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INDONESIA
Law and Economics
Published by Institute for Law and Economics Studies
ISSN : 18296688     EISSN : 30261929     DOI : -
Core Subject : Economy, Humanities, Science, Social,
Humanities Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Law, Crime, Criminology & Criminal Justice Social Sciences
The Law and Economics is an interdisciplinary Publication. It seeks to promote an understanding of many complex phenomena by examining such matters from a combined law, economics, and organization perspective (or a two-way combination thereof). In this connection, we use the term organization broadly - to include scholarship drawing on political science, psychology and sociology, among other fields. It also holds the study of institutions - especially economic, legal, and political institutions - to be specifically important and greatly in need of careful analytic study.
Arjuna Subject : Ilmu Sosial - Hukum
Articles 86 Documents
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The Role of Financial Literacy in the Early Childhood Education System Viewed from the Perspective of Sharia Economics: Case Study of Al Hikmah Kindergarten School, Kel. Pujidadi Binjai Sahputri, Nur diah; Waqqosh, Abi
Law and Economics Vol. 19 No. 1 (2025): February: Law and Economics
Publisher : Institute for Law and Economics Studies

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Abstract

Early childhood education (ECE) plays a very important role in forming the basis of children's understanding of various aspects of life, including financial management. Financial literacy at the PAUD level is expected to instill the values of financial management in accordance with sharia economic principles, namely management that is fair, transparent, and free from elements of usury. This research aims to explore the role of financial literacy in the education system at Al Hikmah Kindergarten, Pujidadi Village, Binjai, and analyze it from an Islamic economic perspective. Through this case study, this research is expected to provide a deeper understanding of how financial literacy can be integrated in early childhood education in accordance with sharia principles
Liquidity Analysis Of Bumdes Plantation Turangi Bahorok District Langkat District Isfahani, Faradibael; Herlina, Sri
Law and Economics Vol. 19 No. 1 (2025): February: Law and Economics
Publisher : Institute for Law and Economics Studies

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Abstract

The Village-Owned Enterprise (BUMDes) of Turangi Plantation is a government initiative to improve the economy and welfare of village communities. However, after five years of establishment, BUMDes in Bahorok Sub-district, including Turangi, are facing challenges in their development. The businesses managed are still limited to savings and loans and sales of agricultural materials with minimal capital. This study aims to analyze the liquidity and performance of BUMDes Turangi, and identify the constraints faced. The method used is descriptive quantitative approach, analyzing financial statements and involving interviews and observations. The results show that the liquidity of BUMDes Turangi is low, reflected in the current and quick ratios that do not meet the ideal standard. Its performance is also not optimal, with minimal revenue and profit. Constraints include an unprofessional managerial system, limited capital, lack of information, and the absence of a clear vision and mission. Recommendations for improvement include: (1) managerial training for managers; (2) business diversification; (3) improved access to financing; (4) improved transparency of financial management; (5) development of a long-term vision and plan. Hopefully, the implementation of these recommendations can improve the liquidity and performance of BUMDes, as well as improve the welfare of village communities.
The Realization of Factors Detrimental to State Finances in Corporate Activ-ities Ainuddin , Ainuddin
Law and Economics Vol. 19 No. 1 (2025): February: Law and Economics
Publisher : Institute for Law and Economics Studies

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35335/laweco.v19i1.137

Abstract

The realization of state financial loss in corruption offenses involves demonstrating that a corrupt act has caused a tangible and specific detriment to state finances or the national economy. This study examines the clarity of legal material regarding state financial loss in corporate actions, focusing on the corruption case verdict No. 70/Pid.Sus-TPK/2023/PN.Plg. Using a normative legal methodology—incorporating legislative, conceptual, and case law studies, the study examines the legal frameworks surrounding corruption and state budget cuts, revealing differing interpretations of financial loss in corporate corruption cases. It emphasizes the need for clearer instructions on proving state financial loss and emphasizes the importance of a strong legal base in corruption cases. Findings reveal that the Public Prosecutor failed to convincingly establish the legal basis for proving state financial loss. The indictment claimed that PT. BA’s acquisition of PT. SBS through its subsidiary PT. BMI resulted in a state financial loss of IDR 162,466,152,401. However, inconsistencies emerged in defining "state financial loss," assessing the loss amount, and qualifying it within the acquisition process. The Panel of Judges meticulously examined the charges under Article 2 of the Corruption Eradication Law (UU Tipikor). Upon reviewing the elements of the offense, the Judges concluded that the Prosecutor failed to substantiate the allegations. Consequently, the Panel issued a vrijspraak (acquittal) for Defendant "TI." This verdict fulfills juridical, philosophical, and sociological dimensions, rendering it legally sound and well-reasoned.
The Role Of Experiential Marketing In The Development Of Minangkabau Cultural Tourist Destinations In Sijunjung Traditional Villages Evanita, Susi; Asri, Zul; Indrayuda, Indrayuda; Fahmi, Zul; Syofyan, Rita
Law and Economics Vol. 19 No. 1 (2025): February: Law and Economics
Publisher : Institute for Law and Economics Studies

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Abstract

The tourism industry has now become an important icon to introduce a region to domestic and international tourists. The growth of tourism provides an opportunity to have a positive impact on local communities, leading to economic development and improved welfare, especially around tourist destinations. The Sijunjung Traditional Village tourist destination, which is a cultural landmark of West Sumatra, features unique customs, culture and village landscapes that resemble traditional Minangkabau villages. The village's traditional houses, such as the Rumah Gadang, demonstrate a fusion of cultural elements while promoting cultural harmony. This area is part of the Ranah Minang Silokek Geopark development project which aims to preserve, restore and enhance the tourism sector to improve the local economy. This service is conducted through the Nagari Binaan (PPNB) development program of Padang State University through development initiatives such as training programs and mentoring sessions. These efforts are made to empower local communities, managers, creative economic actors, and cooperative management and members through local wisdom and cultural values to create an attractive cultural experience for tourists, encourage economic growth, and preserve cultural heritage.
The role of the transportation agency in improving public transportation services: case study of the binjai city transporta-tion office Oktavia Nadela; Raja Sakti Putra Harahap
Law and Economics Vol. 19 No. 1 (2025): February: Law and Economics
Publisher : Institute for Law and Economics Studies

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Abstract

The role of the transportation agency in improving public transportation services. This study is based on the reality that the transportation official of Binjai city has played important role to manage this transportation issue. One effort by the transportation official of Binjai city in relation with public service is to improve urban transport survive given to the public. Based on result of research, it is acknowledged that transportation official of Binjai city plays three roles within public service improvement. The transportation official may act as regulator to make a policy or a regulation concerning with urban transport, can be a facilitator or institution which provides structure and infrastructure related to urban transport, and also works as evaluator to watch over every policy and each available structure and infrastructure. The improvement effort of public service can bring positive and negative responses. Therefore, the cooperation should be needed between the government and the public to improve service quality in urban transport sector.
The impact of financial ratios on bank profitability: evidence from idx (2021-2023) Sari, Karima; Fauzan , Fauzan
Law and Economics Vol. 19 No. 2 (2025): June: Law and Economics
Publisher : Institute for Law and Economics Studies

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35335/laweco.v19i2.145

Abstract

: This study examines the impact of Non-Performing Loans (NPL), the Operating Expenses to Operating Income Ratio (BOPO), Net Interest Margin (NIM), Loan to Deposit Ratio (LDR), and Capital Adequacy Ratio (CAR) on Return on Assets (ROA) in banking institutions listed on the Indonesia Stock Exchange (IDX) from 2021 to 2023. Employing a quantitative research methodology, this study utilizes purposive sampling to select banks based on operational status and financial performance, with secondary data sourced from annual reports and financial statements. The research applies multiple regression analysis to examine relationships between variables, alongside classical assumption tests to ensure model validity. The findings reveal that NPL and BOPO have a significant negative effect on ROA, indicating that higher NPL increases credit risk and reduces profitability, while inefficient operations lower financial performance. Conversely, NIM positively and significantly affects ROA, suggesting that higher NIM enhances earnings from productive assets. However, LDR and CAR do not exhibit a significant impact, implying that credit distribution and capital adequacy do not directly influence profitability. Given these findings, future research should incorporate additional factors such as managerial efficiency, capital structure, and macroeconomic conditions while adopting qualitative approaches for deeper insights. For the banking sector, enhancing credit risk management, improving operational efficiency, and optimizing NIM are critical for sustained profitability. This study provides valuable insights for banking stakeholders and serves as a reference for further research on profitability determinants in the banking industry.
Analysis of the effect of facilities, accessibility, promotion, and price on tourist trust and satisfaction through tourist loyalty as a mediation variable on halal tourism in surakarta city Yustisiana Pramesti, Syifana Putri; Isa, Muzakar
Law and Economics Vol. 19 No. 2 (2025): June: Law and Economics
Publisher : Institute for Law and Economics Studies

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35335/laweco.v19i2.146

Abstract

This study examines the influence of accessibility, facilities, pricing, and promotion on tourist trust and satisfaction, with loyalty as a mediating factor in halal tourism in Surakarta City. Employing a quantitative approach, data were collected from 200 respondents through online questionnaires using a Likert scale. Purposive sampling was utilized to select participants meeting specific criteria. PLS-SEM was applied for data analysis due to its suitability for complex models. Findings reveal that competitive pricing, adequate facilities, seamless accessibility, and effective promotions significantly enhance satisfaction and loyalty, which, in turn, strengthen trust. Loyalty plays a crucial role in mediating these relationships. Destination managers should focus on infrastructure improvements, digital marketing, and service optimization based on periodic visitor evaluations. Future studies should explore the impact of cultural influences, environmental sustainability, and social media on tourist perceptions
The Influence of Service Quality and Employee Loyalty on Consumer Purchzase Interest at Cafe Natural on Jalan Adam Malik Gg. Taruna 45 Fahreza, Tengku Aldi; Ritonga, Nurhabibah; Sipayung, Iskandar Muda
Law and Economics Vol. 19 No. 2 (2025): June: Law and Economics
Publisher : Institute for Law and Economics Studies

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35335/laweco.v19i2.152

Abstract

Background This research is motivated by the decline in Cafe Natural's income every year. The purpose of this study is to determine the effect of service quality and employee loyalty on purchasing decisions through purchase interest as an intervening variable at Cafe Natural. The population is all Cafe Natural consumers domiciled in Rantauprapat, while the sample used in this study is 100 Cafe Natural consumers using accidental and purposive sampling techniques. This study uses an explanatory research type. 2) Mehod The analysis method used is a significance test (t-test) and a two-stage regression analysis test using SPSS 23 software.  3) Result and Discussion The results of the study indicate that service quality has a positive effect on purchasing interest, employee loyalty has a positive effect on purchasing interest, and purchasing interest has a positive effect on purchasing decisions. The intervening variable shows that there is a positive effect of the service quality variable on purchasing decisions through purchase interest and there is a positive effect of the employee loyalty variable on purchasing decisions through purchase interest. Based on the results of the study, it is recommended that Cafe Natural conduct research and development, conduct briefings and create SOPs, and improve quality control on product taste. Improve service quality and employee loyalty to suit consumer desires
Juridical Review of the Legal Protection of Notary Employees as Witness Instrumenter in Making Deeds Munthe, M.Alvicki; Purba, Hasim; Suprayitno
Law and Economics Vol. 19 No. 2 (2025): June: Law and Economics
Publisher : Institute for Law and Economics Studies

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Abstract

A notary, as a public official authorized to draw up authentic deeds, requires the assistance of notary employees who also serve as instrumental witnesses in the deed-making process. Instrumental witnesses are responsible for witnessing the reading and signing of the deed, as regulated in Article 16 paragraph (1) letter i and Article 40 of the Law on Notary Position (UUJN). This study employs a normative juridical method with a descriptive-analytical approach, using secondary data obtained through literature review and document study. The findings show: first, the role of instrumental witnesses is crucial because if not fulfilled, the deed only holds evidentiary power as a private deed (Article 41 UUJN). Second, notary employees serving as instrumental witnesses bear criminal and civil liability for any misuse of deed confidentiality, and the obligation to maintain such confidentiality is lifelong. Third, although specific legal protection for notary employees as instrumental witnesses is not regulated in the UUJN, general protection is provided under the Manpower Law and the Witness and Victim Protection Law, especially regarding testimony in criminal proceedings, including protection from coercion, the right to legal counsel, and other general safeguards  
Mixue's business development strategy in South Tangerang through SWOT analysis I Gede Marendra; I Made Aryata
Law and Economics Vol. 19 No. 2 (2025): June: Law and Economics
Publisher : Institute for Law and Economics Studies

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35335/laweco.v19i2.177

Abstract

The culinary business (Food and Beverage) is a business that puts food or beverages as the core of its products. Mixue is one of the franchise companies that currently, Mixue itself offers product ice cream combined with tea drinks. The current culinary business competition requires Mixue to be able to innovate business strategies to be able to present products that meet customer needs. SWOT analysis is a method used to identify business strategy by looking at the Company's internal aspects as well as the Company's external aspects. By using SWOT Analysis, it is known that the Mixue Business is in Quadrant I with the strategy used is aggressive growth (growth oriented strategy). Through the Growth Oriented Strategy, strategies that can be carried out by the Company can be identified, including: 1) Conducting Market Penetration through product bundling of product variants currently owned by Mixue as well as new product variants that are in accordance with Mixue's target market. 2) Conducting Market Development through Mixue's collaboration with Schools, Universities, Airports, Stations and other public facilities that are the target market of Mixue products. 3) Conducting Product Development through the development of Gelato variants and also ice cream products that do not melt easily. 4) Diversification through the development of new products such as snacks or variants of drinking coffee that can be combined with mixue ice cream products.

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