Freewill versus pre-destination

Question:
As we know, Allah, by virtue of His knowledge, Knows everything even before it happens.

Since He knew what every human being would do (even after being given the freewill), why did He setup the world to watch all this play. For His amusement?

The quranic explanation of creating human beings for worship doesn't really answer it. He had the angels for worshipping. Why the need for creating humans and the world then?

Response:
This life is a fair trial for all humans. The life hereafter will take care of all the inequities of this world. All questions in that regard can be answered convincingly.

We don't know God fully. He is not like us. Therefore, unless we meet Him and He decides to disclose His own reasons for why He created us, we wouldn't know about them. Having been satisfied that the trial of this life He has designed is absolutely fair, we don't have a right to complain for not getting an answer to your question. I am not saying that your question doesn't make sense. All I am saying is that our knowledge is not enough to get the answer to it in this world. The Almighty Himself has also not mentioned anything that would have helped in extracting an answer from it, except that He wanted to create a place of exceptional pleasure called al-Jannah in which He wanted to let those creatures in who deserved to enter it. So let's wait for the time when He will disclose His full response, and in the meanwhile, try to go through successfully the fair trial He has required us to go through.

His foreknowledge of what was going to happen in the future is in no way going to affect our performance. His knowledge is complete. His justice is perfect. The two don't conflict with each other. Allah is perfect and we are imperfect. We therefore can't understand Him completely, not because there is something wrong in the whole idea of His plan, but because our ability to understand in this worldly life is limited.

Sometimes we see dreams which come true. What ultimately happens is sometimes based on complex interplay of many independently taken decisions of people. Nobody forces them and yet what God shows us in dreams comes true. This just goes to show us that we are limited and the Almighty is unlimited in His attributes. He can know things beforehand and enable them to happen without apparently forcing anyone to do anything.

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