high Cost Economy in Indonesia Chief Economic Minister Hatta Rajasa said that the government had continued

to reduce various barriersthat create high economic costs. The government had consistently taken steps on reducing high economiccosts such as in the construction of infrastructures like toll roads, expansion of seaports and building dry ports. Besides that, the government also continued to reduce bureaucratic constraints, regulations thatdiscouraged investment and fighting against illegal levies. Earlier, a number of businessmen complainedof high production costs. They considered that there were still a lot of home works the government had toaccomplish. President Susilo Bambang Yudhoyono had previously stressed the importance of reducinghigh costof economy(http://en.voi.co.id/voi-news/2733-indonesian-govt-continues-to-reduce-high-costeconomy. Manpower and Transmigration Minister Muhaimin Iskandar asked the local government tosuppress and eliminate the high cost economy practices in their respective regions. One of theefforts to raise the wages of the worker / laborer is to suppress and eliminate the causes of thehigh cost burden on business in Indonesia. " for the cost of an expensive venture into economic barriers that create difficulties entrepreneurs develop their business and increase the wages of workers significantly. We continue to encourage local governments to improve the climate of employment in theregion, by eliminating the practices of extortion. Simplify licensing convoluted and unclear charges that had been burdening other entrepreneurs. Business in Indonesia can raise workers'wages when a decline. In the cost of production, the emphasis (high cost economy), improvementof infrastructure and processes are easy and inexpensive. Kemnakertrans Party has issued the Minister of Manpower and Transmigration

of Indonesia No.13 of 2012 on Components and Implementation Phases Living Needs Achievement is arefinement Regulation of the Minister of Manpower and Transmigration No.17/MEN/VII1/2005.Dalam perfecting new Permenakertrans the original number of species need46 types of components turned into 60 types KHL KHL component. In addition there are 8 typesof adjustment / addition of quality and quantity of the KHL and 1 change type needs. The government continues to try to find a system of remuneration that berasaskan justice, well- being in accordance with the growth and development of the Indonesian economy. But certainlythe workers should be paid a decent wage and welfare, so that the process of industrial production continued to increase and to boost up the economy of the country, with suppressedhigh cost economy, wages will rise, increasing labor productivity and worker well-being can beachieved. " is ultimately the competitiveness of industries in Indonesia will increase and attractinvestors to expand employment opportunities that people need,"(http://www.antaranews.com/berita/341244/muhaimin-tekan-high-cost-economy-agarupah- pekerja-naik).

REFERENSI http://www.scribd.com/doc/136849125/High-Cost-Economy-in-Indonesia