Integrating Conventional and Islamic Economic Perspectives into Financial Literacy Education: A Comparative Analysis of Consumption, Saving, and Investment Theories

Abstract

This study compares consumption, saving, and investment theories in conventional and Islamic economics and develops their implications for financial literacy education and economics teaching. Using a qualitative descriptive-comparative literature review, it examines Keynesian consumption theory, life-cycle and permanent-income approaches, saving–investment coordination, national-income equilibrium, and Islamic principles of moderation, lawful transactions, social responsibility, and maqasid al-shariah. The comparative synthesis identifies complementary learning dimensions: conceptual understanding of economic relationships, analytical interpretation of macroeconomic models, ethical evaluation of financial choices, and contextual application to household budgeting and investment decisions. A proposed pedagogical framework connects comparative theory, scenario-based discussion, numerical exercises, and reflective assessment. The study argues that macroeconomic identities remain analytically applicable across economic perspectives, while Islamic economics contributes explicit normative criteria for financial decision-making. These findings are conceptual curriculum implications, not measured improvements in students’ literacy or behavior. The article contributes an interdisciplinary foundation for designing financial literacy lessons that integrate economic reasoning and ethical reflection in secondary and higher education.