Problems faced by Indonesia how the efforts of the Government to increase the level of welfare, especially through the economic sector. Any polemics about the economic system and economic populist neo-liberalism associated with the concept of the economy by anyone, the important thing is how to balance the state''s role small and large industries or in other words "Whatever the economic system that is used, the most important is the role of the state in balancing the upstream industry and downstream, "said economic observers INDEF, Aviliani.
The role of the state in a liberal economic system, according to Aviliani, can be applied. However, the state must be able to put the interests of small industries and develop the economic potential. "Which one should be protected and what is not, that the state role is needed. For example, as follows:
- The agricultural sector should be subsidized;
- Downstream industrial sector should be developed.
Liberalization policies that run the current government did not entirely share the current administration. Lots of policy letter of intent from the previous government and has not been completed, then the responsibility of the current government.
Weaknesses economic system that is currently applied, dipaparkannya, lies in the very opening of the country provide for market share to contribute. "The role of the country''s most important to determine which should be removed and submitted to the market and what is not," he said.
The current system difficult to work out, he said, just need firmness in some related policy matters that can be submitted to the market or government control. For example, as follows:
- There are still some regulations that need to be studied, such as the Free Foreign Exchange Law No. 24/1999. "Since we adopted the free foreign exchange, the state can not control the turnover of money. Thus, the role of short-term speculators very large, this is what needs to be improved;
- BI Independence Act which makes ownership of banks in the country a lot of foreign-controlled current, including the sale of several state enterprises to foreigners. Such a policy should be reviewed.
Meanwhile, people''s economy based on people''s interests, he said, it could not realistically be done now. The reason this economic system is more inclined applied in socialist countries. Macroeconomic conditions with a large budget deficit can not accommodate it. We still need investors, but this system embraced the concept that the land belonged to the people, and how the division, this is confusing.
Some countries that successfully implement this system can not accommodate even a whole, including Singapore and China. He was there the land was divided up, but the ownership is set, the state which acts to regulate it. What about Indonesia? Are we able to fully implement such as Singapore and China.