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Economic Vulnerability of Small Producers Due to Income Uncertainty and Institutional Asymmetry Fatmawati Sungkawaningrum; Navirta Ayu; Mohamad Abdul Munjid
Journal of Economics, Entrepreneurship, Management Business and Accounting Vol 4 No 4 (2026): Volume 4, Issue 4, July 2026
Publisher : CV. Sakura Digital Nusantara

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.61255/jeemba.v4i4.990

Abstract

Purpose – This study examines the economic vulnerability of small-scale producers in Indonesia by analyzing the effects of income uncertainty and institutional asymmetry, while incorporating regulatory certainty as a mediating variable and the internalization of moral values as a moderating variable. The study aims to explain how structural, regulatory, and ethical dimensions influence the sustainability and resilience of small-scale producers. Design/methodology/approach – This study employed a quantitative approach using a survey design involving small-scale producers in Indonesia. Data were collected through structured questionnaires and analyzed using Partial Least Squares–Structural Equation Modeling (PLS-SEM) to examine the direct, mediating, and moderating relationships among income uncertainty, institutional asymmetry, regulatory certainty, moral value internalization, and economic vulnerability. Finding/Results – The findings reveal that institutional asymmetry has a strong positive and significant effect on economic vulnerability, indicating that structural market inequality is the primary determinant of vulnerability among small-scale producers. In contrast, income uncertainty does not have a significant direct effect on economic vulnerability, as reflected by the near-zero path coefficient. However, its influence operates indirectly through regulatory certainty as a mediating mechanism. Furthermore, the internalization of moral values moderates the relationship between institutional asymmetry and economic vulnerability by strengthening producers’ adaptive capacity and resilience toward structural market pressures. Originality/Value – This study contributes to the literature by integrating regulatory certainty and moral value internalization into a comprehensive structural model of economic vulnerability among small-scale producers. The findings emphasize the importance of inclusive market institutions, regulatory certainty, and ethical-economic values in reducing inequality and strengthening long-term economic sustainability.
UNDERSTANDING FOOD SECURITY IN THE CONSTRUCTION OF A SHARIA ECONOMIC SYSTEM Ulfa Jamilatul Farida; Navirta Ayu
Multidisciplinary Indonesian Center Journal (MICJO) Vol. 3 No. 2 (2026): Vol. 3 No. 2 Edisi April 2026
Publisher : PT. Jurnal Center Indonesia Publisher

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.62567/micjo.v3i2.2301

Abstract

Inequality is a condition of inequity that results in a wide poverty gap in a country. In the future, challenges will arise due to inequality in wealth and prosperity, including in Indonesia. The Islamic economy is a system built on the principles of Islamic law and emphasises that the state is responsible for meeting the needs and welfare of its people. This paper uses qualitative methods and a retrospective approach to reveal how food issues are addressed in the construction of the Islamic economic system in Indonesia. Sharia-based food security is imbued with the main characteristics of Islamic economics, namely good and halal muamalah (transactions). Therefore, to achieve this, it is important to develop an Indonesian Islamic economic master plan based on the main indicator of economic independence in food self-sufficiency as an effort to realise national food security. Indonesia's Islamic economy is growing rapidly, and ideally, the construction of economic independence in the context of realising sharia-based food security should be a priority in the development of Indonesia's Islamic economic master plan based on the main indicator of economic independence in food self-sufficiency as an effort to realise national food security.