using a panel data analysis covering the 2002-2019 period and focusing on three country groups: European Union (EU) member countries, European transition economies, and the overall sample taking all countries together. In contrast to the prevailing view that suggests a positive impact of finance on growth, our findings indicate that finance either decreases growth or is insignificant without evidence of non-linearity. Another finding that comes as a surprise is that institutions play no role in growth either directly or indirectly via finance in all our samples. Our findings, however, support the claim that the finance-growth nexus depends on financial development proxies and the financial and institutional development levels within sample countries.
subject: Original Articles
  topic: section
subject: Economics & Finance
  topic: category
subject: Economics
  topic: category
subject: Finance
  topic: category
subject: financial development
  topic: keywords
subject: institutional development
  topic: keywords
subject: economic growth
  topic: keywords
subject: developed countries
  topic: keywords
subject: transition economies
  topic: keywords
subject: Economic development
  topic: subjects
subject: Financial development
  topic: subjects
subject: Economic growth
  topic: subjects
subject: Economics
  topic: disciplines
subject: Finance
  topic: disciplines
creator: Edib Smolo
rights: Copyright (c) 2025 Edib Smolo (Author) https://creativecommons.org/licenses/by/4.0
date: 2024-06-30
publication date: 2024-06-30
starting page: 5
ending page: 22
doi: 10.70009/jels.2024.1.1.1