A Methodological Assessment of Poverty and Inequality Indices with Special Emphasize on Islamic Economic Rights

If the aim of economic education assumed to be efficient allocation and distribution of resources, the available indices in the literature suffice our purpose .However, literature of the subject records varieties of distributional indices without any distinction. As a result the distributional outcomes of policies are evaluated differently. In this paper, we discuss two groups of distributional indices namely, Indices for Measurement of poverty and Indices for Measuring Inequality.
We have classified these methods into three methodologies for constructing inequality index and five methodologies for constructing poverty index. In the end, evaluating these indices on the bases of optimality criteria and characteristics of good index from Islamic point of view, we found that two groups of Indices of poverty namely, absolute Poverty index and Poverty of opportunity Index , comply with Islamic norms and code of conducts specially to the Islamic economic rights and Islamic law of redistribution.