Free Markets Supervision in Trade through Electronic Systems: An Economic and Law’s Perspective

DOI

10.2991/978-2-38476-218-7_10How to use a DOI?

Keywords

Economic Law; Digital Trade; Globalization

Abstract

Regulations can impact how the economy functions, as demonstrated by market mechanisms that demand freedom of action and oppose government interference. Disparities in marketing goods and services give rise to inequality due to the industrial revolution and globalization. When the Indonesian government chose to regulate an electronic purchasing and selling system to protect conventional MSMEs, this led to legal issues. TikTok Shop trading was restricted. This article aims to evaluate the efficacy of this policy’s implementation and the future evolution of the country’s economic structure. Doctrinal methods, bolstered by conceptual approaches, instances, and regulations, were employed in the research. Posner’s theory of economic law analysis demonstrates that reasonable decisions are made to bolster the economy. The study’s findings indicate that Tiktok Shop is a thriving hub for developing the digital economy. Nonetheless, the government defends established commercial players by prohibiting purchases made through this channel. Undoubtedly, this state impedes the unrestricted movement of resources. Because it cannot maximize opportunity costs and adjust to changes in demand, this could impede Indonesia’s economic development. According to this research, the government should quickly amend this policy and support traditional MSMEs to adapt to shifting market demands.

Copyright

© 2024 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Febrian Indar Surya Kusuma
AU  - I Gusti Ayu Ketut Rachmi Handayani
AU  - Sapto Hermawan
PY  - 2024
DA  - 2024/02/22
TI  - Free Markets Supervision in Trade through Electronic Systems: An Economic and Law’s Perspective
BT  - Proceedings of the International Conference On Law, Economic & Good Governance (IC-LAW 2023)
PB  - Atlantis Press
SP  - 57
EP  - 62
SN  - 2352-5398
UR  - https://doi.org/10.2991/978-2-38476-218-7_10
DO  - 10.2991/978-2-38476-218-7_10
ID  - Kusuma2024
ER  -