The purpose of this study is to investigate the association between political connections and overinvestment in Indonesia as a democratic, multi-party and developing country. This study uses sample of 1,044 and 543 firm-year observations from listed firms on the Indonesian Stock Exchange from 2012 to 2017. A two-stage model is used to address overinvestment, which used two different measurements, then continued by ordinary least square regression to establish the main analysis result. This study finds that political connection is negatively associated with overinvestment in Indonesia. We also find that this negative association is increasing due to the existence of governance mechanism from both external and internal parties of the firm. Our results indicate that the significant negative associations between political connections with overinvestment, which later is strengthen by governance mechanism might be caused by several differences in institutional setting and/or political connections benefits between the previous research in China and with the place where this research is taken. This paper could give insights in decision-making for stakeholders to anticipate certain harmful issues to the companies that might be occurred by their politically connected top management like directors and commissioners.
This research analyzes international refugees' presence in Indonesia, which gives local challenges for the Indonesian subnational Government as a transit location. This research uses a paradiplomacy perspective to analyze the West Jakarta Government's response to the foreign refugees in its territory. West Jakarta is one of the Administrative Cities in the Special Capital Region of Jakarta. This research uses a qualitative research method. The research data sources were collected and analyzed from literature studies, current news, and socio-political theories. This research found that West Jakarta Government's paradiplomacy occurs due to differences in regulations applies. Moreover, this process can be parallel alongside the Central Government (Indonesian Government) in handling refugees in their territory following a local-regional wisdom approach. The West Jakarta Government's paradiplomacy carried out by coordinating the distribution of aid to refugees, working with stakeholders in handling international and national refugee issues, and managing refugee handling policies in transit locations where refugees live, especially in Kalideres, West Jakarta, Indonesia. These handling efforts aim to prevent horizontal conflicts between refugees and local people and achieve subnational interests in the form of support materially, financially, and politically. ; Penelitian ini menganalisis keberadaan pengungsi internasional di Indonesia yang memberikan tantangan lokal bagi Pemerintah subnasional Indonesia sebagai lokasi transit. Penelitian ini menggunakan perspektif paradiplomasi untuk menganalisis respon Pemerintah Jakarta Barat terhadap pengungsi asing di wilayahnya. Jakarta Barat merupakan salah satu Kota Administratif di Daerah Khusus Ibukota (DKI) Jakarta. Penelitian ini menggunakan metode penelitian kualitatif. Sumber data penelitian dikumpulkan dan dianalisis dari studi literatur, berita terkini, dan teori-teori sosial politik. Hasil penelitian menemukan bahwa paradiplomasi Pemerintah Jakarta Barat terjadi karena adanya perbedaan regulasi yang berlaku. Apalagi, proses ini bisa paralel dengan Pemerintah Pusat (Pemerintah Indonesia) dalam menangani pengungsi di wilayahnya dengan pendekatan kearifan lokal-regional. Paradiplomasi Pemerintah Jakarta Barat dilakukan dengan mengkoordinasikan penyaluran bantuan kepada pengungsi, bekerja sama dengan pemangku kepentingan (stakeholders) dalam penanganan permasalahan pengungsi internasional dan nasional, serta mengelola kebijakan penanganan pengungsi di lokasi transit tempat tinggal pengungsi, khususnya di Kalideres, Jakarta Barat. Upaya penanganan ini bertujuan untuk mencegah konflik horizontal antara pengungsi dan masyarakat lokal serta mencapai kepentingan subnasional dalam bentuk dukungan material, finansial, dan politik.
ASEAN as a regional organization is currently in an effort to develop cooperation in the form of the ASEAN Community. The formation of the ASEAN Community is based on three pillars, where one of the pillars is the political-security pillar (ASEAN Political-Security Community / APSC) who faces the most dynamic challenges related to security issues in the Southeast Asia. This security issue certainly has an influence on interactions both among intra-regional states and with extra-regional states. This paper aims to analysis the challenges and opportunities faced by the ASEAN political-security community to strengthen cooperation in dealing with security issues in the Southeast Asian. This paper is based on a constructivism analysis of the formation of a security community. This paper will get an overview of the challenges and opportunities faced in the realization of cooperation to tackle security issues in the Southeast Asia region within the framework of the APSC. The description of these challenges and opportunities can be the basis for analyzing what strategies must be done to encourage the realization of the APSC in accordance with what is expected by the members states.
Opportunities and challenges in today's era of globalization also affect the relationship between Indonesia and Malaysia. As the two allied countries which have a sea and land borders, there are many issues that arise as a result of interaction between citizens of both countries and the issue of political and teritorial issues which sometimes led to tensions between the two countries. In spite of it all there is another problem that is actually more substansial and that is people welfare. Commonly the border region can be regarded as disadvantaged areas, and most of its inhabitants live in poverty. This indicated the failure of both governments take advantage of the potential of natural resources and human resources as well as the geographical conditions that actually have great potential to inprove the well-being of border residents. However, with a good cooperation and mutual benefit in the future pattern of the pattern of bilateral cooperation has a great opportunity in order to improve the welfare of society. ; Opportunities and challenges in today's era of globalization also affect the relationship between Indonesia and Malaysia. As the two allied countries which have a sea and land borders, there are many issues that arise as a result of interaction between citizens of both countries and the issue of political and teritorial issues which sometimes led to tensions between the two countries. In spite of it all there is another problem that is actually more substansial and that is people welfare. Commonly the border region can be regarded as disadvantaged areas, and most of its inhabitants live in poverty. This indicated the failure of both governments take advantage of the potential of natural resources and human resources as well as the geographical conditions that actually have great potential to inprove the well-being of border residents. However, with a good cooperation and mutual benefit in the future pattern of the pattern of bilateral cooperation has a great opportunity in order to improve the welfare of society.
This study considers the political aspects of the Joko Widodo government's megaproject to build an integrated marine logistic system known as the tol laut. Expanding the existing literature which gives details about the contextual obstacles faced by and the prospects for the Indonesian government to pursue its infrastructure ambitions, the study argues that notwithstanding the relevance of the tol laut for advancing the Indonesian economy, it is inevitably entangled with dynamic internal and external environments which can unfavourably distort the construction processes. This is the way of understanding the political economy of Indonesia's development issues which allows for the juxtaposition of domestic political and international relations factors as its framework of analysis. The discussion is divided into four sections. Section one explains the conceptual and methodological foundation of the study. Section two outlines the importance of the tol laut to Indonesian national economic development. Section three looks at how the current domestic political settings pose structural hurdles to Widodo's tol laut, and section four observes the effect of international relations of powerful regional actors and Jakarta's diplomatic capacity to the on-going tol laut. The concluding section summarizes the findings of the study.
Trans Pacific Partnership (TPP) is a trade agreement that originated Dati Trans Pacific Strategic Economic Partnership (TPSEP) which is a high standard agreement as it seeks to eliminate tax costs for trade in goods, services and agriculture, as well as to build and extend regulations about intellectual property rights issues, foreign investment, and other trade related issues. For the U.S. during the administration of President Barack Obama, TPP is projected as a manifestation of the "Pivot to Asia" policy that can form the foundation for shaping the economic and political architecture of the Asia Pacific region, but in its development, TPP gets many obstacles, Dati the domestic environment of the U.S. and Dati the international environment. That obstacles impacted the U.S. membership status in the TPP during the administration of President Donald Trump. President Donald Trump took a policy opposite to Barrack Obama by withdraws the U.S. membership Dati TPP on 23 January 2017, which marked by the Presidential Memorandum. This paper will analyze the factors that became the background of the U.S. withdrawal Dati the membership of TPP in the era of President Donald Trump. Based on the theory of foreign policy decision making Dati Richard C. Snyder, the authors found three factors that become the background of the policy: the conditions of the U.S. domestic politics, the condition of the U.S. economy and the international context.
Indonesia as a developing country started from 2003 to develop their own e-Government to support their governance. Seven years after, there are indications that e-government has not been properly implemented. Indonesian e-Government has faced many problems, including a lack of financing, poor technical skill, lack of human resources and infrastructure, and the political will of the government elite itself. These barriers are the real perceived characteristics of the social, technological, legal and institutional context that hinder e-Government development either through hampering demand by citizens, and business of e-Government services or through obstructing supply of e-Government services by the public sector. This paper will only focus to the issues that become the inhibitor factors of the implementation of e-government in Indonesia, and gives solution rely on the adoption and diffusion approach.
Problem of Food emerged as a Non-Traditional Secuirty (NTS) issue in the aftermath of the Cold War and was identified as one of the seven pillars of human security by the 1994 UNDP Report 'New Dimensions' in Security. Food security as 'the means for all people at all times to have both physical and economic access to basic food' and that food security is an entitlement. When the shortages food supply in a country, it will be an increasing the conflict civil society, so the stability of the state security being disrupted. The availability of adequate food supplies could become the core of social contact in all the country's political system.The food crisis in Venezuela resulted in civil conflict be increased. Venezuela is the world's oil producing countries but due to falling world oil prices, then became distracted State reception system. The political system came along with the economic crisis makes Venezuela in the worst condition.This economic crisis makes Venezuela experienced a food crisis, so many societies suffered famine and looting food even do violence to gain access the food. Finally, the conflict civil society occur due to the food crisis and the stability of the State security becomes disrupted. In this paper using descriptive analysis method that describes the relationship of food security in Venezuela that can be disrupt the stability of State security. In this paper, using the perspective of Food Securitization.This isbased on a change in the subject of security not only on military issues but the extension of the concept security including the threat of food security within a country. Food can be utilized as a political weapon by states and can be characterized as a form and symbol of political power.
The implementation of simultaneous local elections has been carried out since the 2015 elections. The purpose of the simultaneous local elections is to encourage the formation of strong government. This is based on the assumption that voters will elect their representatives in the executive and legislative branches at once. It is expected that this election design will encourage consolidation between the two representative rooms. Strong consolidation will encourage effective governance and policy making processes. This paper would like to provide an evaluation framework for the simultaneous election implementation from the electoral integrity dimension. It is important to consider the aspect of electoral integrity since the regulated procedures need to be connected with substantial justice in the election. The absence of the consideration of this aspect will lead to the problems of political dynasty, money politics, and violence threat in the implementation of election. This paper attempts to create a framework for evaluating simultaneous regional elections by using the concept of electoral integrity. Elaboration is made on the conception of electoral integrity with adjustments to local political problems in Indonesia. The data in this paper are sourced from journals, reports, and analysis related to the evaluation of simultaneous local elections. This paper shows that there are two important elements which need to be included from the global indicator in relation with electoral integrity, namely: the community participation and money politics, in order to review and evaluate the local election. The contribution of this paper is enriching studies related to the evaluation of elections at the local level, where the dominance of studies in local elections is on issues such as money politics, political dynasties, to the neutrality of ASN. Many of these local political problems have not been framed in a single election evaluation frame. This paper attempts to frame the dynamics of local politics with an evaluative framework adapted from the concept of elections with integrity contextualized to the dynamics of local elections.
Interaction in the international system creates cooperation between countries and can also create conflicts when interests between countries clash. There are two approaches used in resolving conflict; associative where countries seek to cooperate with each other; and disassociative involving military force and political separation (Barash & Webel, 2009: 288). One of Indonesia's associative efforts in maintaining its diplomatic relations with Australia is by using ASEAN to form the AANZFTA (ASEAN-Australia-New Zealand Free Trade Area). Apart from geographical proximity, the socio-economic development opportunities for all parties, this cooperation is also a geopolitical strategy for Australian security and provides political legitimacy for ASEAN in the international world. Using a case study method that focuses on the dynamics of the relationship between ASEAN, Australia, and New Zealand, mainly through the AANZFTA, this paper will explain ASEAN, Australia, and New Zealand's reasons and interests as well as strengths and weaknesses in them. Through discussion and analysis results, it can be concluded that international cooperation was formed to build negative peace after the World War. Then over time, non-traditional issues increasingly encourage international cooperation to develop positive peace with moral values and peaceful dispute resolution without violence. Although the impact is the domination of big countries and sacrificing small and developing countries' sovereignty, each country will always prioritize its own interests. This study's results can provide an overview of the diplomatic relations between Indonesia and Australia multilaterally through AANZFTA. At the same time, the bilateral relationship between the two can be reviewed in further research
Global Governance encompasses the world's political activities and the management of issues and phenomena that occurred on a nation-state, involving contributions from regional to the international environment. In the global security sector, there are numerous efforts carried out by a country to counter such external threats that can cause destabilization. Non-proliferation and nuclear developments for peace are such issues of the global defense-security concern. The attempts to control and ensure the use of nuclear has been carried out by enacting international law, resolutions, and multilateral agreements. The Joint Comprehensive Plan of Action (JCPOA) is one kind. Influencing the world's security, politics, and economy, JCPOA began to be disrupted since the U.S. withdrawal as one of the parties that initially signed the agreement. This research aims to analyze The Collapse of Global Governance: When the U.S. Leaves the Joint Comprehensive Plan of Action (JCPOA). This research used a qualitative method with analysis based on secondary data, validated by the triangulation technique in this qualitative study. The analytical procedure uses secondary data from journals, media, and literature related to the Iran nuclear agreement and previous analyses discussing the U.S. exit from the JCPOA agreement. The analysis technique performs by arranging the data sequence, organizing the data into a pattern, category, and basic description. This research has found that Global Governance has fundamental weaknesses in its application. Through an analysis of the U.S. exit from the Iran nuclear agreement, it can be said that the reins of control are in the hands of the U.S. The Trump administration's policy on behalf of the U.S. to leave JCPOA to thwart the achievement of Global Governance and significantly affects the multi-national economic, political, and security order. The implementation of Global Governance and the issues also raised based on the interests of the superpowers. ; Global governance meliputi kegiatan politik dunia dan pengelolaan isu dan fenomena yang terjadi pada suatu negara kebangsaan, yang melibatkan kontribusi dari lingkungan regional hingga internasional. Di bidang keamanan global, banyak upaya yang dilakukan oleh suatu negara untuk melawan ancaman eksternal yang dapat menyebabkan destabilisasi. Non-proliferasi dan perkembangan nuklir untuk perdamaian adalah isu-isu yang menjadi perhatian pertahanan-keamanan global. Upaya pengendalian dan penjaminan penggunaan nuklir dilakukan melalui penetapan hukum internasional, resolusi, dan kesepakatan multilateral. The Joint Comprehensive Plan of Action (JCPOA) adalah salah satunya. Mempengaruhi keamanan, politik, dan ekonomi dunia, keberadaan JCPOA mulai terganggu sejak mundurnya Amerika Serikat (AS) sebagai salah satu pihak yang awalnya menandatangani perjanjian. Tujuan penelitian ini adalah untuk menganalisis Runtuhnya Global Governance: Saat Keluarnya AS dari Joint Comprehensive Plan of Action (JCPOA). Penelitian ini menggunakan metode kualitatif dengan analisis berdasarkan data sekunder, divalidasi dengan teknik triangulasi dalam penelitian kualitatif ini. Prosedur analitis menggunakan data sekunder yang diambil dari jurnal, media, dan literatur terkait perjanjian nuklir Iran dan analisis sebelumnya yang membahas keluarnya AS dari perjanjian JCPOA. Teknik analisis dilakukan dengan menyusun urutan data, mengorganisasikan data ke dalam suatu pola, kategori, dan deskripsi dasar. Penelitian ini menemukan bahwa global governance memiliki kelemahan mendasar dalam penerapannya. Melalui analisis keluarnya AS dari perjanjian nuklir Iran, dapat dikatakan bahwa kendali kendali berada di tangan AS. Kebijakan pemerintahan Trump mengatasnamakan AS keluar dari JCPOA untuk menggagalkan pencapaian global governance dan secara signifikan mempengaruhi tatanan ekonomi, politik, dan keamanan multi-nasional. Implementasi global governance dan permasalahannya juga diangkat berdasarkan kepentingan negara adidaya.
Indonesia has been present and is still able to maintain itself as a democracy icon that should be followed by other countries. As one of the largest democracies in the world, Indonesia in more than ten years is continue growing and transforming with its diversity in society, the dynamics and diversity issues. Indonesia was still able to maintain its identity as a democracy. Through these facts, this paper tried to describe the political situation in Indonesia in the 2014 Presidential Election, as well as reflect further on the response and the effect of foreign parties to the democratic mechanism. What happens in the electoral process in recent months and how Indonesia continues to become an example of the success stories of various identity democracies as diverse as a multicultural country, developing countries, as well as the country with the largest Muslim adherents in the world. This paper sees the problem through the concept of elections and democracy based on the analysis of identity. Where the author tried to look outside the box of the electoral process in the domestic political analysis that has been done before. Probe Indonesia based on its identity in the international sphere as a democratic state becomes interesting when its identity was assessed by comparing it with other identities such as identity and role as a developing country and collective identity as the Southeast Asian country. The papers argue that the election process in Indonesia is not only shaped by domestic factors. Indonesia democratization maturity today can't be separated from the support of international and Indonesian efforts in playing a role and maintain its identity as a democratic country in the international sphere. Keywords: democracy, election, identity
Purpose This study examined the effect of different types of politically connected (PCON) Malaysian firms on analysts' forecast accuracy and dispersion. Design/methodology/approach The study identified different types of PCON firms according to Wong and Hooy's (2018) classification, which divided political connections into government-linked companies (GLCs), boards of directors, business owners and family members of government leaders. The sample covered the period 2007–2016, for which earnings forecast data were obtained from the Institutional Brokers' Estimate System (IBES) database and financial data were extracted from Thomson Reuters Fundamentals. We deleted any market consensus estimates made by less than three analysts and/or firms with less than three years of analyst forecast information to control for the impact of individual analysts' personal attributes. Findings The study found that PCON firms were associated with lower analyst forecast accuracy and higher forecast dispersion. The effect was more salient in GLCs than in other PCON firms, either through families, business ties or boards of directors. Further analyses showed that PCON firms—in particular GLCs—were associated with more aggressive reporting of earnings and poorer quality of accruals, hence providing inadequate information for analysts to produce accurate and less dispersed earnings forecasts. The results were robust even after addressing endogeneity issues. Research limitations/implications This study found new evidence of the impact of different types of PCON firms in exacerbating information asymmetry, which was not addressed in prior studies. Practical implications This study has a significant practical implication for investors that they should be mindful of high information asymmetry in politically connected firms, particularly government-linked companies. Originality/value This is the first study to provide evidence of the impact of different types of PCON firms on analysts' earnings forecasts.
This paper analyses the important of regional investment agreements for promoting international trade in ASEAN countries. To visualize the above idea, this work will explain the roles of regional investment agreements to serve investment, trade facilitation and to protect regional investment interests. It is argued that regional investment agreements can serve as a vehicle for dialogue, coordination on and to response regional issues including regulatory harmonization, infrastructure development, and collaboration among members to facilitate investment. The paper shows how regional agreements will commit to eliminate barriers on substantially trade and investment, create positive welfare gains, the productivity and stimulus to growth in the region. This paper also analyses the effect of the establishment of an ASEAN Economic Community (AEC) by 2015 to the regional investment policies. AEC aiming at transforming ASEAN into a single market and production base with a highly competitive economic region, equitable economic development, free movement of goods, services, investment, skilled labor, and freer flow of capital, will likely accelerate regional integration and cooperation in the investment sectors fully integrated into the international trade. Then, this work demonstrates the implementation of regional investment cooperation into the formal instruments/agreements of investment policy architecture promoting and protecting cross border investment among nationals of ASEAN member states, such as ASEAN Investment Guarantee Agreement (IGA), the ASEAN Investment Area (AIA) and ASEAN Comprehensive Investment Agreement (ACIA). However, it is realized that the ASEAN members may resist and protest against the regional investment agreements because of conflicting their national interest. The paper proposed that the regional inv stment agreements need to be strengthened by harmonization and structural adjustment due to the member's resistance and protest. This idea may spark challenge because each member has fundamental differences on the nature and character of legal and economic systems reflecting different political systems, economic and social cultures in accordance with the philosophy of life values and national interests of each country. To overcome the challenge, this paper argues that ASEAN member countries need to unilaterally and collectively come up with structuring trade and investment policy harmonization to move ahead and reap the benefits from regional investment agreement as a common tool for contesting their interest in international trade. In addition, pre agreed flexibilities to accommodate the interests of all ASEAN countries may eliminate the problem.
The issues of Papua (Both Papua and West Papua Provinces) have been reached by international communities even though the government regulation; Law of the Republic of Indonesia Number 21, Year 2001, concerning Special Autonomy for Papua Province becoming a central issue as a problem solving to make a special treat for people in Papua internally. Whereas, the regulation is expected to make people in Papua develop political, economic, and cultural also resolving the insurgency problems among them. The arrangements of social and political, economy and budget are as a special treatment, only develop economy and infrastructure but it does not solve the conflicts until today. In this case, the Counterinsurgency (COIN) strategic model needs to be implemented following the appropriateness of national policy and the condition in Papua. This research used a content analysis method to reveal the causes of an un-optimal policy in solving the insurgency. Based on the four elements of COIN, only two elements exist; community and state elements. While the international community element and private sectors do not appear on the special autonomy legislation for Papua. As a reason, the COIN model appropriates with the condition of the people that include some elements; government, local community, the non-state, international community, and private sectors. Comparing to the United States of America (USA) model where the community is not included in the COIN element since the community as an object. On the other hand, it is different from China where military and political parties as important elements since the government decisions are supported by military force to solve the insurgency problem. This research found that civil and military cooperation in the model of COIN Papua after special autonomy is reflected by the existence of Local Government Leaders Communication Forum of Papua to face all situations that happened in Papua, both in security and emergency. Active coordination among governors, local legislators, Adat communities (customary), police, and army for COIN strategy needs special coordination to global communities openly that affect opinions on the people and private sector interests in Papua. ; Persoalan Papua (Provinsi Papua dan Papua Barat) telah mengundang komunitas internasional, namun kebijakan Undang-Undang Republik Indonesia Nomor 21 Tahun 2001 Tentang Otonomi Khusus Bagi Provinsi Papua menjadi isu sentral dalam penyelesaian Papua hanya memberi perlakuan khusus terhadap internal masyarakat Papua. Padahal, melalui Undang-undang ini diharapkan dapat memberikan kesempatan kepada masyarakat Papua agar lebih cepat berkembang, baik politik, ekonomi, maupun budaya, disamping itu masalah gerakan insurgency (pemberontakan) juga dapat dituntaskan. Kenyataannya, penataan sosial politik, ekonomi dan anggaran yang bersifat khusus telah diberikan namun hanya mengembangkan perekonomian dan infrastruktur tetapi gerakan untuk memisahkan diri belum berakhir sampai saat ini. Untuk itu perlu suatu model strategi counterinsurgency (COIN) yang tetap sesuai dengan kebijakan nasional dan kondisi masyarakar Papua. Penelitian ini menggunakan metode content analysis untuk mengungkap penyebab kebijakan yang tidak optimal dalam menyelesaikan counterinsurgency. Berdasarkan empat elemen dasar dalam COIN hanya ada dua elemen yang ada, yaitu elemen masyarakat dan negara, sementara elemen komunitas internasional dan sektor privat tidak ditemukan dalam Undang-Undang Otonomi Khusus Papua. Sehingga, model COIN yang sesuai dengan kondisi masyarakat Papua harus memiliki unsur pemerintah, masyarakat lokal, non-state, komunitas internasional, dan sektor privat. Kalau dibandingkan dengan model United States of America (USA) yang memposisikan masyarakat tidak masuk dalam unsur COIN karena masyarakat diletakkan sebagai objek yang menentukan. Beda lagi kalau dibandingkan dengan strategi Cina yang menempatakan militer dan partai politik sebagai elemen penting karena keputusan pemerintah didukung oleh kekuatan militer untuk mengatasi masalah insurgency. Penelitian ini menemukan bahwa kombinasi sipil dan militer dalam model kebijakan COIN Papua Pasca-Otonomi Daerah tercermin dengan adanya Forum Komunikasi Pemimpin Daerah (Forkompimda) Papua dalam menghadapi situasi, baik kondisi aman maupun kondisi darurat. Koordinasikan aktif antara gubernur, legislatif daerah, masyarakat adat, kepolisian, dan militer. Strategi COIN di masa mendatang perlu jalur koordinasi khusus dengan komunitas global secara terbuka yang mempengaruhi opini tentang masyarakat Papua dan kepentingan sektor privat yang cukup kuat di Papua.
