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INDONESIA
Law and Economics
ISSN : 18296688     EISSN : 30261929     DOI : -
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
Reconstruction of the Authority of the Administrative Court (Ptun) To Ad-judicate Positive Fictitious Decisions Laksono, Nowo; Nasution, Krisnadi; Budiarsih
Law and Economics Vol. 19 No. 2 (2025): June: Law and Economics
Publisher : Institute for Law and Economics Studies

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Abstract

This research discusses the lack of effectiveness in the authority of the State Administrative Tribunal (PTUN) in handling disputes arising from positive fictitious decisions, as regulated in Law Number 30 of 2014 on Government Administration. This law emphasizes PTUN's role in providing legal certainty for decisions that are deemed legally granted despite the absence of a response from the relevant authorities. Although PTUN has jurisdiction over such disputes, the overly formalistic procedural approach often leads to lawsuits being dismissed or deemed inadmissible, contradicting the principles of modern administrative justice.This study aims to reconstruct PTUN's authority to enhance its effectiveness in adjudicating cases involving positive fictitious decisions. A normative juridical approach is applied by examining applicable legal provisions, analyzing court rulings, and referring to relevant legal literature. The findings indicate that procedural rigidity and normative ambiguity remain significant obstacles, particularly in determining the object of the dispute and proving the silence of government officials or agencies. This research offers a conceptual reconstruction of PTUN's authority, advocating for a more progressive judicial interpretation and the enforcement of the due process of law principle. Strengthening PTUN’s role is expected to improve administrative accountability, expand public access to justice, and provide better legal certainty in addressing uncertainties arising from government inaction
The Role of Impulsive Buying Style and Social Media Influencers in Shaping Generation Z Consumers' Cosmetic Purchase Decisions Samosir, Hendrik E.S.; Damanik, Hanna Meilani; Purba, Martin Luter
Law and Economics Vol. 19 No. 2 (2025): June: Law and Economics
Publisher : Institute for Law and Economics Studies

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This study analyzes the influence of impulsive buying behavior and the role of social media influencers in shaping the consumer behavior of Generation Z within the Indonesian cosmetics industry. The objective of this research is to examine how impulsive behavior and the presence of social media influencers can shape the consumption behavior of cosmetic products. Based on the analysis of market data and consumer behavior, this study found that 49% of FMCG sales on major e-commerce platforms (Shopee, Tokopedia, Blibli) come from beauty products, with an industry growth projection of 4.59% per year until 2028. The research applies logistic regression to assess the likelihood of purchasing decisions. Social media influencers have been proven to be a key factor in increasing product awareness and triggering impulsive purchases through digital promotions and recommendations. The study reveals that Generation Z, as digital natives, are highly responsive to marketing strategies that leverage engaging content and collaborations with influencers. Data shows significant growth in Indonesia’s cosmetics industry, reaching US$8.09 billion in 2023, driven by self-care trends and increased social media usage. These findings provide strategic implications for cosmetic brands in designing effective digital campaigns to reach young consumers. The study concludes that impulsive buying styles and the presence of social media influencers enhance the probability of consumers purchasing products.
Criminal Responsibility For Perpetrators Of Criminals Who Distribute Wood Produced From Illegal Logging (Analysis of the Decision of the Supreme Court of the Republic of Indonesia Number 1597 K/PID. Sus – LH/2020) Sagala, Silvia Hermala; Yunara, Edi; Alsa, Abdul Aziz
Law and Economics Vol. 19 No. 2 (2025): June: Law and Economics
Publisher : Institute for Law and Economics Studies

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Criminal liability for perpetrators of criminal acts who distribute wood from illegal logging is an essential issue in Indonesia's forest protection context. The Analysis of the Supreme Court Decision of the Republic of Indonesia Number 1597 K/Pid.Sus-LH/2020 shows the challenges faced by law enforcement related to this illegal practice. With the increase in illegal logging threatening forest sustainability and biodiversity, this study aims to evaluate the effectiveness of criminal sanctions applied to illegal wood distributors. This study uses a normative juridical approach to review the legal framework governing these illegal acts. The study results indicate that despite strict regulations, obstacles in law enforcement, such as lack of evidence and legal awareness in the community, are significant. Therefore, strategic steps are needed to increase the effectiveness of law enforcement and encourage community participation in reporting illegal activities to maintain forest sustainability
The Effectiveness of Diversion in Handling Juvenile Criminal Offenses Based on Law No. 11 of 2012 on the Juvenile Criminal Justice System and Its Implementing Regulation (Supreme Court Regulation No. 4 of 2014) Aji Baskoro Meliala, Raden Bagus Muhammad
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.v19i2.199

Abstract

This study aims to analyze the effectiveness of diversion implementation in handling juvenile criminal acts based on Law Number 11 of 2012 concerning the Juvenile Criminal Justice System and Supreme Court Regulation (PERMA) Number 4 of 2014. Diversion, which is a form of case resolution outside the court, is expected to provide legal protection to children by prioritizing a more humanistic restorative approach. This study uses an empirical legal approach with interview and documentation methods to explore primary and secondary data, focusing on selected jurisdictions within Jakarta, Bekasi, and Depok. These areas were chosen due to their varied caseloads and differing levels of diversion infrastructure. The results of the study indicate that the implementation of diversion in several regions has been running well, particularly in urban centers like South Jakarta, where coordination among institutions is more structured. However, in other areas such as Bekasi, structural and cultural challenges still hinder its effectiveness. Therefore, it is necessary to increase the capacity of law enforcement officers, as well as more intensive socialization to the community and related parties so that diversion can be implemented optimally. The new aspect of this research is the analysis of diversion practices, including those conducted at the court level. This study contributes to the development of a fairer juvenile criminal justice system that focuses on the recovery of children in conflict with the law
Legal protection of consumers against e-commerce digital transactions review of state authority in guaranteeing citizens' constitutional rights Anderson, Kevin; Cornelis, Vieta Imelda; Marwiyah, Siti; Astutik, Sri
Law and Economics Vol. 19 No. 2 (2025): June: Law and Economics
Publisher : Institute for Law and Economics Studies

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Abstract

The rapid development of information and communication technology has transformed the trade sector through the emergence of digital transactions. In this context, there has been a shift in the relationship between businesses and consumers, giving rise to new challenges in consumer rights protection. The complexity and intensity of digital transactions open up opportunities for exploitative practices that harm consumers as the more vulnerable party. The main issue examined in this paper is how the state, from a constitutional law perspective, exercises its authority to ensure legal protection for consumers in digital transactions as part of fulfilling the constitutional rights of citizens. This study employs a normative legal method with a qualitative analytical approach, through literature review and grammatical and systematic legal interpretation. The results indicate that consumer protection in digital transactions is an integral part of the principles of the rule of law and human rights protection as stipulated in Article 28D paragraph (1) of the 1945 Constitution. The state is obligated to actively implement adaptive regulations, strong oversight, and consumer education to create a fair, safe, and sustainable digital trade ecosystem in accordance with the values of social justice and humanity as enshrined in Pancasila.
The Existence of Workers' Rights to Job Loss Insurance in the Event of Ter-mination of Employment Due to Violation of Collective Agreements Wijayanti, Lini; Wijayanti, Asri; Miarsa, Fajar Rachmad Dwi
Law and Economics Vol. 19 No. 2 (2025): June: Law and Economics
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The Job Loss Insurance Program is a social protection program aimed at workers who lose their jobs due to termination of employment (PHK). The benefits of this program include cash assistance, job training, and job market information, and are regulated by Law No. 6 of 2023 and Government Regulation No. 37 of 2021, which was amended to Government Regulation No. 6 of 2025. This study aims to analyze the existence of the right to Job Loss Insurance for workers who experience termination of employment due to violations of collective labor agreements, which, in practice, lack clear legal certainty. The method used in this study is a normative legal approach based on legislation and conceptual analysis. The findings reveal disparities in legal protection and normative uncertainty, which may impact workers' access to unemployment insurance benefits. Therefore, harmonization of policies and regulations is necessary to provide legal certainty and inclusive, fair protection for all workers
Analysis of the Quality of Sustainability and Governance Disclosure in SR Reports: A Study of 51 Indonesian Public Companies Based on POJK 51 Nurdialy, Mela; Wijaya, Henryanto
Law and Economics Vol. 19 No. 2 (2025): June: Law and Economics
Publisher : Institute for Law and Economics Studies

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Sustainability reports (SR) are an important tool for demonstrating corporate transparency and accountability on environmental, social, and governance (ESG) issues. This study evaluates the quality of sustainability disclosure in four key dimensions: sustainability strategy, sustainability governance, sustainability performance, and independent verification. The evaluation was conducted on 51 Indonesian public companies from the energy, raw materials, manufacturing, and financial sectors, using over 40 indicators developed from the provisions of POJK 51 of 2017. The analysis results show that the energy sector consistently achieved the highest scores across all dimensions, reflecting high regulatory and social pressures. Conversely, the financial and industrial sectors lagged behind, particularly in the strategy and verification dimensions, indicating weak integration of sustainability principles into corporate governance. The governance dimension revealed symbolic disclosures that have not yet addressed substantive aspects such as ESG risk management and competency development. Meanwhile, only 31% of companies included independent assurance statements. This finding underscores the need to strengthen the integration of sustainability into governance systems and improve the quality and credibility of reports. The analysis is supported by legitimacy theory, accountability theory, stakeholder theory, and recent empirical literature.
Protecting Traders at the Fish Market in Medan City in Relation to Subscription-Based Parking: An Analysis from the Perspective of Maslahah Mursalah Perangin Angin, Rachmat Azra’I; Permata , Cahaya
Law and Economics Vol. 19 No. 3 (2025): October: Law and Economics
Publisher : Institute for Law and Economics Studies

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35335/laweco.v19i3.211

Abstract

Trader protection in this context is a highly significant issue. Small-scale traders often lack the capacity to quickly adapt to new policies that directly impact their economic activities. This study aims to understand the regulations surrounding subscription-based parking, to examine its impact in Medan City, and to elaborate on the concept of trader protection in response to the subscription-based parking policy from the perspective of Maslahah Mursalah. The research employs an empirical juridical method using a Living Case Study Approach and a Conceptual Approach. Data collected in the field is supported by interviews and document studies, and analyzed qualitatively. The findings indicate that the implementation of the subscription-based parking system has caused both conflict and satisfaction among traders and consumers within the designated parking zones. From the perspective of Maslahah Mursalah, trader protection by the government should include public awareness campaigns about the benefits and workings of the subscription-based parking system. Furthermore, the government is expected to conduct regular evaluations of the implemented system to ensure that the policy operates as intended and can be improved when necessary
Ratifying the HCCH 2005 and 2019 Conventions: Legal Reform and the Pursuit of Certainty in Indonesia’s International Private Law Antony, Antony; Osmond, Agung Pratama; Sabisi, Muhammad Ali; Shahrullah, Rina Shahriyani
Law and Economics Vol. 19 No. 3 (2025): October: Law and Economics
Publisher : Institute for Law and Economics Studies

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35335/laweco.v19i3.219

Abstract

In the era of globalization, the increasing intensity of cross-border transactions demands a national legal system capable of ensuring legal certainty in international trade. However, Indonesia has yet to ratify the HCCH 2005 Convention on Choice of Court Agreements and the HCCH 2019 Convention on the Recognition and Enforcement of Foreign Judgments. This study aims to analyze the urgency of ratifying both conventions in the context of Indonesia’s international trade, assess the readiness of national legal and institutional frameworks, and examine lessons learned from countries that have ratified similar conventions. This research adopts a normative legal approach using three methods: the statutory approach to examine the relevance of national regulations, the conceptual approach to understand the foundational principles of the HCCH conventions, and the comparative approach through case studies of ratifying countries. The data sources consist of primary legal materials such as international conventions and national legislation, as well as secondary materials including scholarly journals and legal literature. The research question in this study is: 1) What is the urgency of ratifying the 2005 and 2019 HCCH Conventions in Indonesia?; 2) How prepared is Indonesia's legal and institutional system to accept the ratification of the 2005 and 2019 HCCH Conventions?; and 3) What lessons can Indonesia learn from countries that have ratified the 2005 and 2019 HCCH Conventions?. The findings reveal that, despite Indonesia's significant economic potential, its legal system has not yet adequately accommodated the recognition of jurisdiction and enforcement of foreign judgments. Countries such as Mexico, Singapore, and members of the European Union have demonstrated that ratifying these conventions strengthens legal certainty, enhances investor confidence, and expedites the resolution of cross-border disputes. This study concludes that the ratification of the HCCH 2005 and 2019 Conventions must be an integral part of Indonesia’s civil law reform agenda. The implication is that Indonesia must revise its national regulations, enhance institutional capacity, and develop a structured ratification roadmap to ensure effective implementation and reinforce its legal standing within the global system
Interpreting Marital Property and Inheritance Rights in Mixed Marriages: A Normative-Transcendental Approach Hadi, Alpan; Erwin, Yulias; Septyanun, Nurjannah; Jiwantara, Firzhal Arzhi
Law and Economics Vol. 19 No. 3 (2025): October: Law and Economics
Publisher : Institute for Law and Economics Studies

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35335/laweco.v19i3.207

Abstract

Intermarriages between Indonesian citizens and foreign nationals are becoming increasingly prevalent in Indonesia's tourist regions, along with the rise of global social and cultural connections. Despite the legal recognition and protection of mixed marriages by Law Number 1 of 1974 regarding Marriage and Law Number 12 of 2006 concerning Citizenship, their execution presents numerous legal challenges, particularly concerning citizenship status, shared property ownership, and inheritance rights. This research employs a normative legal methodology, utilizing literature review as the primary technique, and analyzes Supreme Court Decision No: XXX/Pdt.G/2020/PA.Bdg as a case study. The investigation examined pertinent legal norms, jurisprudence, and relevant legal doctrines by employing a transcendental legal method to comprehend the moral and spiritual principles underpinning these legal frameworks. The study's findings indicate that the national legal system has not adequately addressed the complexities of mixed marriages characterized by divergent legal systems and cultural origins. Restrictions on land ownership by foreign nationals present issues in mixed marriage situations about joint property. Similarly, the disparities in inheritance law systems across civil law, customary law, Islamic law, and foreign frameworks impede equitable arrangements. The transcendental legal approach provides a more inclusive and equitable perspective by grounding legal interpretation in spiritual values. This study advocates for regulatory revisions and the enhancement of international legal frameworks to achieve adaptive and compassionate legal protection that aligns with substantive justice in mixed marriages.