| Summary: | The research objective of this thesis is to describe the role of government in providing
protection in a democracy for the sake of economic prosperity and welfare, protect the traditional
markets of the modern market share dominance of monopolistic practices and unfair
competition, to explore the rules that already exist to optimize the arrangement for controlling
the construction of modern markets so as not to shift the traditional market presence and local
governments to identify compliance with existing regulations on the arrangement of modern and
traditional markets.
The research method used in this study is a normative legal research methods with qualitative
approaches. Qualitative research methods have 4 (four) steps should be taken that the quality/
qualification data obtained from the results of the study, arranged in a systematic study, the
deduction is done using an inductive method that concludes a case with a set of theories,
doctrines and laws legislation leads to general conclusions and answer the problems. Data
collection techniques used in this research is literature study and determination of the location of
this research used purposive sampling method for sampling is based on specific goals.
The Study concluded, the protection of the Government in enforcing the Economic
Democracy: The Government has issued Law No. 5/199 on the Prohibition of Monopolistic
Practices and Unfair Business Competition, President Regulation No. 112/2007 and Minister of
Trade Regulation No. 53/2008 about Structuring and Fostering Traditional Markets of the
Modern Market dominance set forth in Article 50 of Law No.5/1999 letters h and i the article
exemption for Small Businesses and Cooperative. To control the growth of Modern Markets, the
Government has issued President Regulation No. 112/2007 and Minister of Trade Regulation
No.53/2008 on Guidelines for Planning and Development of Traditional Markets, Shopping
Center and Modern Stores. The majority of Local Government is not ready to set strict Modern
Markets in the region, which is evidenced by the absence of rules derived from National
Regulation in the area. Local Governments already have Local Rules as a rule derived for
implementation of Presidential Regulation No.112/2007 and Trade Minister Regulation
No.53/2008 is the Provincial Government of East Java, Surabaya City Government, City
Government Bandung and Denpasar.
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