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Competition Policy in Indonesia and the New Anti-Monopoly and Fair Competition Law

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  • Thee Kian Wie

Abstract

This paper explores the role of competition policy in shaping a business environment that will encourage firms to improve their efficiency and competitiveness. After discussing the scope and objectives of competition policy, and whether a liberal trade and investment regime can substitute for, or should complement, a competition law, the paper offers an assessment of Indonesia's new competition law. Its shortcomings include a serious lack of clarity about objectives and a confusion between objectives and the means to achieve them; a failure to distinguish between various kinds of monopoly; a tendency to prohibit certain activities and agreements between firms without a clear analysis of the underlying economics involved; unnecessary and counterproductive exemptions from the provisions of the law; and failure to confront the reality that the principal obstacle to competition in the past has been unwarranted government intervention in markets.

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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal Bulletin of Indonesian Economic Studies.

Volume (Year): 38 (2002)
Issue (Month): 3 ()
Pages: 331-342

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Handle: RePEc:taf:bindes:v:38:y:2002:i:3:p:331-342

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Cited by:
  1. Tulus Tambunnan, 2007. "Trade and Investment Liberalization Effects on SME Development: A Literature Review and a Case Study of Indonesia," Working Papers 4207, Asia-Pacific Research and Training Network on Trade (ARTNeT), an initiative of UNESCAP and IDRC, Canada..
  2. Jacob, J., 2004. "Late industrialisation and structural change: the Indonesian experience," Working Papers 04.18, Eindhoven Center for Innovation Studies.
  3. Michael T. Rock, 2003. "The Politics of Development Policy and Development Policy Reform in New Order Indonesia," William Davidson Institute Working Papers Series 2003-632, William Davidson Institute at the University of Michigan.
  4. Jacob, J. & Meister, C., 2004. "Productivity gains, intersectoral linkages, and trade: Indonesian manufacturing, 1980-1996," Eindhoven Center for Innovation Studies (ECIS) working paper series 04.14, Eindhoven Center for Innovation Studies (ECIS).
  5. Jojo Jacob & Christoph Meister, 2005. "Productivity gains, technology spillovers and trade: Indonesian manufacturing, 1980-96," Bulletin of Indonesian Economic Studies, Taylor & Francis Journals, vol. 41(1), pages 37-56.
  6. Thee Kian Wie, 2010. "Technology and Indonesia’s Industrial Competitiveness," Working Papers id:3295, eSocialSciences.
  7. Jacob, J. & Meister, C., 2004. "Productivity gains, intersectoral linkages, and trade: Indonesian manufacturing, 1980-1996," Working Papers 04.14, Eindhoven Center for Innovation Studies.
  8. Jacob, J., 2004. "Late industrialisation and structural change: the Indonesian experience," Eindhoven Center for Innovation Studies (ECIS) working paper series 04.18, Eindhoven Center for Innovation Studies (ECIS).

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