In capitalism, the process of decision making occurs via decentralized and voluntary decisions. It is where the decisions are primarily made by the economic agents who are the lower level of the system. In Capitalism market, the economic agents are allowed to interact with each other based on their self-interest and also rationality. They are only bounded two constraints which are resources and law. The resources in this world are limited thus limiting their decisions meanwhile the law are the man-made regulations that everyone must follow to keep everything in order but the it can be subject to change according to the authority. The roles of government in Capitalism market is very limited as the government only involved in the making of law and order, sovereignty and  also in providing the public goods such as education and healthcare.

Unlike Capitalism where the decision making is only decentralized and Socialism where it is only centralized, the decision making process in Islamic economic system are both centralized and the decentralized. The market in Islamic economic system is governs by the ‘Islamic Rules of The Game’ which will make sure harmonious interaction between man and the Creator, man and man, and man and the universe. Islamic economic system prefers market as a mechanism to allocate resources however market alone is not sufficient. The role of the government or Islamic state are still needed in the Islamic economic system. Government is considered as the part of the integrated economic system. The state plays a crucial role in ensuring all values, norms, laws and institutions are firmly compliant to the Shari’ah. The decisions that are made by the state must be done through consultation (Shura) and al-Hisbah. The Islamic state in the Islamic economic system must maintain the ‘Islamic Rules of the Game’ in the system and create a conducive environment for Islamic man politically, economically, socially, culturally, religiously, morally and legally. Islamic state also must make sure that the concept if ‘adl and ihsan are prevail in the economic system.