Document Type : Research/Original/Regular

Authors

• Alireza Moini ¹
• Sayyede Ashraf Mousavi Loghman ²
• Ataollah Rafiei ³
• Mir Saman Pishvaee ⁴

¹ Faculty member of progress engineering department, Iran university of science & technology,Tehran,Iran

² Progress Engineering Department, Iran university of Sceince & technology, Tehran, Iran

³ Faculty member of progress engineering Department, Iran university of science &technology,Tehran, Iran

⁴ Industrial Engineering Department, Iran university of Science & technology, Teran, Iran.

Abstract

As an emerging science, family economy describes the family based on market exchanges. Its new explanation has caused the family to be governed by a rational order that destroys the individual and family relations. The criteria developed to measure the family economy are rooted in human capital and focus only on the material aspects of the family, while the family as a natural and fitrah-based institution is of a completely different nature from economic enterprises. Therefore, it is necessary to design scales based on Islamic principles and for the comprehensive growth of the family. The purpose of this study is to construct and validate a family economic questionnaire based on the theory of "Gradational family economics”. This theory provides a real and rational explanation of different families’ behavior in matters dealing, somehow, with a kind of economic motivation. It has presented its findings according to which families are fuzzily ranked, based on their degree of growth, into ten categories: enemy, irrational, natural, exploitative, collaborative, cooperative, fair, benevolent, sacrificing, and transcendent. This research has used the directed qualitative content analysis method to extract the family economy evaluation indicators, and conducted a survey on 387 households in Tehran. Results of the confirmatory factor analysis have shown that the data fit well with the factor structure and theoretical basis of the research, and the Cronbach’s alpha, structural reliability, discriminant validity and convergent validity criteria were confirmed as well. Thus, this questionnaire has the desired validity and reliability

Highlights

Extended Abstract

Background & Purpose

 Human capital has long been regarded as a critical component of economic growth, and as is well known, human investment begins with the family (Chiappori, 2020). However, the family as a natural institution is fundamentally distinct from economic enterprises (Rafiei Atani, 2017). The family is portrayed in such a way in the conventional family economics literature that its behavior appears unreal. Reliance on the market system alone provides no value criteria for limiting and prohibiting particular behaviors within the family, and this mechanism is fundamentally incompatible with the family's primary nature since its fundamental tenet is to prioritize material resources and maximize enjoyment and pleasure, rather than to encourage family members to act with altruism, sacrifice, and benevolence (Bayat, 2015, pp. 89 and 94). In Islam, the family is defined by kindness and mercy, emotional togetherness, and self-sacrifice for one another, rather than participation (Hekmatonia 2009). However, there are other interests that represent humanity in creation and nature besides selfishness and utilitarianism (Motahari, 2017).

Economists use the term "family economic well-being" to evaluate the development of the family economy. Economic well-being has typically been measured in the literature through income and, more recently, by variables such as expenditure and welfare (Xiao, 2013). Economics cannot be used to analyze family relationships. Rather than that, the family, as the school of human education, should direct its members' economic interactions. Thus, an evaluation framework is required that provides a realistic assessment of the current state of families by focusing on the family's holistic rationality rather than only the material calculating intellect. The purpose of this study is to develop a scale for assessing the economic model of various families using the Gradational family theory. Assuming variation, difference, and plurality in the lives of families, particularly in their economic lifestyles and knowing that it is not limited to material goals, this scale provides indicators for various levels of family rationality based on Islamic principles and teachings.

Method

 The directed qualitative content analysis method (Iman and Noshadi, 2011) was used to generate categories and subcategories that serve as indicators for measuring each family rank. The experts' perspectives on the degree of alignment of the measurement items with the study objectives were used to determine the content validity of the questionnaire. The questionnaire was distributed to sixteen families to determine the face validity, and items such as the difficulty of phrases and words, their degree of appropriateness, and the desired relationship between the questionnaire's dimensions and the ambiguities were analyzed. An independent t-test was utilized to establish discriminant validity and compare the scores of functional and dysfunctional families, which revealed a significant difference between the two groups.

The survey approach was utilized after developing the scale for measuring the household economic model. The population consists of all married couples who live in Tehran. The sample was selected using a random cluster sampling technique. A sample of 384 couples in Tehran was given the questionnaire. Additionally, confirmatory factor analysis was employed to fit the experimental results with the theoretical structure of the research. The partial least squares approach and PLS software were chosen because of the multilevel nature of the model and the multiplicity of indicators. The procedure is depicted in Figure 1 as follows:

1. The directed qualitative content analysis, gradational family economics theory
2. Extraction of indications associated with each family's gradational rank
3. Designing the items of the family economy development scale
4. Confirming face validity
5. Confirming content validity
6. A random cluster sampling of 387 couples living in Tehran
7. Confirmatory factor analysis
8. Evaluating factor loadings and other indices of validity and reliability of confirmatory factor analysis
9. Confirming the validity of the Family Economics Development Scale

Findings

Figures 1 and 2 show the multilevel confirmatory factor analysis model and confirmatory factor analysis in the form of adjusted standardized coefficients (eliminating questions with low factor loadings). The Standardized Root Mean Squared Residual (SRMR) was used to evaluate the confirmatory factor analysis model. This index must have a value of 0. 1 to be considered acceptable. The value of this index in this model is 0. 097, which is less than 0. 1, indicating that the model has a good fit and the research data fits with the research's factor structure and theoretical basis. Factor loadings were utilized to examine the scale's structure and identify the factors that make up each variable. This index's value should be more than 0. 05 and significant within a 95 percent confidence interval. The factor loadings on all indicators in the adjustment stage were larger than 0. 5, and the t-statistic value was greater than 1. 96. (significance level was less than. 05).

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fig 1. Modified confirmatory factor analysis model in standardized coefficient estimation mode

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fig 2. Modified model in the state of estimation of significant coefficients

For all research variables, the convergent validity index (Ryu, 2011) was greater than the permitted limit. Cronbach's alpha values for all research variables are greater than 0. 6, and the overall reliability is greater than 0. 7, indicating that the measurement tool is reliable. Additionally, the Fornell & Larker index and the model's divergent validity are validated.

Discussion and Conclusion

 According to a review of the family economics literature, existing theories downgrade the family's position from a natural institution to a market and economic entity. In conventional literature, all families have predetermined purposes, and their interests are reduced to material gain. As a result, evaluation indicators have been developed and refined in response to this issue. We have distinct levels of rationality that are not recognized by conventional family economics.

This research recognizes that in family life, considerations might extend beyond personal and family material concerns. At every level of existence, and depending on the reason for which it was created, the family has a unique system of rationality that explains its activities. Confirmatory factor analysis reveals a strong fit between families data and the intended factor structure and theory. All reliability, convergent, and divergent validity criteria have been confirmed as well. Additionally, a relevant scale has been developed to assess the microeconomic state and rank of the household economy. This scale measures various aspects of family economic rationality. Thus, it has derived a comprehensive scale from Islamic principles and teachings, taking into account the complexity, diversity, and economic differences in the arena of family life.

Ethical considerations

Compliance with research ethics: This study adhered to the ethical standards for human research, including maintaining confidentiality and obtaining informed consent.

Funding: The current study was carried out without the support of any organization or institution. This study is based on the author's Ph. D. dissertation, defended on 14 march 2021, at the Faculty of Management, Economics and Progress Engineering, Iran University of Science and Technology.

Authors' Contribution: Seyedeh Ashraf Mousavi Loghman was the primary author and writer of whole arcticle; Alireza Moeini served as the supervisor and accountable for the article. Ataullah Rafiei Atani and Mirsaman Pishvaei served as consulting professors in this research.

Conflict of interest: Seyedeh Ashraf Mousavi Loghman prepared the draft of article; Alireza Moeini served as the supervisor  and Ataullah Rafiei Atani and Mirsaman Pishvaei served as consulting professors in this research.

Acknowledgements:We would like to express our gratitude and appreciation to the respected instructors and advisers of Iran University of Science and Technology's Faculty of Management, Economics, and Progress Engineering.

References

 

Bayat, Ruhollah. (2015) Approaches based on ethics and social rights in the economic systems of capitalism and Islam. Scientific Quarterly of Islamic Economics and Banking, 10. 85-110. [link] (text in persian)

Chiappori, P. A. (2020). The theory and empirics of the marriage market. Annual Review of Economics, 12, 547-578. https://doi. org/10. 1146/annurev-economics-012320-121610 [link]

Hekmatunia, M. (2009). Philosophy of Family Law (Vol. II), Women's Socio-Cultural Council. (Text in Persian). [link]

Iman, M. T. & Noushadi, M. (2011). Qualitative content analysis, Research, 3(2), 15-44 (Text in Persian). [link]

Motahari, M. (1996), Education in Islam, Sadra Publications. (Text in Persian). [link]

Mousavi Loghman, S. A. (2021), Designing a Family Economic Model with Emphasis on the Role of Government in the Framework of Islamic Economics, Ph. D. Thesis, Faculty of Development Engineering, Iran University of Science and Technology, unpublished (Text in Persian).

Rafiei Atani, A. (2017). Reality and method of explaining human action in the framework of Islamic philosophy of fundamental theories in humanities. Aftab Tose'e (specialized publisher of Sadra Islamic Humanities Center) (Text in Persian).  

Xiao, J. J. (2013). Family economic well-being. In Handbook of Marriage and the Family (pp. 573-611). Springer, Boston, MA. [link]

Keywords

• Family Economy
• Gradational Family
• Advancement
• Islamic Economy

Main Subjects

• Woman and family