In the process of production man‟s battle is with nature, while as in the process of distribution he is concerned with people with whom he establishes certain relationships. Unlike Marxism which establishes an inevitable relationship between the two operations sadr observes that in Islam, production and distribution are independent of one another. This segregation, is because, Islam regards social life with it different forms as an expression of human need,rather than the result of various forms of production (as believed by Marxism). Islam believes that it is the man who is the driving force of history. He has been created in such a way that he loves his own self and consequently exploits all things around him in order to obtain maximum pleasure and comfort.It is this nature of man which brings change and development in social relations in the society. That is why Islam has focused upon the fulfillment of all types of human needs. Sadr divides human needs into types; the basic socio-economic needs which remain constant despite the change in times and situations and the secondary needs which are the result of knowledge, discoveries of new resources and power of production. Islam provides due regard to both these types of human needs. Its social system has got two aspects; the permanent aspect, which cannot undergo any change whatever the 
conditions, would be. This is the stable side of Islamic social system. It includes the Islamic rules and regulations towards the basic needs of man, like the need for the guarantee of livelihood, the safety needs, needs related to the distribution of wealth and those related to marriage and divorce and others laid down in the holy Quran and the Sunnah of Prophet Muhammad (pbuh). In its second aspect which is dynamic it empowers the ruling authority (waliyy al amr) to decide in the light of the stable aspect, all that is best for its people in accordance with new times and circumstances. In this way it caters both the types of human needs. The basic needs as well as the secondary needs.
 Role of state in Islamic Economy: 
In Islamic economy the state according to Sadr performs two important functions; first, it provides social security to its people and second, it maintains social balance in the society.
 (a)Social Security: 
The state according to Sadr provides social security in two phases. In the first phase it provides different work opportunities to its people, so that they can earn their own livelihood. However, when an individual is unable to perform work or when the state fails to provide him any opportunity of work then there comes the second phase wherein the state makes ready availability of an adequate amount of money for him so that he can fulfill his basic needs. The social security states sadr has its basis on the two doctrinal principles of Islamic economics. One is the 
public reciprocal responsibility and the second is the societies right on the natural resources of the state.