Fidel Castro articulated a revolutionary vision in his 1953 trial Essay

Fidel Castro articulated a revolutionary vision in his 1953 trial defense, known as History Will Absolve Me. Upon what doc - Essay Example Castro was arrested and was sentenced to prison for fifteen years. During his trial in 1959, Fidel Castro had offered a long four-hour speech supporting the cause of the attack he had led and defended himself. This speech was later published in the form of a manifesto in the July 26th Movement which ultimately overthrew the then ruling Batista government and came to power in 1959 1. In the four hour long speech, Fidel Castro tried to speak about how he was denied justice and a fair legal aid. He spoke of how the jurist who was appointed to defend him was not given the permission to meet Castro in the required times. And this was the reason why he chose to defend himself in the trial. The revolutionary instances in the speech In the trial, Castro spoke about the positive intentions behind his actions. He recalled how he was questioned by the prosecutor and a large group of twenty defense attorneys. He had provided them with the correct facts and figures as well as the amount of money spent. He also mentioned the way the money was gathered and the arms rounded up. Castro was fearless in his trial and tried to hide nothing. He mentioned that it was achieved by the sacrifices of the country men who did not have any precedent seen in the history of the Cuban Republic. Fidel had spoken of the missions which inspired them in their national struggle. He also spoke of the humane and generous treatment which the party had faced in times of their adversaries. He stressed that if he was able to mention that the persons falsely accused in the trial were not related with him in any way, it was only because of his comrades and party members who were brave enough to accept their roles. He further mentioned that no amount of pain or suffering could deter their determination in being called as revolutionaries or patriots to their motherland. He spoke of how he and his comrades were kept separate from each other but they all ended up having the same plan and thinking. He then sai d then when revolutionary men carry the same ideals burning in their hearts no form of barrier could isolate them whether it is a prison wall or a sod of cemeteries. It was a single memory, one spirit, a single idea, a combined conscience and a single dignity that helped to sustain them2. He spoke of the different treacherous lies and deceits that were hurled against the freedom fighters. He spoke of the inhuman conditions in which the Cuban revolutionaries were treated3. In another instant, Castro spoke about how he was dishonored by the army personnel who also violated the orders of the court. Castro was even denied from talking with his peers4. These sentiments helped in fuelling the nationalist sentiment and the revolutionary struggle. Key revolutionary laws Fidel Castro had said that dictatorship is an unconstitutional feature5. Castro said that there were five revolutionary laws which could have been implemented after the capture of Moncada Barracks. The first revolutionary la w would return sovereignty and power to its people which would help to proclaim the 1940 Constitution that is the Supreme Law of the State6. The second revolutionary law was to give non-mortgageable as well as non-transferable possession of the land to all the tenants as well as subtenant farmers, lessees, the share croppers and the squatters who were found to hold five caballerias of the lands or even less. The third revolutionary

Role Played By International Organizations Politics Essay

Role Played By International Organizations Politics Essay International organizations provide a forum for international co-operation in environmental issues as they play two important roles environmental policy making and the development of international environmental law. Every organization is endowed with environmental responsibilities as those involved in international environmental law are established at the regional global, regional and sub-regional and bilateral levels. Almost all international organizations today have some competence or responsibility for the development, application or the enforcement of international environment obligations including those related to standard setting. The decentralized nature of international organizations in the international environment field makes it difficult to assess their roles by reference to any functional, sectorial or geographical criteria. They can be divided into three categories global organs associated with the United Nations and its specialized agencies, regional organizations outsi de the United Nations system and organizations established by environmental and other treaties. Within these categories there are of course overlaps since many organizations established in the categories were created by acts of the United Nations or its specialized agencies. History of International Organizations Prior to 1945 there were no international organizations dealing with environmental affairs but the period after World War II saw the emergence of a number of international organizations grow. They were established at global, regional and sub-regional levels to deal specifically with environmental issues or to adapt to the existing organizations by having competence in the area of environmental issues. The Stockholm Conference recognized that the global and regional environmental problems required extensive co-operation among nations and action by international organizations in pursuit of common interest for the protection of the environment.  [1]  Also states were called upon to ensure that international organizations play a coordinated, efficient and dynamic role for the protection and improvement of the environment.  [2]   Functions and Roles of International Organizations They perform a number of different functions and roles depending on their constituent documents in relation to environmental affairs ranging from judicial, administrative to legislative roles. The functions they perform relate mostly to five areas which will be discussed shortly. Forum for co-operation and co-ordination among states and non state actors on environmental management matters. As they act as a forum where informal and formal ideas are shared which builds on international consensus for regional and global action to be taken. Provides information international organizations receive and disseminate information and facilitate for the exchange of information through formal or informal consultations between states. Contribute to the development of legal obligations such as soft law by acting as a catalyst informally outside the organization or formally within the organization where the organization adopts acts or decisions which create legal binding obligations. Ensures implementation and compliance with obligations by receiving information from parties on an informal basis or receiving regular reports or periodic communications from parties to international environmental treaties as a means of reviewing progress in implementation. Act as an independent forum or mechanism for the settlement of disputes between states. Through the work of bodies with general competence to an environmental agreement or by reference of an issue to a body specifically created to assist with dispute settlement such as the International Court of Justice or the International Tribunal for the Law of the Sea. Global Organizations General Assembly The United Nations specialized agencies and its subsidiary organs are regarded as the focal points for international law in the fields of environment law.  [3]  Through, the practice of the principal organs such as the General Assembly which has interpretated and applied broad principles such as the promotion of sustainable development and the protection of the environment. The General Assembly is regarded as the principal decision making organ and has the power to discuss any question or matters within the scope of the United Nations Charter or make recommendations to member states or the Security Council.  [4]  Furthermore, promote international co-operation in political social, cultural, educational, health fields plus the codification and development of international law.  [5]  There is no specific mention of the General Assembly having competence in environmental affairs but under Agenda 21 it was recognized as the principal policy making and appraisal organ having a regular review function with respect to Agenda 21. The major role played by the General assembly has been the creation of bodies that have been instrumental in environmental law such as the UNEP which is the main voice of the United Nations by bringing emerging issues before the international community so as to reach global and regional consensus on such matters. The CSD and the UNDP which seek to help developing countries and those in transition achieve sustainable development in line with environmental principles and standards. United Nations Environment Programme The United Nations Environment Programme is the United Nations designated body for addressing issues at the global and regional level. Its mandate is to co-ordinate the development of environmental policy consensus by keeping the global environment review by bringing emerging issues to the attention of governments and the international community so as to pursue action. This is the United Nations body exclusively focusing on international environmental matters. The constituent instrument which the programme adheres to commits it to the provision of policy guidance and co-ordination of environmental programmes within the United Nations among its roles.  [6]  The creation of the programme is testimony of the General Assemblys powers granted to it under the Charter so as to ensure environmental matters are dealt with collectively since they affect everyone. Provision of information UNEP has been promoting access to information on environmental law in order to increase the level of world-wide knowledge and to provide actors directly involved in the development, implementation and enforcement of environmental law, with the information they need. According to the Stockholm declaration  [7]  provision of such information is education on environmental matters, for the younger generation as well as adults, in order to broaden the basis for an enlightened opinion and responsible conduct by individuals, enterprises and communities in protecting and improving the environment. The basic premise being enhancing the knowledge of environmental law issues by carrying out environmental law studies through the development of websites, and producing environmental law publications to build capacity in environmental law globally. For instance, on Studies in environmental law matters UNEP devotes great attention to the strengthening and promotion of environmental law by undert aking legal studies on different areas identified in the Montevideo Programme III and in subsequent Governing Council decisions. Secondly, establishing a website which provides information on all its environmental activities such as UNEPs environmental law programme is intended to be an instrument for conveying not only information about UNEPs activities, but also to work as a resource tool for all those interested in environmental law world-wide. UNEP ensures that information on environmental matters is known fully especially to the least developed and developing countries sop that they use the environment sustainably with the information published. Provision of technical assistance to developing countries and in transition Technical assistance is very vital as few countries are fully capable to deal with environmental matters as they are today. This was recognized in the UNCED Agenda 21 and the WSSD plan of implementation which recognized the short comings in the environmental legislation in effecting the integration of environment and development policies and practices especially in the developing countries. UNEPs role is to strengthen national and institutional bodies so as to be able to translate sustainable development policies and strategies into action with respect to developing countries and those in transition. In line with Agenda 21 which underscores the importance of implementing international obligations through enactment of the laws at regional, national or municipal level. UNEP in line with Agenda 21 has focused on technical assistance with respect to building the capacity of legal stake holders such as decision makers, legal professionals and academics. The provision of Technical Assistance is guided by the Montevideo Programme II in which the Governing Councils decision 17/25 paragraph 2 stated its objective provision of technical assistance to least developing countries and countries with economies in transition to develop and implement environmental law. Which ensures the UNEP plays its role in assisting governments strengthen their legal and institutional frameworks through training the capacity of decision makers and legal stakeholders in environmental matters so that they strengthen, implement and develop environment law. The role of UNEP is to ensure that the least developed and developing countries in terms of the Rio  [8]  declaration enact effective environmental legislation so that it is in line with the environmental and development standards. Meaning the laws enacted have to reflect in their domestic laws international environmental law and in line with the developments in environmental law. United Nations Development Programme The United Nations established the United Nations Development Programme in 1965  [9]  as the principal channel for multilateral technical and investment assistance to developing countries apart from integrating the millennium development goals with environmental matters. It is active in all economic and social factors which are highly valuable under environmental law as they are interlinked with environmental sustainable development as stated in the Copenhagen Declaration on Social Development  [10]  economic development, social development and environmental protection are interdependent and mutually reinforcing with respect to sustainable development which is the framework to achieve a higher quality of life for all people. Therefore, the work of the United Nations Development Programme is linked directly to poverty reduction by removing the social and economic barriers by empowering the poor so that they will be able to practice sustainable use of the environment in line wi th its mandate. As there can be no achievement of sustainable development without clear focus on the reduction of poverty as favourable conditions must be present both socially and economically to ensure development and sustainable use of the environment. This is in line with the Rio Declaration  [11]  which clearly envisions eradication of poverty so as a requirement for the sustainable use of the environment by decreasing the disparities of living standards in line with the people in the world. The UNDPs role is to help developing countries strengthen their capacities to deal with environmental challenges at global, national and community level seeking and sharing the best practices by providing policy advice, management of important programmes and institutions such as the Global Environment Facility. This introduced the Small Grants Programme which aims at strengthening local capacity in the community by providing enabling conditions. As for instance, the Small Grants Programme works with communities around the world to combat the most critical environmental problems and support communities in their efforts to achieve more sustainable livelihoods. SGP supports projects of non-governmental and community-based organizations in developing countries to demonstrate that community action can meet both human needs and environmental sustainability.  [12]   UNDPs role in developing countries is to ensure effective participation of women in environmental affairs. As according to the Rio Declaration  [13]  women have a vital role in environmental management and development. Their full participation is therefore essential to achieve sustainable development. Since local actors, especially women, are excluded from meaningful participation in environment and energy policy-making processes. Exclusion has served to weaken the impact, cost-effectiveness, and sustainability of initiatives, funding mechanisms, and programmes implemented by international development agencies and national governments.  [14]  This is attributable to the Small Grants Programme which enhances the capacity of local actors, especially women, to access environmental finance so as to ensure they are better equipped to act responsibly. Commission on Sustainable Development The United Nations Commission on Sustainable Development (CSD) was established by the UN General Assembly and ECOSOC in 1992 to ensure effective follow-up of United Nations Conference on Environment and Development (UNCED), also known as the Earth Summit. The Johannesburg Plan of Implementation recognized the CSD as a high level forum on sustainable development and it has specific roles which are. Review progress at the international, regional and national levels in the implementation of recommendations and commitments contained in the (UNCED) namely: Agenda 21; and the Rio Declaration on Environment and Development.  [15]  Follow up the Johannesburg Plan of Implementation and achieve sustainable development.  [16]  Promote dialogue and build partnerships for sustainable development with governments, the international community and the major groups identified in Agenda 21. The Earth Summit recognized capacity-building as the means of implementation for Agenda 21 with particular focus on national mechanisms and international co-operation. The Division for Sustainable Development provides targeted advisory services at the request of individual governments. These services support specific policy initiatives and the requisite institutional development and capacity-building. Technical support is specifically designed to accelerate the formulation of policies for sustainable development and provide substantive support for their implementation at national and international levels in line with the Johannesburg Plan of implementation.  [17]  The Divisions technical expertise enables it to support developing countries and countries with economies in transition in their realization of sustainable development. The role of the CSD is to better equip developing countries to develop in line within the framework of environmental law principles as each country has its specific needs especially developing countries. United Nations Institute for Training and Research Is an autonomous body within the United Nations with the mandate to enhance the effectiveness of the United Nations through training and research. The role of UNITAR is to strengthen the capacity of Member States, Organizations and individuals to address environmental challenges and reach sustainable goals through innovative training approaches and methods.  [18]  In line with the Rio declaration which promotes access to information, public participation, and access to justice in environmental matters and the Aarhus convention which is a major initiative to strengthen environmental democracy it acknowledges that achieving sustainable development requires the involvement of all stakeholders. The role played by UNITAR is to ensure full participation of all the stakeholders under environmental law through proper training, being given a better understanding of how environmental law operates which in effect is capacity building of both developed and developing countries with respect to environmental matters. For instance, the Environment Unit deals with four core areas chemical management, climate change, biodiversity and environmental governance and law. All these areas are crucial to environmental law and the participation of all stakeholders ensures that there will be meaningful progress in the development of Rio Declaration Principle 10, the Aarhus Convention with respect to environmental law. Especially for governments, international organizations, developing countries and those countries in transition it will help them at a national level to adhere to multilateral agreements by addressing the gaps and weaknesses they have by involving the relevant stake holders at all levels necessary. Further, the role played by UNITAR is to be a haven of knowledge and expertise in my view with respect to international law and environmental law issues. This can be amicably seen in the international law programme it has which targets the relevant stakeholders in environmental law such as governments, international organizations, private lawyers, diplomats and government lawyers to ensure that they have full access to the information they need and participate fully by upholding the global respect for international principles. Security Council Under the Charter of the United Nations it has primary responsibility for the maintenance of international peace and security.  [19]  Its mandate does not spell out the protection of the environment but due to its binding legal resolutions  [20]  it plays a significant role under international environmental law by promoting its development. The Security Councils first encounter with environmental matters was in 1991 when it adopted a resolution holding Iraq liable for damage to the environment resulting from the invasion of Kuwait.  [21]  It would be wrong to say that the Security Council has not played a role in environmental affairs as peace is very vital to ensure that there is development and sustainable use of the environment. As outlined in the Rio declaration  [22]  peace, development and environment protection are interdependent and indivisible. In essence the role played by the Security council is to ensure that as peace prevails so does the environment devel ops due to the preservation of peace by the Security Council. Protection of the environment has always been the duty of the Council as under the Rio declaration  [23]  warfare is inherently destructive for sustainable development as states should respect international law which protects the environment in times of armed conflict. Therefore, the Security Council has played a role in the promotion of environmental law by advocating for peaceful settlement of disputes and banning of wars so that there can be development of the environment as stipulated under international environmental principles. Food and Agriculture Organization (FAO) Based in Rome established in 1945 and has a specific mandate to deal with environmental issues namely to promote the conservation of natural resources and the adoption of improved methods of agricultural production.  [24]  FAO leads international efforts to defeat hunger the first MDG, reducing global hunger and poverty by half by the year 2015. Helping both developed and developing countries, by acting as a neutral forum where all nations meet as equals to negotiate agreements and debate policy.  [25]  FAOs role is to support global environmental targets as Priorities for reducing hunger cannot be separated from those for sustainable management of natural resources and ecosystems. There is a close link between hunger, poverty and environmental degradation which underscore the need for multidimensional approaches to their reduction. FAOs Strategic Framework (2000-2015) specifically highlights sustainable production and natural resource conservation. FAOs role is to help count ries and regions develop coherent policies and programmes for efficient and socially desirable sustainable management of resources. The strategy also aims for the conservation, improvement and sustainable utilization of natural resources for food and agriculture, with special emphasis on fragile ecosystems and environments at greatest risk as in developing countries which are mostly affected. FAO works in broad partnership with governments, national, international and non-governmental institutions and civil society to broaden the base of understanding and increases the chances for success in addressing existing and future sustainable development and environmental priorities. Provision of Skilled personnel In line with its objective of reducing hunger which has the capability of causing social and economic problems if not checked fully. The organization has skilled expertise in the field who will serve to ensure that a boost in food production and sustainable methods of doing so are exchanged. FAOs experts are in different fields which help collectively to achieve the objectives within the spirit of co-operation as outlined in international instruments. The experts include Agriculture, Economic and Social Development, Fisheries, Forestry, Natural Resources Management and Environment. And since it has global and regional offices allows it to address the environment problems accordingly when they meet to ensure amicable solutions are given at high level forums in order to solve the problems plaguing the countries. Provision of knowledge FAO serves as a knowledge network through the use of experts foresters, fisheries and livestock specialists, nutritionists, social scientists, economists, statisticians and other professionals to collect, analyse and disseminate data that aids development. In providing knowledge to countries FAO recognizes that environmental issues cannot be handled without effective information within the hands of relevant stakeholders to ensure they have an understanding of what they are dealing with. Especially Online databases, thematic knowledge networks and new practices as websites disseminate information to help policy-makers and individuals make better informed decisions, strengthen links and facilitate sharing and exchange of information.  [26]   United Nations Educational Scientific and Cultural Organization (UNESCO) Established in 1945 its role is to contribute to peace and security by promoting international collaboration through education, science and culture while conserving and protecting historic and scientific monuments.  [27]  Its role has been in line with the Earth Summit which advocated for sustainable development which meets the needs of present generations without jeopardizing the ability of future generations to meet their own. In essence sustainable development cannot be dealt with without educating the relevant actors in environmental law coupled with scientific knowledge. Therefore UNESCOs role is to educate and ensure knowledgeable citizens, informed political and economic decision makers are able to solve emerging environmental issues. For instance, UNESCO has a Climate Change Education for Sustainable Development Programme as education is an essential element of the global response to climate change. In line with the Stockholm declaration principle 19 education helps young people understand and address the impact of global warming, encourages changes in their attitudes and behavior and helps them adapt to climate change-related trends. UNESCO aims to make climate change education a central part of the international response to climate change. By strengthening the capacity of its Member States to provide quality climate change education; encouraging innovative teaching approaches to integrate climate change education   in school and by raising awareness about climate change as well as enhancing non-formal education programmes through media, networking and partnerships.  [28]   Furthermore, UNESCO promotes environmental law through its intergovernmental oceanic commission through capacity development. By developing leadership capacity such as fund-raising, team building, and decision-making skills for directors of marine and coastal sciences institutes to strengthen scientific, legal and institutional structures.  [29]  Special attention is given to developing, tropical and small island states where livelihoods depend heavily on marine resources. The Stockholm declaration in principle 20 clearly outlines such assistance to developing countries Scientific research and development in the context of environmental problems both national and multinational must be promoted in all countries especially developing countriesà ¢Ã¢â€š ¬Ã‚ ¦. Environmental techonologies should be made available to developing countries which would encourage their wide dissemination. The objective of the programme is to empower developing countries to sustainably use their coastal an d marine resources by through self driven capacity development. Due to the degradation and loss of life-sustaining ocean resources is accelerating, one of the greatest challenges is to develop capacity rapidly enough to protect and preserve these resources. The capacity-building approach aims to reduce the continuous dependence on aid by empowering countries to address their own problems through science-based strategies.  [30]   International Maritime Organization (IMO) The major role of the International Maritime Organization is to provide machinery for cooperation among Governments in the field of governmental regulation and practices relating to technical matters of all kinds affecting shipping engaged in international trade, to encourage and facilitate the general adoption of the highest practicable standards in matters concerning maritime safety, efficiency of navigation and prevention and control of marine pollution from ships.  [31]  Therefore the major role of the maritime organization is to ensure the safety of ships at sea so that they do not discharge pollution into the sea oil or any other substance plus there is no unnecessary dumping of wastes which causes damage to the marine environment. In having such high safety standards on ships which converge the ocean in essence they are fighting against pollution from such ships and are advocating for liability of pollution in the ocean as a way to ensure high standards of safety and secur ity procedures for ships. For instance as a result of the Torrey canyon disaster in 1967 a legal committee was established which became a permanent subsidiary organization. The swiftness of the action is admirable and only serves to show that the organization is concerned with the safety and security of ships as they travel over the ocean ensuring they do not cause marine pollution. In promoting the safety and security of ships as they traverse the ocean the IMO as mandated by its convention provides an Integrated Technical Co-operation Programme which ensures there are safe, secure and effective shipping services further protecting their waters and coasts from the environmental degradation caused by ships and other maritime associated activities. International Labour Organization (ILO) The role of the International Labour Organization is to promote its programme decent work for all as work is central to the well being of people. By providing work one gets income paving the way for social and economic advancement through strengthening of families and communities.  [32]  Therefore the major purpose of the ILO is to eradicate underdevelopment as stated in the Stockholm declaration which has caused many developing countries to lag behind. By securing decent work for all creates jobs as people can live sustainable livelihoods and ease pressure on the environment. The basic thrust of the programme in environmental affairs is to forge international consensus among governments, employers, workers and civil society that productive employment and decent work are key elements to achieving a fair globalization, reducing poverty and achieving equitable, inclusive, and sustainable development.  [33]<

Leukemia :: Cancer Research Health Essays

Leukemia Leukemia is a disease characterized by the formation of abnormal numbers of white blood cells, for which no certain cure has been found. Leukemia is also conditions characterized by the transformation of normal blood-forming cells into abnormal white blood cells whose unrestrained growth overwhelms and replaces normal bone marrow and blood cells. Leukemias are named according to the normal cell from which they originate, such as Lymphocyte Leukemia. Lymphocyte Leukemia is where a Lymphocyte cell is transformed into a Leukemia cell. Another example of Leukemia is Myelocytic or (Granulocytic Leukemia). This forms when a Myelocytic cell is changed or transformed into a Leukemia cell. Different Leukemia's are located in the microscope and by how much protein they contain. These Leukemia's are usually very severe and need treatment right away. The present incidence of new cases per year in the United States is about 25 to every 100,000 persons. The danger to the patient lies in the growth of these abnormal white cells, which interfere with the growth of the red blood cells, normal white blood cells, and the blood platelets. The uncontrolled growth of the abnormal white cells produces a tendency to unstop bleeding, the risk of getting serious infection in the wounds, and a very small possibility of obstruction of the blood vessels. Treatment of these Leukemias include chemotherapy with alkylafing agents, or antimetabodies that suppress the growth of abnormal white cells. Another treatment of some kind would be the x-ray or the administration or radioactive substances, or radiophosphorus, may be used. After treatment these diseases may last for many years. Age of the person diagnosed with Leukemia does play an important part in how that individual responds to any treatment. The older the person the less response he may have to treatment. Leukemia in Animals white blood cells is much less common as Leukemia in humans white blood cells. Today's treatment mostly includes chemotherapy and or bone marrow transplantation supportive care, where transfusions of blood components and prompt treatment of complicating infections, is very important. Ninety percent of children with Acute Lymphocyte Leukemia have received chemotherapy and fifty percent of theses children have been fully cured of Leukemia. Treatment of AML or Acute Myeolcytic Leukemia is not as successful but has been improving more and more throughout the 1990's. Scientists that study the cause of Leukemia have not had very much success lately. Very large doses of x-rays can increase the efficacy growth of Leukemia. Chemicals such as Benzene also may increase the risk of getting Leukemia. Scientists have tried experiments on Leukemia in Animals by transmitting RNA into the body of the Animal. Interpretation of these results in relation with human Leukemia is very cautious at this time. Studies have also suggested that family history, race, genetic factors, and geography may

Moral Absolutes Essay

Why are Christian ethics and theology inseparable? What did Francis Schaeffer mean when he said that not all things are the same to God? Christian ethics is inseparable from theology because it is grounded in the character of God. Francis Schaeffer said that not all things are the same to God and means that God exists and has a character, but not all things are the same to him. Some things conform to His character, and some are opposed to his character. 2. What did Schaeffer conclude about a society without moral absolutes? Do we see this in society? Schaeffer concludes that if a society has no moral absolutes then there is no final appeal to judge between individuals and groups whose moral judgments conflict. There will be no standards and only conflicting opinions. 3. On what authority do Christians base their belief in moral absolutes? How specific is this authority? Christians base their beliefs in moral absolutes through the Bible. Of course, you cannot solve all moral decisions by referring to the Bible but there sufficient guidelines provided to give us a sense of what is morally right. These guidelines are the Decalogue also known as the Ten Commandments and tat is how specific the authority is. 4. Ethically speaking, what are Christians called to do? Christians are called to love the Lord with all their heart, all their soul, and with all their strength and with their entire mind and love your neighbor as yourself. 5. What did Dietrich Bonhoeffer mean by the question, â€Å"Where are the responsible people? He meant Christians, who are willing to treat God’s moral order with the same respect they show His physical order; who love God with their whole body, soul, spirit, mind and strength; who treat others as they desire to be treated. Ethics 3. 2 6. Why do Muslims view Muhammad as morally exemplary even though the Hadith does not paint a flattering portrait of his life? Muslims are conditioned to look at the whole picture through the eyes of faith. Certain things that the Prophet did do not conform to ordinary ideas of morality and may be considered sensual and cruel, but believers look at the whole thing differently. To them morality derives from the Prophet’s actions; the moral is whatever he did. Morality does not determine the Prophet’s actions, but his actions determines morality. 7. How do Christianity and Islam differ in relation to their beliefs about ethical absolutes? Christianity and Islam differ because Christianity is based on the Bible and Islam is based on the Qur’an and the Bible grounds morality in God’s essential character; the Qur’an teaches that God cannot be ultimately known. 8. In what two ways is the term jihad used? First: the battle against temptation and sin for the sake of self-control and the development of virtue; Second: the battle against any and all who oppose Islam. 9. What motivates Muslims to behave ethically? They are motivated by several fronts like: to develop personal virtue and spirituality, to better the state of others, to strengthen relationships, and to anticipate the coming judgment. 10. Which motivation is strongest? The anticipation of final judgment. Ethics 3. 3 11. What is the ultimate ethical question for a Secular Humanist? What questions did Morris B. Storer outline in his book Humanist Ethics? The ultimate ethical question for a Secular Humanist is Can morality be achieved without the foundation of absolute religious beliefs? Who makes the rules, God or men? Morris B. Storer outlined: Is personal advantage the measure of right and wrong or the advantage of all affected? Is there truth in ethics? Are right and wrong expressions of heart or head? Do people have free wills? Do you measure morality by results or by principles? Do people have duties as well as rights? 12. Why are there such diverse views and conflicts regarding humanistic ethics? There are diverse views and conflicts because there is a lack of consensus about the foundation of ethics and that is problematic for the whole concept of Humanistic ethics. 13. Who proposed the â€Å"no-truth thesis† and what does it state? Kai Nelson and it states that no question of the truth or falsity of moral values can sensibly arise. 14. How do most humanists attempt to dodge the â€Å"no-truth thesis†? How does Corliss Lamont address this issue? They attempt to doge it by claiming that they use reason to determine right and wrong in the context of ethical relativism. Lamont addresses the issue with optimism stating that as long as we pursue activities that are healthy, socially useful and in accordance with reason, pleasure and happiness will accompany us and the supreme good will the eventual result. 15. What did Arthur E. Gravatt, Joseph Fletcher, Herbert W. Schneider, and Paul Kurtz have to say about Ethics? Dr. Arthur E. Gravatt: Moral behavior may differ from situation to situation. Behavior might be moral for one person and not another or moral at one time and not another. Joseph Fletcher: Rights and wrongs are determined by objective facts or circumstances, that is, by the situations in which moral agents have to decide for the most beneficial course open to choice. Herbert W. Schneider: Morality is â€Å"an experimental art† and is the â€Å"basic art of living well together. † Moral right and wrong must therefore be conceived in terms of moral standards generated in a particular society. Paul Kurtz: Moral principles should be treated as hypotheses, tested by their practical worth and judged by what they cause to happen. Ethics 3. 4 16. How did Karl Marx and Friedrich Engels view the issue of morality? Marx and Engels denied that moral ideals, moral considerations, are central in human life and social evolution. Rather, it is biological and social evolution that determines their definition of morality. What is right and wrong is determined by what is best for evolution. 17. What is the Marxist-Leninist morality of the future? How will it be determined? Their morality of the future is when the proletariat finally destroys the bourgeoisie. The new classless society will determine the new morality, just as this evolution toward a classless society is dictating today’s morality. 18. What is the Marxist-Leninist view of â€Å"old morality?They view old morality as products of the bourgeoisie invented and used by the propertied class to oppress the propertyless proletariat. 19. What is the Marxist code of ethics according to the book Scientific Communism? â€Å"Devotion to the cause of the working class, collectivism, mutual aid, comradely solidarity, hatred toward the bourgeois ie and toward traitors to the common cause, internationalism, and stoicism in struggle are traits which not only define the content of proletarian ethics, but also characterize the moral image of the typical representatives of the working class. 20. What means have Marxists historically believed would bring about a society without class distinction? What have been the results of such an ethical system? They believe that revolution is the most efficient means for creating a society without class distinctions. This system is responsible for 83 million deaths between 1917 and 1964. But from a Marxist-Leninist point of view, it is worth the price if people die to abolish social classes and private property.

Chekhov Setting Analysis The Lady with the Dog Essay

In Anton Chekhov’s story â€Å"The Lady with the Dog. † the main characters Dmitry Gurov and Anna Sergeyevna partake in an affair while in Yalta. Chekhov creates this with words that capture a place and time, the movements between two people and emotions of love discovered but contained in secrecy. The central idea of this story is that in reality everything in this world is truly beautiful when on reflects on it, except when we forget our dignity and our higher aim in our mere human existence. The setting in this story helps us understand the central idea by throwing in the stepping stones for these two people to sit back and look at their surroundings each time they meet. With every meeting comes a deeper understanding of the feelings being felt. In the first passage there is a lot of people gathered on a pier, everyone seems to be waiting on someone therefore not putting much attention or thought to the young lovers. This gives them that ability to sneak without much detection from anyone that may recognize them. The tone seems light but still prominent. The author writes, â€Å"In the evening, when the wind had dropped, they walked to the pier to see the steamer come in. There were a great many people strolling about the harbour; they had gathered to welcome someone, bringing bouquets. And two peculiarities of a well-dressed Yalta crowd were very conspicuous: the elderly ladies were dressed like young ones, and there were great numbers of generals. † The â€Å"great many people strolling about the harbor† make it easier for the pair to be part of the rea; world but still only really existing in their own realm without fear of being caught. Also the â€Å"well-dressed Yalta crowd were very conspicuous† so all the notice and attention would be on the â€Å"elderly ladies dressed like young ones† and on the â€Å"great numbers of generals. † The setting helps communicate the central idea, Chekhov did not look for a moral solution but instead hangs Gurov and Anna in a state of having no end that allows them to speak of what is real. As soon as Anna leaves, Gurov does not feel at home in Yalta anymore. In the story the author writes â€Å"The train moved off rapidly, its lights soon vanished from sight, and a minute later there was no sound of it, as though everything has conspired together to end as quickly as possible that sweet delirium, that madness. Left alone on the platform, and gazing into the dark distance, Gurov listened to the shrilling of the grasshoppers and the hum of the telegrap wires, feeling as though he had only just awakened. † When Anna leaves Yalta, it signals a shift in atmosphere and mood â€Å"as though everything had conspired together to end as quickly as possible. Gurov had a â€Å"feeling as though he had only just awakened. † And at that moment quickly decides it’s time for him to go north as well. The passage reveals how out of place and uncomfortable he feels with Anna gone â€Å"standing alone on the platform and gazing into the dark distance, listened to the shrilling of the grasshoppers and the humming of the telegraph wires. † Each of these an example of something unpleasant reflecting the emotions continuing to develop in Gurov. Anna brought about a softening of his heart, allowing him to love for the first time in his life.

The eNotes Blog 8 Books to Read If You Attended the WomensMarch

8 Books to Read If You Attended the WomensMarch This past January, a record number of American women were sworn in as governors, state senators, and congresswomen. Soon after, many of these women, their supporters, and other advocates for womens rights took the streets to march in the third-annual Womens March. We wanted to keep the good femm-tastic vibes going with a list of recommended reads for all you Womens March attendees. These eight books are about love, sexuality, power, race, and community, and- of course- feminism. March (and read) on! 1. All About Love: New Visions by Bell Hooks Page count: 240 Genre: Nonfiction Publish date: 1999 â€Å"One of the best guides to how to be self-loving is to give ourselves the love we are often dreaming about receiving from others,† bell hooks writes in her life-changing book All About Love. In one of her most personal works, hooks writes about her quest to understand love as a verb by offering a definition and examining how to undo some of the harmful ways we’ve been taught to give and accept love into our lives. 2. The Dream of a Common Language by Adrienne Rich Page count: 96 Genre: Poetry Publish date: 1993 A collection of poetry published in 1978, The Dream of a Common Language examines the varied experiences of womanhood through an exploration of power, history, lesbianism, and politics. The poems reflect Rich’s own identity, integrating her personal life, political beliefs, and understanding of love. The book poignantly argues for a â€Å"common language† that has the capacity to communicate and be bestowed with feminist ideals. 3. Sister Outsider by Audre Lorde Page count: 190 Genre: Nonfiction; Essays Publish date: 1984 Audre Lorde is the champion of the essay form. In her collection of fifteen essays and speeches, she critically examines the intersections of identity along the lines of sexism, racism, homophobia, and class. The book asserts Lorde’s identity, highlighting the importance of legitimizing poetry and personal narrative as important forms for combatting patriarchy. 4. The Bluest Eye by Toni Morrison Page count: 216 Genre: Fiction Publish date: 1970 The novel follows the story of Pecola Breedlove and critiques society’s obsession with beauty and conformity to whiteness. The book encourages readers to think about internalized racism, family trauma, and the history of racism in the United States. Today, it is still regarded as one of the most important works of American literature. 5. The House on Mango Street by Sandra Cisneros Page count: 110 Genre: Fiction; YA Publish date: 1984 Set in a predominantly Latinx neighborhood in Chicago, The House on Mango Street explores the novel’s protagonist, Esperanza Cordero, through her relationships, trauma, and experiences while growing up. Because Cordero is also the novel’s narrator, we’re given a first-hand account of immigrant life and what it means to be marginalized in a predominantly white country. 6. This Bridge Called My Back edited by Cherrà ­e Moraga and Gloria Anzaldà ºa Page count: 261 Genre: Nonfiction; Essays; Poetry Publish date: 1981 One of the most important anthologies to feminism, This Bridge Called My Back focuses on the experiences of women of color and their intersectional identities. The book propelled forward third-wave feminism by highlighting of the voices of African American, Native American, Asian American, and Latina women, arguing for an intellectual framework that expanded what it means to be a feminist. 7. Tiny Beautiful Things: Advice on Love and Life from Dear Sugar by Cheryl Strayed Page count: 304 Genre: Nonfiction Publish date: 2012 This collection of The Rumpuss Dear Sugar advice columns offers painstakingly honest advice on all of the ups and downs of life, big and small. Cheryl Strayed, author of Wild, carefully crafts solid advice to her readers through the experiences of her own life and careful insight. Her bluntness and compassion is refreshing and provides a place to turn during times of uncertainty. 8. We Should All Be Feminists by Chimamanda Ngozi Adichie Page count: 52 Genre: Nonfiction; Essays Publish date: 2014 In We Should All Be Feminists, Adichie recognizes the importance of creating a shared definition of the term feminist, arguing that it is a label that should be understood and embraced by all- particularly at this moment in history. She writes about the wage gap, the gendered nature of economic power, and how we do a disservice to both women and men by teaching them to adhere to rigid gender roles.

Free Essays on Inspector Calls

An Inspector Calls J.B. Priestly ‘An Inspector Calls’ written by J.B. Priestly, 1945, but was set in 1912. As he had lived through both wars he could see what had actually happened in the time the play was set. In the play, he uses the characters to express his views about socialism and possibly about class divisions. This essay will show the role of the inspector, ‘Inspector Goole’ and how Priestly puts across his views. The play ‘An Inspector Calls’, is about the Birling family, who are quite well off, and they are celebrating their daughters engagement with her ‘to be’ husband, Gerald. The father is happy that his daughter is getting married to him as Gerald’s father is the owner of a company who Birling would like to have closer to him. Maybe start a partnership. The inspector comes to the celebration and breaks up the party, questioning the family on the death of a young girl, Eva Smith, who had died by drinking disinfectant. On the arrival of the inspector, he seems like a regular inspector, and the Birlings don’t seem to act as if much is wrong. Mr. Birling has a few jokes with the inspector, expecting he was just there because of trouble with a warrant, until he gives the idea that they are being questioned on a girls death. ‘I’d like some information, if you don’t mind, Mr. Birling. Two hours ago, a young woman died in the infirmary†¦Ã¢â‚¬â„¢ Act one, page 11. This is where the attitude of Mr. Birling and the Birlings change, as they can see that the inspector is being serious. Goole doesn’t give any hints that he isn’t a real police inspector until later in the play. He seems like a real inspector in the entire first act. Goole’s actions are consistent of those of a real police inspector in many ways, one of which by him refusing a drink as they aren’t allowed to drink on duty. Mr. Birling: Have a glass of port – or a little whisky? Inspector: No thank you, Mr.... Free Essays on Inspector Calls Free Essays on Inspector Calls An Inspector Calls J.B. Priestly ‘An Inspector Calls’ written by J.B. Priestly, 1945, but was set in 1912. As he had lived through both wars he could see what had actually happened in the time the play was set. In the play, he uses the characters to express his views about socialism and possibly about class divisions. This essay will show the role of the inspector, ‘Inspector Goole’ and how Priestly puts across his views. The play ‘An Inspector Calls’, is about the Birling family, who are quite well off, and they are celebrating their daughters engagement with her ‘to be’ husband, Gerald. The father is happy that his daughter is getting married to him as Gerald’s father is the owner of a company who Birling would like to have closer to him. Maybe start a partnership. The inspector comes to the celebration and breaks up the party, questioning the family on the death of a young girl, Eva Smith, who had died by drinking disinfectant. On the arrival of the inspector, he seems like a regular inspector, and the Birlings don’t seem to act as if much is wrong. Mr. Birling has a few jokes with the inspector, expecting he was just there because of trouble with a warrant, until he gives the idea that they are being questioned on a girls death. ‘I’d like some information, if you don’t mind, Mr. Birling. Two hours ago, a young woman died in the infirmary†¦Ã¢â‚¬â„¢ Act one, page 11. This is where the attitude of Mr. Birling and the Birlings change, as they can see that the inspector is being serious. Goole doesn’t give any hints that he isn’t a real police inspector until later in the play. He seems like a real inspector in the entire first act. Goole’s actions are consistent of those of a real police inspector in many ways, one of which by him refusing a drink as they aren’t allowed to drink on duty. Mr. Birling: Have a glass of port – or a little whisky? Inspector: No thank you, Mr....

Global Warming Overview and Causes

Global Warming Overview and Causes Global warming, the general increase in the earths near-surface air and ocean temperatures, remains a pressing issue in a society that has expanded its industrial use since the mid-twentieth century. Greenhouse gases, atmospheric gases that exist to keep our planet warm and prevent warmer air from leaving our planet, are enhanced by industrial processes. As human activity such as the burning of fossil fuels and deforestation increases, greenhouse gases such as Carbon Dioxide is released into the air. Normally, when heat enters the atmosphere, it is through short-wave radiation; a type of radiation that passes smoothly through our atmosphere. As this radiation heats the earths surface, it escapes the earth in the form of long-wave radiation; a type of radiation that is much more difficult to pass through the atmosphere. Greenhouse gases released into the atmosphere causes this long-wave radiation to increase. Thus, heat is trapped inside of our planet and creates a general warming effect. Scientific organizations around the world, including The Intergovernmental Panel on Climate Change, the InterAcademy Council, and over thirty others, have projected a significant change and future increase in these atmospheric temperatures. But what are the real causes and effects of global warming? What does this scientific evidence conclude in regards to our future? Causes of Global Warming Nylon and nitric acid production, the use of fertilizers in agriculture, and the burning of organic matter also release the greenhouse gas Nitrous Oxide. These are processes that have been expanded since the mid-twentieth century. Melting of the Polar Ice Caps Melting ice caps will desalinize the ocean and disrupt natural ocean currents. Since ocean currents regulate temperatures by bringing warmer currents into cooler regions and cooler currents into warmer regions, a halt in this activity may cause extreme climate changes, such as Western Europe experiencing a mini-ice age. Another important effect of melting ice caps lies in a changing albedo. Albedo is the ratio of the light reflected by any part of the earths surface or atmosphere. Since snow has one of the highest albedo levels, it reflects sunlight back into space, helping to keep the earth cooler. As it melts, more sunlight is absorbed by the earths atmosphere and the temperature tends to increase. This further contributes to global warming. Wildlife Habits/Adaptations Another example of changing wildlife adaptations involves the polar bear. The polar bear is now listed as a threatened species under the Endangered Species Act. Global warming has significantly reduced its sea ice habitat; as the ice melts, polar bears are stranded and often drown. With the continuous melting of ice, there will be fewer habitat opportunities and risk in the extinction of the species. Ocean Acidification/Coral Bleaching Since coral is very sensitive to increased water temperature over a long period of time, they lose their symbiotic algae, a type of algae that gives them coral color and nutrients. Losing these algae results in a white or bleached appearance, and is eventually fatal to the coral reef. Since hundreds of thousands of species thrive on coral as a natural habitat and means of food, coral bleaching is also fatal to the living organisms of the sea. Floods and Droughts and Global Warming Global warming has caused heavy rains in the United States due to warmer air having the ability to hold more water vapor than cooler air. Floods that have impacted the United States since 1993 alone have caused over $25 billion in losses. With increased floods and droughts, not only will our safety be affected, but also the economy. Population Risk and Unsustainable Development Similarly, climate change impinges on sustainable development. In developing Asian countries, a cyclic disaster occurs between productivity and global warming. Natural resources are needed for heavy industrialization and urbanization. Yet, this industrialization creates immense amounts of greenhouse gases, thus depleting the natural resources needed for further development of the country. Without finding a new and more efficient way to use energy, we will be depleted of our natural resources needed for our planet to thrive. Climate Policy Other U.S. and international policies, such as the Climate Change Science Program and the Climate Change Technology Program, have been reinstated with a comprehensive objective of reducing greenhouse gas emissions through international cooperation. As the governments of our world continue to understand and acknowledge the threat of global warming to our livelihood, we are closer to reducing greenhouse gases to a manageable size. Personal Action This reduction can also be made by improving vehicle-fuel efficiency. Driving less than needed or buying a fuel-efficient car will reduce greenhouse gas emissions. Although its a small change, many small changes will someday lead to a bigger change. Recycling whenever possible greatly reduces the energy needed to create new products. Whether it is aluminum cans, magazines, cardboard, or glass, finding the nearest recycling center will aid in the fight against global warming. Global Warming and The Road Ahead As global warming progresses, natural resources will be further depleted, and there will be risks of wildlife extinctions, melting of the polar ice caps, coral bleaching and disintegration, floods and droughts, disease, economic disaster, sea level rise, population risks, unsustainable land, and more. As we live in a world characterized by industrial progress and development aided by the help of our natural environment, we are also risking depletion of this natural environment and thus of our world as we know it. With a rational balance between protecting our environment and developing human technology, we will live in a world where we can simultaneously progress the capabilities of mankind with the beauty and necessity of our natural environment.

Religions Essay Example | Topics and Well Written Essays - 750 words

Religions - Essay Example David, therefore, is a source of authority among Christians. David’s background also indicates that he was a man after God’s heart. When the first king of Israel, Saul, fell from grace, God had to select the next king through Samuel. Samuel had clear instructions from God: the next king of Israel had to be a man after God’s heart. After unsuccessfully pouring the anointing over the eldest sons of Jesse, Samuel asked if there was one left out. David was physically insignificant to the point of being overlooked during such an event. However, he was after God’s heart, and therefore, qualified to become king over Israel. Initially, the Israelites’ perception of kingship was different from God’s. Before King Saul, God ruled over Israel through prophets such as Samuel. But because the Israelites face constant attacks from their enemies, they started pestering Samuel for a king. They needed somebody to lead them to war and protect them with a human military army. God gave them Saul, but he failed miserably as he has too many human weaknesses. This was because he was not after God’s heart but his selfish interests. Consequently, he could not continue being king in Israel. Soon, the Israelites were voicing their regrets over King Saul. God was also displeased with Saul and eventually, the Israelites needed another king. As king of Israel, David trusted in God and was able to succeed where Saul had floundered. First, he was able to reunite all the tribes of Israel. Prior to his kingship, Israel was a ragtag of confederacies, the most notable being the northern confederacy, with its headquarters at Shechem. The tribe of Ephraim dominated this confederacy. As a united front, Israel now presents a vastly stronger adversary to their enemies. Secondly, by trusting and believing in God, David won many wars. The Philistines had posed the greatest threat to the wellbeing of the Israelites, but David was able to vanquish them once and for all. Consequently,

(business)Minimum Wage Essay Example | Topics and Well Written Essays - 2500 words

(business)Minimum Wage - Essay Example Peter Jones in Rights contrasted the difference between natural and human rights1. The concept of natural rights is tied up in the idea where the citizens gave up to the governing body for the good of law and order and in return the governments protected and upheld within the law, i.e., Constitutions. Therefore the argument of natural rights has now become so diluted that it is no longer an effective model. Human Rights as theory admits from the outset they are intangible and not from nature, therefore one cannot empirically observe or measure them, as Margaret MacDonald2 criticized the argument from nature. Human rights, as described by Jones, are prescribed by the fact of being human and part of humanity3. It picks up on the egalitarian theory of equality, whereby human beings are equal and therefore are afforded these basic rights. The arguments for these rights come from arguments, such as self-evidence, human worth and moral worth. The basis of the core rights theorists is the work of Immanuel Kant. ... How does Kant argue that this is an all-encompassing ethic outside of societal conventions, without the aid of a divine being Kant argues that it is the individual's ability to reason and autonomous will that is the basis of his a priori argument. Shestack5 describes the basis of Kant's argument as; 'rights then flow from the autonomy of the individual in choosing his and her ends, consistent with a similar freedom for all... In short, Kant's imperative is that the central focus of morality is 'personhood', namely the capacity to take responsibility as a free and rational agent for one's system of ends'.6 This ethic was one of the most influential arguments for universal human rights, in response to Nazism, eugenics and ethnic cleansing, which can be illustrated in the Universal Declaration of Human Rights with words such as inherent, inalienable and equality applied to rights and the basis of these rights are the foundation of freedom, justice and peace in world. Kant's theory is th e basis of the core theorists and has been very influential in the drafting of the 20th Century human rights treaties and legislation. However how do we measure what should be included in these universal rights The answer to this question is at the heart of this discussion for the international treaties and human rights legislation does not seem to be meeting the needs to fulfil Kant's ethic as Evans argued modern human rights law is too legalistic. This is a core rights theory, which purports these rights transcend statehood therefore automatically requiring the state to extend these rights to all individuals and arguably future generations. Rawl's, on the other hand, in his thesis for engendering human rights states that justice7 is the prime basis of all

Innovative Solutions Annotated Bibliography Example | Topics and Well Written Essays - 1750 words

Innovative Solutions - Annotated Bibliography Example Thus, based on the provided case scenario, wherein NHS faced difficulties in procuring high-speed internet services, the approach of BIM might prove to be an appropriate technological solution for this health service company. This solution might aid the company to mitigate such difficulty in the form of making effective virtual design and promoting facility management. This article elaborates about the necessary requirements of network energy along with the growing trend of carbon footprints in recent years. It also deals with the new network technologies, which is green network technologies to achieve the real assignment, which relates with innovation solution. This article also deals with the influence of green network technologies over next generation wire line network. This technology will enhance the performance of workforce and operational activities. The impact of the same is also observed on the economy as well as environment. The reason for selecting this article also is that the advanced technology is linked with the innovation solution for the European projects. The main objective of the article is to design innovative solution for wired network infrastructure. In relation to the case scenario provided, green technologies may act as the other technological solution for NHS that would support this company to transmit huge imaging files b y following a wired network infrastructure. This infrastructure is usually identified to frame certain design elements that aid in transmitting valuable and relevant files in the form of undergoing through diverse networks. The article deals with the usages of different types of technologies such as digital technologies. It also deals with the concept of world’s technological capacity and discusses the concepts such as the application of this technology in the life of the people. The article provides innovative solution to

Social Policy and Personal Lives Essay Example | Topics and Well Written Essays - 2250 words

Social Policy and Personal Lives - Essay Example We will also explore different ways in which this affects the way both qualitative research is conducted and the ways it has affect personal lives and social policy In order to attempt to make social sciences a 'pure science', sociologists previously gathered data only in the form of quantitative methods. This was primarily to avoid empirical problems involving the lack of 'hard' evidence, but it removed one vital aspect of social studies that essentially set it apart from other sciences: the personal element. Indeed, deductive methods are less refutable but they do not involve the individual and certainly do not entertain the idea of the spiritual or mental differences between two people. Over time, both qualitative and quantitative research have been melded into an interdisciplinary approach to social research but this depends on the type of research, the problem/issue to be dealt with and the question one wishes to answer. How research is conducted depends on the nature of the reality one wishes to study, the knowledge we have about that reality and then the way that knowledge is organized. In other words the ontology, epistemology and metho dology of social research refers to the various sectors of sociological information we have. With regards to social policy and personal lives, quantitative research will tell us very little about the way we perceive our surroundings, but qualitative research is focused on the individual for whom that very society is constructed. Social policies such as welfare systems and educational institutions are built around the specific social group and while it is well known that generalizations about society are often made, qualitative research seeks to verify certain realities. The research essentially grants the scientist the viewpoint 'from the horse's mouth'. For example, what people think about legal systems can be postulated around ones own opinion, but it is only when others are asked that this hypothesis can be true or not. One can always assume that people work for instance in the Care-giving industry because they enjoy it or because they feel a moral obligation to do so, but by asking the recipient themselves a clearer picture is given. That Care work is relegated to those with more compassion than other, may necessarily be assumption, but the relationship between personal lives and this form of social policy cannot be removed. This is because Care work is based on the individual and not the collectivity. Therefore care-workers are often spit into formal and informal (Fink, 2004: 5). This basically splits the category into those that volunteer and those that are paid. Over time there has unfortunately been a great deal of dissention regarding abuse of these positions in cases of potential sexual molestation and physical abuse (Fink, 2004: 11). This meant that prejudices were in place regarding the use of male 'carers' in female homes. Again this problem arose due in part to misconceptions surrounding what men are supposed to be. The biological approaches to sociology often put men across as being the breadwinner who has to go out and kill the beast for meals and then come home and procreate in order to maintain the population and the spread of their seed. This Darwinian hypothesis was proved only

Hydrogen fuel cell technology Essay Example | Topics and Well Written Essays - 1500 words

Hydrogen fuel cell technology - Essay Example Because of this, hydrogen stored in tanks of any construction will evaporate at an approximate rate two percent per 24 hours. As hydrogen gas penetrates a container, it initiates structural changes which cause the metal to become increasingly brittle. Another concern is the size of fuel tanks necessary to carry hydrogen fuel. To substitute the energy capability delivered by 20 gallons of gasoline would require approximately 62,000 gallons of hydrogen gas. To this point, low-density compressed hydrogen is used to power automobiles, which does not allow for the same range as does gasoline. Additionally, compressed hydrogen carries the risk of leaking through fuel tanks or escaping from the result of an accident thus causing an explosion. The Hindenburg incident is an example of the volatility of hydrogen gas. Liquefied hydrogen stores in a much smaller space, 60 gallons equates to 15 gallons of gasoline. However, there are the impediments to the storage of liquid hydrogen. It is a very cold substance, enough cold enough to freeze air (Romm, 2000). This frigidity quality plugs up valves in lines that carry the liquid hydrogen which has caused accidents in experimental vehicles. However, the rate of energy return is certain to improve as research continues. Other research has found that powdered metal hybrid compositions used for storage tanks allows for less volatility of hydrogen but are far heavier than conventional tanks (Romm, 2000).

Should the USA continue its policy of encouraging less developed Essay

Should the USA continue its policy of encouraging less developed countries to adopt democracy and capitalism - Essay Example This is because democracy offers citizens greater political stability, enhanced quality of living, greater individual liberty as well as freedom from any governmental violence. By adopting capitalism, the citizens of less developed countries are able to benefit from the fact that capitalism tends to greatly promote competition and innovation. Capitalism can offer the citizens of less developed countries more choices as well as the very best opportunities that they can be able to use to improve their living standards. These factors are seen to the fostering of greater economic freedom. Another key benefit of promoting capitalism in the less developed countries is that not only does capitalism foster competition, it also benefits these countries as it spurs the companies within them to innovate and develop far better products that will cause for there to be more goods and services in the market a factor that helps in keeping the prices of commodities at low levels. Democratic political systems often tend to enjoy far greater prosperity over longer time periods as compared to other systems. As democracy spreads, more individuals in less developed countries are likely to start enjoying greater economic benefits. While authoritarian regimes are able to compile impressive short-run economic records, they are rarely able to sustain these rates of growth for long time

Hydrogen fuel cell technology Essay Example | Topics and Well Written Essays - 1500 words

Hydrogen fuel cell technology - Essay Example Because of this, hydrogen stored in tanks of any construction will evaporate at an approximate rate two percent per 24 hours. As hydrogen gas penetrates a container, it initiates structural changes which cause the metal to become increasingly brittle. Another concern is the size of fuel tanks necessary to carry hydrogen fuel. To substitute the energy capability delivered by 20 gallons of gasoline would require approximately 62,000 gallons of hydrogen gas. To this point, low-density compressed hydrogen is used to power automobiles, which does not allow for the same range as does gasoline. Additionally, compressed hydrogen carries the risk of leaking through fuel tanks or escaping from the result of an accident thus causing an explosion. The Hindenburg incident is an example of the volatility of hydrogen gas. Liquefied hydrogen stores in a much smaller space, 60 gallons equates to 15 gallons of gasoline. However, there are the impediments to the storage of liquid hydrogen. It is a very cold substance, enough cold enough to freeze air (Romm, 2000). This frigidity quality plugs up valves in lines that carry the liquid hydrogen which has caused accidents in experimental vehicles. However, the rate of energy return is certain to improve as research continues. Other research has found that powdered metal hybrid compositions used for storage tanks allows for less volatility of hydrogen but are far heavier than conventional tanks (Romm, 2000).

Gospel Essentials Essay Example | Topics and Well Written Essays - 1250 words

Gospel Essentials - Essay Example In the previous epochs He was thought to be the center of the Universe and literally everything was revolving around Him. With this regard one should also dwell on some characteristics that are attributed to God Who is perceived as â€Å"a being conceived as the perfect, omnipotent, omniscient originator and ruler of the universe, the principal object of faith and worship in monotheistic religions† (God, 2011). Indeed, one of the major aspects that should be mentioned in particular is His perfection: no other being in the Universe can be as perfect. God is also regarded as the Creator of everything (DiVincenzo, 2012). It is quite obvious that everything that exists in the world was created by Him. Prior to the beginning of all things, nothing existed but God. The process of creation is explained in detailed in the book of Genesis. Keeping this in mind, one might ask a legitimate question: if everything was created by God, is evil, death, suffering and other negative aspects of life created by Him as well? According to free will theodicy, it was, but for the purpose of greater good. Speaking of human nature, one should note two important aspects. On the one hand, it must be said that just like all other beings, humans were created; however, â€Å"God created mankind in His own image† (Genesis 1:27). On the other hand, due because Adam and Eve committed the Original Sin, they could no longer live in Eden. There are many opinions about purpose of human life. While some people suggest that there is not distinct purpose since life should be perceived as the greatest gift that a person can receive, others point out that humans were created to praise the Lord. That is why the purpose of the human life is to love the Creator and follow the guidelines that were designed by Him. If people chose not to do so, this causes a considerable number of problems in their lives. Indeed, when humans forget about God and focus on the visible world, with all its

Impact of Internal Factors on Islamic Banking

Impact of Internal Factors on Islamic Banking Introduction to the Subject Background of the Subject General Objective The purpose of this study is to examine how the internal factors of the Islamic Banking affected their performance before, during and after the financial crisis in the GCC in comparison to the conventional banking in the same area. Research Questions This study aims to answer the following questions: How did the financial crisis affect the profitability of Islamic Banks in comparison to Conventional Banks? What are the internal factors (bank specific characteristics) that influence the profitability of Islamic banking for every year from 2006 à ¢Ã¢â€š ¬Ã¢â‚¬Å" 2009? Did these factors have the same impact on the profitability of Islamic Banking before, during and after the financial crisis? Did these internal factors influence the profitability of Islamic Banking in the same manner as of the Conventional Banking? Need for the Study Significance of the Study Assumptions of the Study Limitations of the Study Although we cannot neglect the importance of the external factors on the profitability of Islamic Banking, they were not included in this study. To understand the reason behind this decision, we need to go through the different types of external factors and how they are classified: Macroeconomic Factors Country Regulation Rules Bank Regulation Rules These factors were not included for the following reasons: Since we are examining the performance of 92 banks (27 Islamic Banks and 65 Conventional Banks) in 6 countries, the number of countries used in the study is not significant enough to study the impact of GDP and inflation accurately on Bank profitability especially when examining each year separately Country Regulation Rules as per the IMF Database, although it differs slightly for the selected countries, did not change over the period from 2006 to 2009. This means that for each bank, these factors remained constant. Data about Bank Regulation Rules could not be obtained for GCC banks Delimitation of the Study This study was delaminated to the Islamic and Conventional Banks in the GCC whose data could be obtained in the Bankscope database. Chapter 2: Literature Review Overview of Islamic Banking Islamic Baking has established as an alternative to conventional interest-based banking. The first stirring of the Islamic Banking movement began in 1963 by Dr. Ahmed Alnajar in a small town in Egypt, called Mit Ghamar. Dr. Alnajar completed his education in Germany and found that it had many saving banks operating on interest. He took the idea from a savings bank in Germany and created his own small Islamic bank that was interest free. After Dr. Alnajarà ¢Ã¢â€š ¬Ã¢â€ž ¢s small bank proved successful, the establishment of other Islamic banks followed. In 1971, the Nasser Social Bank was founded in Egypt with the objective of lending out money as a charity on the basis of a profit and loss sharing system and helping people in need. And in 1975, the idea of Islamic banking spread to other Islamic regions such Dubai Islamic bank in United Arab Emirates and The Islamic Development (IDB) Bank in Jeddah, Saudi Arabia (Wilson, 1990). Even though Islamic Banking has only been around for thirty years and is still in an evolving stage, Islamic Banking is the fastest growing segment of the credit markets in the Muslim countries. In 2009, Assets held by Islamic Banking banks rose by 28.6 percent to $822bn from $639bn in 2008, according to The Bankerà ¢Ã¢â€š ¬Ã¢â€ž ¢s à ¢Ã¢â€š ¬Ã…“Top 500 Islamic Financial Institutionsà ¢Ã¢â€š ¬? survey while conventional banks posted annual asset growth of just 6.8 percent. Furthermore, GCC states accounted for $353.2bn or 42.9 percent of the global aggregate, while Iran remained the largest single market for Shariah-compliant assets, accounting for 35.6 percent of the total. Source: Asian Banker Research, 2009 Finally, Islamic banking operations are not limited to Islamic countries but are spreading throughout the world. One reason is the growing trend toward transcending national boundaries, and unifying Muslims into a political and economic entity that could have a significant impact on the pattern of world trade (Abdel-Magid, 1981). Islamic Banking Rules and Principles Islamic banking rules are according to the Islamic Shariah derived from the Quran and prophet Mohamedà ¢Ã¢â€š ¬Ã¢â€ž ¢s sayings. The three main practices that are clearly prohibited in the Quran and the prophetà ¢Ã¢â€š ¬Ã¢â€ž ¢s sayings are, Riba (Interest), Gharar (Uncertainty), and Maysir (Betting). Prohibition of Riba or any predetermined or fixed rate in financial institutions is the most important factor in the Islamic principles pertaining to banking. As stated in the Quran à ¢Ã¢â€š ¬Ã…“Allah forbids ribaà ¢Ã¢â€š ¬?. Riba means an increase and under Shariah the term refers to the premium that must be paid by the borrower to the lender along with the principle amount as a condition for the loan (Omar and Abdel, 1996). Gharar occurs when the purchaser does not know what has been bought and the seller does not know what has been sold. In other words, trading should be clear by stating in a contract the existing actual object(s) to be sold, with a price and time to eliminate confusion and uncertainty between the buyers and the sellers. Maisir is considered in Islam as one form of injustice in the appropriation of othersà ¢Ã¢â€š ¬Ã¢â€ž ¢ wealth. The act of gambling, sometimes referred to betting on the occurrence of a future event, is prohibited and no reward accrues for the employment of spending of wealth that an individual may gain through means of gambling. Under this prohibition, any contract entered into, should be free from uncertainty, risk and speculation. Contracting parties should have perfect knowledge of the counter values intended to be exchanged as a result of their transactions. Therefore, and according to Ahmed and Hassan (2007), the principles of Islamic banking and finance enshrined from al-Qurà ¢Ã¢â€š ¬Ã¢â€ž ¢an and Prophet Mohamedà ¢Ã¢â€š ¬Ã‹Å"s Sayings can be summed up as follows: Any predetermined payment over and above the actual amount of principal is prohibited. The lender must share in the profits or losses arising out of the enterprise for which the money was lent. Making money from money is not acceptable in Islam. Gharar (deception) and Maisir (gambling) are also prohibited. Investments should only support practices or products that are not forbidden or even discouraged by Islam. Islamic Banking Products Islamic Banking products have to be done according to Islamic rules and principles, based on profit and loss sharing as well as avoiding interest. According to BNM statistics 2007, Al Bai Bithaman Ajil financing is the most common in Islamic Banking. There are a lot of Islamic Banking products; however there are some famous Islamic products that will be discussed in this section. Al Bai Bithaman Ajil /BBA This involves the credit sale of goods on a deferred payment basis. In BAA, the Islamic bank will purchase certain assets on a deferred payment basis and then sell the goods back to the customer at an agreed price including some margin or profit. The customer will make payment by installments over an agreed period. A fixed rate BBA is a powerful hedging tool against interest rates (Rosly, 1999). Murabahah Murabahah is a contract of sale. The Islamic Bank acts as a middle man and purchases the goods requested by the customer. The bank will later sell the goods to the customer in a sale and purchase agreement, whereby the lender re-sales to the borrower at a higher price agreed on by both parties. These are more for short term financing Mudharabah According to Kettel (2006), Mudharabah is a basic principle of profit and loss, where instead of lending money at a fixed rate return, the banker forms a partnership with the borrower, thereby sharing in a ventureà ¢Ã¢â€š ¬Ã¢â€ž ¢s profit and loss. Mudharabah is an agreement between the lender and entrepreneur, whereby the lender agrees to finance the project on a profit sharing basis according to a predetermined ratio agreed by both parties concerned. If there are any losses the lender will bear all the losses. Musharakah Musharakah means partnership whereby the Islamic institution provides the capital needed by the customer with the understanding that they both share the profit and loss according to a formula agreed before the business transaction is transacted. In Musharakah all partners are entitled to participate in the management of the investment but it is not compulsory. Musharakah can help in providing financing for large investments in modern economic activities Al Ijarah Ijarah means meaning to give something on a rental basis. In Ijarah, the bank acquires ownership based on the promise and leases back to the client for a given period. The customer pays the rental but the ownership still remains with the bank or lender. As the ownership remains with the lessor (bank), it continues to give the service for which it was rented. Under this contract, the lessor has the right to re-negotiate the quantum of the lease payment at every agreed interval to ensure rental remains in line with the market rates (Hume, 2004). Wadiah Wadiah is a trust contract and the bank provides gift (hibah) and various types of benefits to the customer. This is exactly like a normal conventional savings account. Istisna Istisna allows one party buys the goods and the other party undertakes to manufacture them according to agreed specifications. Normally, Istisna is used to finance construction and manufacturing projects. Salam Salam is defined as the forward purchase of specified goods with full forward payment. This contract is normally used for financing agricultural production. According to Hassan (2004), Salam based future contracts for agricultural commodities, supported by Islamic Banks, can help to overcome the agricultural financial problems Table 2.1 lists the products of conventional banking and their correspondent products in Islamic Banking. Deposit Services Current Deposit Wadiah Wad Dhamana / Qard Hasan Savings Deposit Wadiah Wad Dhamana / Mudaraba General Investment deposit Mudaraba Special Investment deposit Mudaraba Retail / Consumer Banking Housing Property Finance BBA / Ijara wa Iktina /Diminishing Musharaka Hire Purchase Ijara Thumma Al-Bai Share Financing BBA / Mudaraba / Musharaka Working Capital Financing Murabahah/ Bai Al-Einah/ Tawarruq Credit Card Bai Al-Einah/ Tawarruq Charge Card Qard Hasan Corporate Banking/ Trade Finance Project Financing Mudaraba / Musharaka / BBA / Istisna / Ijara Letter of Credit Musharaka/ Wakala/ Murabaha Venture Capital Diminishing Mudaraba/ Musharaka Financing Syndication Musharaka + Murabaha/ Istisna / Ijara Revolving Financing Bai Al-Einah Short-term Cash Advance Bai Al-Einah/ Tawarruq Working Capital Finance Murabaha/ Salam/ Istijrar Letter of Credit Murabaha Letter of Guarantee Kafala + Ujr Leasing Ijara Export/ Import Finance Musharaka/ Salam/ Murabaha Work-in-Progress, Construction Finance Istisna Bill Discounting Bai al-Dayn Underwriting, Advisory Services Ujr Treasury / Money Market Investment Products Sell buy-back agreements Bai al-Einah Islamic Bonds Mudaraba / Mushraka + BBA / Istisna / Ijara Government Investment Issues Qard Hasan/ Salam/ Mudaraba Other Products Services Stock-Broking Services Murabaha/ Wakala/ Joala Funds Transfer (Domestic Foreign) Wakala/ Joala Safe-Keeping Collection (Negotiable Instruments) Wakala/ Joala Factoring Wakala/ Joala/ Bai al-Dayn Administration of Property, Estates and Wills Wakala Hiring of Strong Boxes Amana/ Wakala Demand Draft, Travellerà ¢Ã¢â€š ¬Ã¢â€ž ¢s Cheques Ujr/ Joala ATM Service, Standing Instruction, Telebanking Ujr Source: Obaidullah, 2005 Financial Crisis and the Islamic Banking Previous Literature The study of bank profitability is an important tool to evaluate bank operation by examining the different factors affecting bank profitability and using these factors for management planning and strategic analysis. In the last four decades, many studies have been conducted to study both bank profitability and the determinants of bank profitability either for particular country or for a panel of countries. These studies normally divide these factors into internal factors and external factors. Internal factors represent the bank-specific characteristics such as bank size, liquidity structure; liabilitiesà ¢Ã¢â€š ¬Ã‚ ¦etc while external factors can be macroeconomic factors such as inflation and GDP growth or Country-specific regulations rules and practices. In the area of banking profitability, many studies have been conducted to investigate the profitability of conventional banks while only few were conducted in the field of Islamic banking. In this chapter, we will review these studies for conventional banking first and then will focus on studies in the Islamic banking field. Then we will cover the conceptual framework of this research. Conventional Banking Different studies have been conducted in the field of conventional banking profitability. Short (1979), Bourke (1989), Molyneux and Thornton (1992), Goddard, Molyneux, and Wilson (2004), Peters et al. (2004) are some of the researchers in the field. Short (1979) is one of the early scholars who studied the relationship between banking profit rates and concentration for sixty banks in Canada, Western Europe and Japan during the 1970à ¢Ã¢â€š ¬Ã¢â€ž ¢s and he included independent variables including government ownership and concentration by using H index to quantify concentration. Results showed that the government ownership impact on profitability varied throughout the countries studied but expressed an overall negative relationship. He also found evidence that indicated higher concentration rates lead to higher profit rates (Short, 1979). Bourke (1989) also compared concentration to bank profitability but included other determinants. Bourke (1989) covered ninety banks in Australia, Europe, and North America between 1972 and 198 and examined different internal and external factors: internal factors such as staff expenses, capital ratio, liquidity ratio, and loans to deposit ratio; external factors such as regulation, size of economies of scale, competition, concentration, growth in market, interest rate, government ownership, and market power. His results show that increase in government ownership leads to lower profitability in banking. He also found that concentration, interest rates, and money supply are positively related to profitability along with capital and reserves of total assets as well as cash and bank deposits of total assets. Bourke adds that well capitalized banks enjoy cheaper access to sources of funds as they are less risky than less capitalized banks (Bourke, 1989). Later, Molyneux and Thornton (1992) studied the determinants of European banks profitability. The paper examined eighteen counties in Europe between 1986 and 1989. This paper replicated Bourkeà ¢Ã¢â€š ¬Ã¢â€ž ¢s (1989) work by using internal and external determinants of bank profitability. However, Molyneux and Thornton (1992) results showed that government ownership expresses a positive coefficient with return on capital (profitability) which contradicts with Bourkeà ¢Ã¢â€š ¬Ã¢â€ž ¢s findings. Other results were similar to Bourkeà ¢Ã¢â€š ¬Ã¢â€ž ¢s, showing that concentration, interest rate, and money supply were positively related to bank profitability (Molyneux and Thornton, 1992). In one of the recent papers on bank profitability on European banks, Goddard, Molyneux, and Wilson (2004) shows similar findings to the paper by Molyneux and Thornton (1992). It investigates the determinants of profitability in six European countries and it covered 665 banks between 1992 and 1998. The study used cross-sectional and dynamic panel models. The variables used in the regression analysis were ROE, the logarithmic of total assets, Off Balance Sheet (OBS) dividends, Capital to Asset Ratio (CAR). The results from both models were similar: evidence reveals that there is a positive relationship between size (total assets) and profitability. Meanwhile, OBS appears to have a positive relationship with profitability for UK but neutral or negative for other European countries. Moreover, results also state that CAR has a positive relationship with profitability. Furthermore, the paper touched on ownership type by indicating that there is high competition in banking due to the fact t hat there is foreign bank involvement in domestic banks, and that profitability is not linked to ownership (Goddard, Molyneux, and Wilson, 2004). Peters et al. (2004) studied the characteristics of banks in post-war Lebanon for the years 1993 to 2000 and compared the results to a group of banks from five other countries in the Middle East including UAE, KSA, Kuwait, Bahrain and Oman for the years 1995 through 1999. They used Return on Equity (ROE) measure profitability and leverage and they employed regression models that relate bank profitability ratios to various explanatory variables. This study tests the relationships between bank profitability and size, asset portfolio composition, off-balance sheet items, ownership by a foreign bank, and the ratio of employment to assets. The results show a strong association between economic growth and bank profitability, whether measured by ROE or ROA. They found that Lebanese banks are profitable, but not as profitable as a control group of banks from five other countries located in the Middle East. Islamic Banking In the area of Islamic Banking, Bashir (2000) assessed the performance of Islamic banks in eight Middle Eastern countries. He analyzed important bank characteristics that affect the performance of Islamic banks by controlling economic and financial structure measures. The paper studied fourteen Islamic banks from Bahrain, Egypt, Jordan, Kuwait, Qatar, Sudan, Turkey, and United Arab Emirates between 1993 and 1998. To examining profitability, the paper used Non Interest Margin (NIM), Before Tax Profit (BTP), Return on Assets (ROA), and Return on Equity (ROE) as performance indicators. There were also internal and external variables: internal variables were bank size, leverage, loans, short-term funding, overhead, and ownership; external variables included macroeconomic environment, regulation, and financial market. In general, results from the study confirm previous findings and show that Islamic banks profitability is positively related to equity and loans. Consequently, if loans and equity are high, Islamic banks should be more profitable. If leverage is high and loan to assets is also large, Islamic banks will be more profitable. The results also indicate that favorable macro-economic conditions help profitability (Bashir, 2000). Hassoune (2002) examined Islamic bank profitability in an interest rate cycle. In his paper, compared ROE and ROA Volatility for both Islamic and conventional banks in three GCC region, Kuwait, Saudi Arabia, and Qatar. He states that since Islamic banking is based on profit and loss sharing, managements have to generate sufficient returns for investors given that they are not willing accept no returns (Hassoune, 2002). Bashir and Hassan (2004) studied the determinants of Islamic banking profitability covers 43 Islamic Banks between 1994 and 2001 in 21 countries. Their figures show Islamic banks to have a better capital asset ratio compared to commercial banks which means that Islamic banks are well capitalized. Also, their paper used internal and external banks characteristics to determine profitability as well as economic measures, financial structure variables, and country variables. They used, Net-non Interest Margin (NIM), which is non interest income to the bank such as, bank fees, service charges and foreign exchange to identify profitability. Other profitability indicators adopted were Before Tax Profit divided by total assets (BTP/TA), Return on Assets (ROA), and Return on Equity (ROE). Results obtained by Bashir and Hassan (2004), were similar to the Bashir (2000) results, which found a positive relationship between capital and profitability but a negative relationship between loans and profitability. Bashir and Hassan also found total assets to have a negative relationship with profitability which amazingly means that smaller banks are more profitable. In addition, during an economic boom, banks profitability seems to improve because there are fewer nonperforming loans. Inflation, on the other hand, does not have any effect on Islamic bank profitability. Finally, results also indicate that overhead expenses for Islamic banks have a positive relation with profitability which means if expenses increase, profitability also increases (Bashir and Hassan, 2004). Alkassim (2005) examined the determinants of profitability in the banking sector of the GCC countries and found that asset have a negative impact on profitability of conventional banks but have a positive impact on profitability of Islamic banks. They also observed that positive impact on profitability for conventional but have a negative impact for Islamic banking. Liu and Hung (2006) examined the relationship between service quality and long-term profitability of Taiwanà ¢Ã¢â€š ¬Ã¢â€ž ¢s banks and found a positive link between branch number and long-term profitability and also proved that average salaries are detrimental to banksà ¢Ã¢â€š ¬Ã¢â€ž ¢ profit. Masood, Aktan and Chaudhary (2009) studied the co-integration and causal relationship between Return on Equity and Return on Assets for 12 banks in KSA for the period between 1999- 2007. For their research, the used time series model of ADF unit-root test, Johansen co-integration test, Granger causality test and graphical comparison model. They found that there are stable long run relationships between the two variables and that it is only a one-direction cause-effect relationship between ROE and ROA. The results show that ROE is a granger cause to ROA but ROA is not a granger cause to ROE that is ROE can affect ROA input but ROA does not affect the ROE in the Saudi Arabian Banking sector. Conceptual Framework Theoretical framework is a basic conceptual structure organized around a theory. It defines the kinds of variables that are going to be used in the analysis. In this research, the theoretical framework consists of seven independent variables that represent four aspects of the Bank Characteristics. Theses aspects are the Bank Size (Total Assets), Capital Structure (Equity and Tangible Equity), Liquidity (Loans and Liquid Assets) and Liabilities (Deposits and Overheads). Bank profitability is the dependent variable and two measures of bank profitability are used in this study, namely return on average equity (ROAE) and return on average assets (ROAA). Financial Crisis Internal Factors (Bank-Specific) Islamic Banking Profitability H1: Bank Size H2, H3: Capital Structure H4, H5: Liquidities H6, H7: Liabilities Return on Average Assets (ROAA) Return on Average Equity (ROAE) In this section we develop the hypothesis to be examined in this research paper. Development of Hypotheses This paper attempts to test seven hypotheses. A hypothesis is a claim or assumption about the value of a population parameter. It consists either of a suggested explanation for a phenomenon or of a reasoned proposal suggesting a possible correlation between multiple phenomena. According to Becker (1995), hypothesis testing is the process of judging which of two contradictory statements is correct. Hypothesis 1: Profitability has a positive and significant relationship with the total assets (ASSETS). Total Assets of a company represents its valuables including both tangible assets such as equipments and properties along with its intangible assets such as goodwill and patent. For banks, total assets include loans which are the basis for bank operations either through interest or interest-free practices. Total assets is used as a tool to measure the bank size; banks with higher total assets indicate bigger banks. Molyneux and el (2004) included total assets in their study and found a positive significant relationship between total assets and profitability. Therefore, total assets are expected to have positive relation with profitability which means that bigger banks are expected to be more profitable. Total assets are converted logarithmic to be more consistent with the other ratios Hypothesis 2: Profitability has a positive and significant relationship with equity to asset ratio (EQUITY). Total equity over total assets measures bankà ¢Ã¢â€š ¬Ã¢â€ž ¢s capital structure and adequate. It indicated bank ability to withstand losses and handle risk exposure with shareholders. Hassan and Bashir (2004) examined the relationship between EQUITY and bank profitability and found positive relationship. Therefore, EQUITY is included in this study and it is expected to have a positive relation with performance because well capitalized banks are less risky and more profitable (Bourke, 1989) Hypothesis 3: Profitability has a positive and significant relationship with Tangible Equity to total liabilities ratio (TNGEQTY). Tangible Equity represents the subset of shareholderà ¢Ã¢â€š ¬Ã¢â€ž ¢s equity that is not common shares and not intangible asset. Tangible Equity became very popular after the financial crisis as a measure of bank viability since it indicates of how much ownership equity owners of common stock would receive in the event of a companyà ¢Ã¢â€š ¬Ã¢â€ž ¢s liquidation. Beltratti and Stulz (2009) examined tangible equity to liabilities in their study to examine why some banks perform better during the financial crisis and found positive and insignificant relationship between TNEQTY and bank profitability. Therefore, TNEQTY is included in this study and it is expected to have positive relationship since banks with better capital structure in since of more equity à ¢Ã¢â€š ¬Ã¢â‚¬Å" seems to perform better. Hypothesis 4: Profitability has a positive and significant relationship with the loans to assets ratio (LOANS). Total loans over total assets a liquidity ratio used that indicates how much of bank assets are tied to loans. For banks, the higher LOANS ratio means less liquidity. Demirguc-Kunt and Huizinga, (1997) found positive relationship between LOANS and bank profitability. LOANS is included in this study and anticipated to have positive relationship with profitability. Furthermore, conventional banks rely on interest-based loans while Islamic banks rely on profit and loss sharing interest-free lending. Therefore, this ratio is also used to compare the performance of interest-based loans and interest-free lending. Hypothesis 5: Profitability has a positive and significant relationship with the liquid assets to total assets ratio (LIQUID). Liquid assets include currency, deposit accounts, and negotiable instruments that can be converted easily into cash. Liquid assets to total assets ratio is a liquidity ratio that measure how easily the banksà ¢Ã¢â€š ¬Ã¢â€ž ¢ assets can be converted into cash. Beltratti and Stulz (2009) found that LIQUID has positive and significant relation with profitability as banks with more liquid assets tend to perform better. Therefore, LIQUID is included in this study and expected to have positive relationship with profitability. Hypothesis 6: Profitability has a reverse and significant relationship with the deposits to assets ratio (DEPOSITS). Deposits to total ratio is another liquidity indicator but is considered a liability since they measure the impact of liabilities on profitability. Bashir and Hassan (2004) examined deposits in their study and found a negative relationship with profitability. Therefore, we expect that DEPOSITS to have negative relationship with profitability. Hypothesis 7: Profitability has a positive and significant relationship with the overhead to assets ratio (OVERHEAD). Overhead costs represent all bank expenses excluding interest expenses as they are considered as operations expenses. Overhead over total assets is a liability ratio that measures the operation efficiency of the bank. Alkassim (2005) included OVERHEAD in his research and found positive relationship to profitability. Therefore, OVERHEAD is included in this study and expected to have positive relationship to profitability. Chapter 3: Methods Data Sample From 2006 to 2008 2009 Country Islamic Banks Conventional Banks Islamic Banks Conventional Banks Bahrain 12 14 5 5 Saudi Arabia 2 9 1 7 Qatar 3 5 2 4 Kuwait 4 14 1 3 Oman 0 6 0 3 UAE 6 17 0 7 Total 27 65 9 29 The data used in this analysis were extracted from Bankscope data for all Islamic and Conventional Banks in the GCC for the period from 2006 to 2009. Using Bankscope has many advantages: it has information for over 30,000 banks, plus the accounting information is presented in a standardized format. Therefore, the accounting information of Islamic Banking is adjusted to be comparable with accounting information of conventional banks. The data used for this study are from a pooled time-series cross-sectional data. The data are taken from various countries. Sample period for this study is from 2002 to 2007. Cross-sectional data provide information on variables for a given period of time. While time series data give information about variables over a number of periods of time. The data for internal variables are obtained from BankScope database which is compiled by International Bank Credit Analysis Limited (IBCA). Using BankScope has two advantages. Firstly, it has information for 11,000 banks, accounting for about 90% of total assets in each country. Secondly, the accounting information at the bank level is presented in standardized formats, after adjustments for differences in accounting and reporting standards. The data for external variables are obtained from World Economic Outlook 2008 database, published by International Monetary Fund (IMF). A total of 60 Islamic banks from 18 countries were chosen in this study. The selected banks are those which are classified as Islamic bank in BankScope database. The Islamic banks have available data for at least one year between 2002 and 2007. This yielded an unbalanced panel data consisting of 260 observations. However, after eliminating cases with missing data, only 155 observations of balanced panel data are left. Variable Definition Independent Variable: Profitability Measures There are many ratios that have been used by researchers to measure bank profitability but the two most often used ratios are the return on assets (ROA) and the return on equity (ROE) (Iqbal et al., 2005). Return on Assets Impact of Internal Factors on Islamic Banking Impact of Internal Factors on Islamic Banking Introduction to the Subject Background of the Subject General Objective The purpose of this study is to examine how the internal factors of the Islamic Banking affected their performance before, during and after the financial crisis in the GCC in comparison to the conventional banking in the same area. Research Questions This study aims to answer the following questions: How did the financial crisis affect the profitability of Islamic Banks in comparison to Conventional Banks? What are the internal factors (bank specific characteristics) that influence the profitability of Islamic banking for every year from 2006 à ¢Ã¢â€š ¬Ã¢â‚¬Å" 2009? Did these factors have the same impact on the profitability of Islamic Banking before, during and after the financial crisis? Did these internal factors influence the profitability of Islamic Banking in the same manner as of the Conventional Banking? Need for the Study Significance of the Study Assumptions of the Study Limitations of the Study Although we cannot neglect the importance of the external factors on the profitability of Islamic Banking, they were not included in this study. To understand the reason behind this decision, we need to go through the different types of external factors and how they are classified: Macroeconomic Factors Country Regulation Rules Bank Regulation Rules These factors were not included for the following reasons: Since we are examining the performance of 92 banks (27 Islamic Banks and 65 Conventional Banks) in 6 countries, the number of countries used in the study is not significant enough to study the impact of GDP and inflation accurately on Bank profitability especially when examining each year separately Country Regulation Rules as per the IMF Database, although it differs slightly for the selected countries, did not change over the period from 2006 to 2009. This means that for each bank, these factors remained constant. Data about Bank Regulation Rules could not be obtained for GCC banks Delimitation of the Study This study was delaminated to the Islamic and Conventional Banks in the GCC whose data could be obtained in the Bankscope database. Chapter 2: Literature Review Overview of Islamic Banking Islamic Baking has established as an alternative to conventional interest-based banking. The first stirring of the Islamic Banking movement began in 1963 by Dr. Ahmed Alnajar in a small town in Egypt, called Mit Ghamar. Dr. Alnajar completed his education in Germany and found that it had many saving banks operating on interest. He took the idea from a savings bank in Germany and created his own small Islamic bank that was interest free. After Dr. Alnajarà ¢Ã¢â€š ¬Ã¢â€ž ¢s small bank proved successful, the establishment of other Islamic banks followed. In 1971, the Nasser Social Bank was founded in Egypt with the objective of lending out money as a charity on the basis of a profit and loss sharing system and helping people in need. And in 1975, the idea of Islamic banking spread to other Islamic regions such Dubai Islamic bank in United Arab Emirates and The Islamic Development (IDB) Bank in Jeddah, Saudi Arabia (Wilson, 1990). Even though Islamic Banking has only been around for thirty years and is still in an evolving stage, Islamic Banking is the fastest growing segment of the credit markets in the Muslim countries. In 2009, Assets held by Islamic Banking banks rose by 28.6 percent to $822bn from $639bn in 2008, according to The Bankerà ¢Ã¢â€š ¬Ã¢â€ž ¢s à ¢Ã¢â€š ¬Ã…“Top 500 Islamic Financial Institutionsà ¢Ã¢â€š ¬? survey while conventional banks posted annual asset growth of just 6.8 percent. Furthermore, GCC states accounted for $353.2bn or 42.9 percent of the global aggregate, while Iran remained the largest single market for Shariah-compliant assets, accounting for 35.6 percent of the total. Source: Asian Banker Research, 2009 Finally, Islamic banking operations are not limited to Islamic countries but are spreading throughout the world. One reason is the growing trend toward transcending national boundaries, and unifying Muslims into a political and economic entity that could have a significant impact on the pattern of world trade (Abdel-Magid, 1981). Islamic Banking Rules and Principles Islamic banking rules are according to the Islamic Shariah derived from the Quran and prophet Mohamedà ¢Ã¢â€š ¬Ã¢â€ž ¢s sayings. The three main practices that are clearly prohibited in the Quran and the prophetà ¢Ã¢â€š ¬Ã¢â€ž ¢s sayings are, Riba (Interest), Gharar (Uncertainty), and Maysir (Betting). Prohibition of Riba or any predetermined or fixed rate in financial institutions is the most important factor in the Islamic principles pertaining to banking. As stated in the Quran à ¢Ã¢â€š ¬Ã…“Allah forbids ribaà ¢Ã¢â€š ¬?. Riba means an increase and under Shariah the term refers to the premium that must be paid by the borrower to the lender along with the principle amount as a condition for the loan (Omar and Abdel, 1996). Gharar occurs when the purchaser does not know what has been bought and the seller does not know what has been sold. In other words, trading should be clear by stating in a contract the existing actual object(s) to be sold, with a price and time to eliminate confusion and uncertainty between the buyers and the sellers. Maisir is considered in Islam as one form of injustice in the appropriation of othersà ¢Ã¢â€š ¬Ã¢â€ž ¢ wealth. The act of gambling, sometimes referred to betting on the occurrence of a future event, is prohibited and no reward accrues for the employment of spending of wealth that an individual may gain through means of gambling. Under this prohibition, any contract entered into, should be free from uncertainty, risk and speculation. Contracting parties should have perfect knowledge of the counter values intended to be exchanged as a result of their transactions. Therefore, and according to Ahmed and Hassan (2007), the principles of Islamic banking and finance enshrined from al-Qurà ¢Ã¢â€š ¬Ã¢â€ž ¢an and Prophet Mohamedà ¢Ã¢â€š ¬Ã‹Å"s Sayings can be summed up as follows: Any predetermined payment over and above the actual amount of principal is prohibited. The lender must share in the profits or losses arising out of the enterprise for which the money was lent. Making money from money is not acceptable in Islam. Gharar (deception) and Maisir (gambling) are also prohibited. Investments should only support practices or products that are not forbidden or even discouraged by Islam. Islamic Banking Products Islamic Banking products have to be done according to Islamic rules and principles, based on profit and loss sharing as well as avoiding interest. According to BNM statistics 2007, Al Bai Bithaman Ajil financing is the most common in Islamic Banking. There are a lot of Islamic Banking products; however there are some famous Islamic products that will be discussed in this section. Al Bai Bithaman Ajil /BBA This involves the credit sale of goods on a deferred payment basis. In BAA, the Islamic bank will purchase certain assets on a deferred payment basis and then sell the goods back to the customer at an agreed price including some margin or profit. The customer will make payment by installments over an agreed period. A fixed rate BBA is a powerful hedging tool against interest rates (Rosly, 1999). Murabahah Murabahah is a contract of sale. The Islamic Bank acts as a middle man and purchases the goods requested by the customer. The bank will later sell the goods to the customer in a sale and purchase agreement, whereby the lender re-sales to the borrower at a higher price agreed on by both parties. These are more for short term financing Mudharabah According to Kettel (2006), Mudharabah is a basic principle of profit and loss, where instead of lending money at a fixed rate return, the banker forms a partnership with the borrower, thereby sharing in a ventureà ¢Ã¢â€š ¬Ã¢â€ž ¢s profit and loss. Mudharabah is an agreement between the lender and entrepreneur, whereby the lender agrees to finance the project on a profit sharing basis according to a predetermined ratio agreed by both parties concerned. If there are any losses the lender will bear all the losses. Musharakah Musharakah means partnership whereby the Islamic institution provides the capital needed by the customer with the understanding that they both share the profit and loss according to a formula agreed before the business transaction is transacted. In Musharakah all partners are entitled to participate in the management of the investment but it is not compulsory. Musharakah can help in providing financing for large investments in modern economic activities Al Ijarah Ijarah means meaning to give something on a rental basis. In Ijarah, the bank acquires ownership based on the promise and leases back to the client for a given period. The customer pays the rental but the ownership still remains with the bank or lender. As the ownership remains with the lessor (bank), it continues to give the service for which it was rented. Under this contract, the lessor has the right to re-negotiate the quantum of the lease payment at every agreed interval to ensure rental remains in line with the market rates (Hume, 2004). Wadiah Wadiah is a trust contract and the bank provides gift (hibah) and various types of benefits to the customer. This is exactly like a normal conventional savings account. Istisna Istisna allows one party buys the goods and the other party undertakes to manufacture them according to agreed specifications. Normally, Istisna is used to finance construction and manufacturing projects. Salam Salam is defined as the forward purchase of specified goods with full forward payment. This contract is normally used for financing agricultural production. According to Hassan (2004), Salam based future contracts for agricultural commodities, supported by Islamic Banks, can help to overcome the agricultural financial problems Table 2.1 lists the products of conventional banking and their correspondent products in Islamic Banking. Deposit Services Current Deposit Wadiah Wad Dhamana / Qard Hasan Savings Deposit Wadiah Wad Dhamana / Mudaraba General Investment deposit Mudaraba Special Investment deposit Mudaraba Retail / Consumer Banking Housing Property Finance BBA / Ijara wa Iktina /Diminishing Musharaka Hire Purchase Ijara Thumma Al-Bai Share Financing BBA / Mudaraba / Musharaka Working Capital Financing Murabahah/ Bai Al-Einah/ Tawarruq Credit Card Bai Al-Einah/ Tawarruq Charge Card Qard Hasan Corporate Banking/ Trade Finance Project Financing Mudaraba / Musharaka / BBA / Istisna / Ijara Letter of Credit Musharaka/ Wakala/ Murabaha Venture Capital Diminishing Mudaraba/ Musharaka Financing Syndication Musharaka + Murabaha/ Istisna / Ijara Revolving Financing Bai Al-Einah Short-term Cash Advance Bai Al-Einah/ Tawarruq Working Capital Finance Murabaha/ Salam/ Istijrar Letter of Credit Murabaha Letter of Guarantee Kafala + Ujr Leasing Ijara Export/ Import Finance Musharaka/ Salam/ Murabaha Work-in-Progress, Construction Finance Istisna Bill Discounting Bai al-Dayn Underwriting, Advisory Services Ujr Treasury / Money Market Investment Products Sell buy-back agreements Bai al-Einah Islamic Bonds Mudaraba / Mushraka + BBA / Istisna / Ijara Government Investment Issues Qard Hasan/ Salam/ Mudaraba Other Products Services Stock-Broking Services Murabaha/ Wakala/ Joala Funds Transfer (Domestic Foreign) Wakala/ Joala Safe-Keeping Collection (Negotiable Instruments) Wakala/ Joala Factoring Wakala/ Joala/ Bai al-Dayn Administration of Property, Estates and Wills Wakala Hiring of Strong Boxes Amana/ Wakala Demand Draft, Travellerà ¢Ã¢â€š ¬Ã¢â€ž ¢s Cheques Ujr/ Joala ATM Service, Standing Instruction, Telebanking Ujr Source: Obaidullah, 2005 Financial Crisis and the Islamic Banking Previous Literature The study of bank profitability is an important tool to evaluate bank operation by examining the different factors affecting bank profitability and using these factors for management planning and strategic analysis. In the last four decades, many studies have been conducted to study both bank profitability and the determinants of bank profitability either for particular country or for a panel of countries. These studies normally divide these factors into internal factors and external factors. Internal factors represent the bank-specific characteristics such as bank size, liquidity structure; liabilitiesà ¢Ã¢â€š ¬Ã‚ ¦etc while external factors can be macroeconomic factors such as inflation and GDP growth or Country-specific regulations rules and practices. In the area of banking profitability, many studies have been conducted to investigate the profitability of conventional banks while only few were conducted in the field of Islamic banking. In this chapter, we will review these studies for conventional banking first and then will focus on studies in the Islamic banking field. Then we will cover the conceptual framework of this research. Conventional Banking Different studies have been conducted in the field of conventional banking profitability. Short (1979), Bourke (1989), Molyneux and Thornton (1992), Goddard, Molyneux, and Wilson (2004), Peters et al. (2004) are some of the researchers in the field. Short (1979) is one of the early scholars who studied the relationship between banking profit rates and concentration for sixty banks in Canada, Western Europe and Japan during the 1970à ¢Ã¢â€š ¬Ã¢â€ž ¢s and he included independent variables including government ownership and concentration by using H index to quantify concentration. Results showed that the government ownership impact on profitability varied throughout the countries studied but expressed an overall negative relationship. He also found evidence that indicated higher concentration rates lead to higher profit rates (Short, 1979). Bourke (1989) also compared concentration to bank profitability but included other determinants. Bourke (1989) covered ninety banks in Australia, Europe, and North America between 1972 and 198 and examined different internal and external factors: internal factors such as staff expenses, capital ratio, liquidity ratio, and loans to deposit ratio; external factors such as regulation, size of economies of scale, competition, concentration, growth in market, interest rate, government ownership, and market power. His results show that increase in government ownership leads to lower profitability in banking. He also found that concentration, interest rates, and money supply are positively related to profitability along with capital and reserves of total assets as well as cash and bank deposits of total assets. Bourke adds that well capitalized banks enjoy cheaper access to sources of funds as they are less risky than less capitalized banks (Bourke, 1989). Later, Molyneux and Thornton (1992) studied the determinants of European banks profitability. The paper examined eighteen counties in Europe between 1986 and 1989. This paper replicated Bourkeà ¢Ã¢â€š ¬Ã¢â€ž ¢s (1989) work by using internal and external determinants of bank profitability. However, Molyneux and Thornton (1992) results showed that government ownership expresses a positive coefficient with return on capital (profitability) which contradicts with Bourkeà ¢Ã¢â€š ¬Ã¢â€ž ¢s findings. Other results were similar to Bourkeà ¢Ã¢â€š ¬Ã¢â€ž ¢s, showing that concentration, interest rate, and money supply were positively related to bank profitability (Molyneux and Thornton, 1992). In one of the recent papers on bank profitability on European banks, Goddard, Molyneux, and Wilson (2004) shows similar findings to the paper by Molyneux and Thornton (1992). It investigates the determinants of profitability in six European countries and it covered 665 banks between 1992 and 1998. The study used cross-sectional and dynamic panel models. The variables used in the regression analysis were ROE, the logarithmic of total assets, Off Balance Sheet (OBS) dividends, Capital to Asset Ratio (CAR). The results from both models were similar: evidence reveals that there is a positive relationship between size (total assets) and profitability. Meanwhile, OBS appears to have a positive relationship with profitability for UK but neutral or negative for other European countries. Moreover, results also state that CAR has a positive relationship with profitability. Furthermore, the paper touched on ownership type by indicating that there is high competition in banking due to the fact t hat there is foreign bank involvement in domestic banks, and that profitability is not linked to ownership (Goddard, Molyneux, and Wilson, 2004). Peters et al. (2004) studied the characteristics of banks in post-war Lebanon for the years 1993 to 2000 and compared the results to a group of banks from five other countries in the Middle East including UAE, KSA, Kuwait, Bahrain and Oman for the years 1995 through 1999. They used Return on Equity (ROE) measure profitability and leverage and they employed regression models that relate bank profitability ratios to various explanatory variables. This study tests the relationships between bank profitability and size, asset portfolio composition, off-balance sheet items, ownership by a foreign bank, and the ratio of employment to assets. The results show a strong association between economic growth and bank profitability, whether measured by ROE or ROA. They found that Lebanese banks are profitable, but not as profitable as a control group of banks from five other countries located in the Middle East. Islamic Banking In the area of Islamic Banking, Bashir (2000) assessed the performance of Islamic banks in eight Middle Eastern countries. He analyzed important bank characteristics that affect the performance of Islamic banks by controlling economic and financial structure measures. The paper studied fourteen Islamic banks from Bahrain, Egypt, Jordan, Kuwait, Qatar, Sudan, Turkey, and United Arab Emirates between 1993 and 1998. To examining profitability, the paper used Non Interest Margin (NIM), Before Tax Profit (BTP), Return on Assets (ROA), and Return on Equity (ROE) as performance indicators. There were also internal and external variables: internal variables were bank size, leverage, loans, short-term funding, overhead, and ownership; external variables included macroeconomic environment, regulation, and financial market. In general, results from the study confirm previous findings and show that Islamic banks profitability is positively related to equity and loans. Consequently, if loans and equity are high, Islamic banks should be more profitable. If leverage is high and loan to assets is also large, Islamic banks will be more profitable. The results also indicate that favorable macro-economic conditions help profitability (Bashir, 2000). Hassoune (2002) examined Islamic bank profitability in an interest rate cycle. In his paper, compared ROE and ROA Volatility for both Islamic and conventional banks in three GCC region, Kuwait, Saudi Arabia, and Qatar. He states that since Islamic banking is based on profit and loss sharing, managements have to generate sufficient returns for investors given that they are not willing accept no returns (Hassoune, 2002). Bashir and Hassan (2004) studied the determinants of Islamic banking profitability covers 43 Islamic Banks between 1994 and 2001 in 21 countries. Their figures show Islamic banks to have a better capital asset ratio compared to commercial banks which means that Islamic banks are well capitalized. Also, their paper used internal and external banks characteristics to determine profitability as well as economic measures, financial structure variables, and country variables. They used, Net-non Interest Margin (NIM), which is non interest income to the bank such as, bank fees, service charges and foreign exchange to identify profitability. Other profitability indicators adopted were Before Tax Profit divided by total assets (BTP/TA), Return on Assets (ROA), and Return on Equity (ROE). Results obtained by Bashir and Hassan (2004), were similar to the Bashir (2000) results, which found a positive relationship between capital and profitability but a negative relationship between loans and profitability. Bashir and Hassan also found total assets to have a negative relationship with profitability which amazingly means that smaller banks are more profitable. In addition, during an economic boom, banks profitability seems to improve because there are fewer nonperforming loans. Inflation, on the other hand, does not have any effect on Islamic bank profitability. Finally, results also indicate that overhead expenses for Islamic banks have a positive relation with profitability which means if expenses increase, profitability also increases (Bashir and Hassan, 2004). Alkassim (2005) examined the determinants of profitability in the banking sector of the GCC countries and found that asset have a negative impact on profitability of conventional banks but have a positive impact on profitability of Islamic banks. They also observed that positive impact on profitability for conventional but have a negative impact for Islamic banking. Liu and Hung (2006) examined the relationship between service quality and long-term profitability of Taiwanà ¢Ã¢â€š ¬Ã¢â€ž ¢s banks and found a positive link between branch number and long-term profitability and also proved that average salaries are detrimental to banksà ¢Ã¢â€š ¬Ã¢â€ž ¢ profit. Masood, Aktan and Chaudhary (2009) studied the co-integration and causal relationship between Return on Equity and Return on Assets for 12 banks in KSA for the period between 1999- 2007. For their research, the used time series model of ADF unit-root test, Johansen co-integration test, Granger causality test and graphical comparison model. They found that there are stable long run relationships between the two variables and that it is only a one-direction cause-effect relationship between ROE and ROA. The results show that ROE is a granger cause to ROA but ROA is not a granger cause to ROE that is ROE can affect ROA input but ROA does not affect the ROE in the Saudi Arabian Banking sector. Conceptual Framework Theoretical framework is a basic conceptual structure organized around a theory. It defines the kinds of variables that are going to be used in the analysis. In this research, the theoretical framework consists of seven independent variables that represent four aspects of the Bank Characteristics. Theses aspects are the Bank Size (Total Assets), Capital Structure (Equity and Tangible Equity), Liquidity (Loans and Liquid Assets) and Liabilities (Deposits and Overheads). Bank profitability is the dependent variable and two measures of bank profitability are used in this study, namely return on average equity (ROAE) and return on average assets (ROAA). Financial Crisis Internal Factors (Bank-Specific) Islamic Banking Profitability H1: Bank Size H2, H3: Capital Structure H4, H5: Liquidities H6, H7: Liabilities Return on Average Assets (ROAA) Return on Average Equity (ROAE) In this section we develop the hypothesis to be examined in this research paper. Development of Hypotheses This paper attempts to test seven hypotheses. A hypothesis is a claim or assumption about the value of a population parameter. It consists either of a suggested explanation for a phenomenon or of a reasoned proposal suggesting a possible correlation between multiple phenomena. According to Becker (1995), hypothesis testing is the process of judging which of two contradictory statements is correct. Hypothesis 1: Profitability has a positive and significant relationship with the total assets (ASSETS). Total Assets of a company represents its valuables including both tangible assets such as equipments and properties along with its intangible assets such as goodwill and patent. For banks, total assets include loans which are the basis for bank operations either through interest or interest-free practices. Total assets is used as a tool to measure the bank size; banks with higher total assets indicate bigger banks. Molyneux and el (2004) included total assets in their study and found a positive significant relationship between total assets and profitability. Therefore, total assets are expected to have positive relation with profitability which means that bigger banks are expected to be more profitable. Total assets are converted logarithmic to be more consistent with the other ratios Hypothesis 2: Profitability has a positive and significant relationship with equity to asset ratio (EQUITY). Total equity over total assets measures bankà ¢Ã¢â€š ¬Ã¢â€ž ¢s capital structure and adequate. It indicated bank ability to withstand losses and handle risk exposure with shareholders. Hassan and Bashir (2004) examined the relationship between EQUITY and bank profitability and found positive relationship. Therefore, EQUITY is included in this study and it is expected to have a positive relation with performance because well capitalized banks are less risky and more profitable (Bourke, 1989) Hypothesis 3: Profitability has a positive and significant relationship with Tangible Equity to total liabilities ratio (TNGEQTY). Tangible Equity represents the subset of shareholderà ¢Ã¢â€š ¬Ã¢â€ž ¢s equity that is not common shares and not intangible asset. Tangible Equity became very popular after the financial crisis as a measure of bank viability since it indicates of how much ownership equity owners of common stock would receive in the event of a companyà ¢Ã¢â€š ¬Ã¢â€ž ¢s liquidation. Beltratti and Stulz (2009) examined tangible equity to liabilities in their study to examine why some banks perform better during the financial crisis and found positive and insignificant relationship between TNEQTY and bank profitability. Therefore, TNEQTY is included in this study and it is expected to have positive relationship since banks with better capital structure in since of more equity à ¢Ã¢â€š ¬Ã¢â‚¬Å" seems to perform better. Hypothesis 4: Profitability has a positive and significant relationship with the loans to assets ratio (LOANS). Total loans over total assets a liquidity ratio used that indicates how much of bank assets are tied to loans. For banks, the higher LOANS ratio means less liquidity. Demirguc-Kunt and Huizinga, (1997) found positive relationship between LOANS and bank profitability. LOANS is included in this study and anticipated to have positive relationship with profitability. Furthermore, conventional banks rely on interest-based loans while Islamic banks rely on profit and loss sharing interest-free lending. Therefore, this ratio is also used to compare the performance of interest-based loans and interest-free lending. Hypothesis 5: Profitability has a positive and significant relationship with the liquid assets to total assets ratio (LIQUID). Liquid assets include currency, deposit accounts, and negotiable instruments that can be converted easily into cash. Liquid assets to total assets ratio is a liquidity ratio that measure how easily the banksà ¢Ã¢â€š ¬Ã¢â€ž ¢ assets can be converted into cash. Beltratti and Stulz (2009) found that LIQUID has positive and significant relation with profitability as banks with more liquid assets tend to perform better. Therefore, LIQUID is included in this study and expected to have positive relationship with profitability. Hypothesis 6: Profitability has a reverse and significant relationship with the deposits to assets ratio (DEPOSITS). Deposits to total ratio is another liquidity indicator but is considered a liability since they measure the impact of liabilities on profitability. Bashir and Hassan (2004) examined deposits in their study and found a negative relationship with profitability. Therefore, we expect that DEPOSITS to have negative relationship with profitability. Hypothesis 7: Profitability has a positive and significant relationship with the overhead to assets ratio (OVERHEAD). Overhead costs represent all bank expenses excluding interest expenses as they are considered as operations expenses. Overhead over total assets is a liability ratio that measures the operation efficiency of the bank. Alkassim (2005) included OVERHEAD in his research and found positive relationship to profitability. Therefore, OVERHEAD is included in this study and expected to have positive relationship to profitability. Chapter 3: Methods Data Sample From 2006 to 2008 2009 Country Islamic Banks Conventional Banks Islamic Banks Conventional Banks Bahrain 12 14 5 5 Saudi Arabia 2 9 1 7 Qatar 3 5 2 4 Kuwait 4 14 1 3 Oman 0 6 0 3 UAE 6 17 0 7 Total 27 65 9 29 The data used in this analysis were extracted from Bankscope data for all Islamic and Conventional Banks in the GCC for the period from 2006 to 2009. Using Bankscope has many advantages: it has information for over 30,000 banks, plus the accounting information is presented in a standardized format. Therefore, the accounting information of Islamic Banking is adjusted to be comparable with accounting information of conventional banks. The data used for this study are from a pooled time-series cross-sectional data. The data are taken from various countries. Sample period for this study is from 2002 to 2007. Cross-sectional data provide information on variables for a given period of time. While time series data give information about variables over a number of periods of time. The data for internal variables are obtained from BankScope database which is compiled by International Bank Credit Analysis Limited (IBCA). Using BankScope has two advantages. Firstly, it has information for 11,000 banks, accounting for about 90% of total assets in each country. Secondly, the accounting information at the bank level is presented in standardized formats, after adjustments for differences in accounting and reporting standards. The data for external variables are obtained from World Economic Outlook 2008 database, published by International Monetary Fund (IMF). A total of 60 Islamic banks from 18 countries were chosen in this study. The selected banks are those which are classified as Islamic bank in BankScope database. The Islamic banks have available data for at least one year between 2002 and 2007. This yielded an unbalanced panel data consisting of 260 observations. However, after eliminating cases with missing data, only 155 observations of balanced panel data are left. Variable Definition Independent Variable: Profitability Measures There are many ratios that have been used by researchers to measure bank profitability but the two most often used ratios are the return on assets (ROA) and the return on equity (ROE) (Iqbal et al., 2005). Return on Assets