ASEAN ECONOMY COMMUNITY(AEC) INDONESIAN POLITIC OF TRADE IN CONTENDING WITH THE SIMPLE MARKET BASED PRODUCTION

Abstract

ABSTRACT ASEAN as a single market-based production is supported by elements of the free flow of goods, services, investment, labor educated and freer flow of capital, there are at least three important impacts the formation of a single market based production within ASEAN,: the first goods Indonesian production will be fully compete with goods production 10 ASEAN countries, then the quality of the existing as well as higher taxes and fees (legal and illegal) will make Indonesia will be difficult to compete. Both free movement of labor will give a tremendous impact for Indonesia. The third, investment will be increasingly severe competition with respect to the principle of free movement of capital. So that trade policy is needed in the face of the single market. By using the analytical perspective of liberalism will try to build a scientific argument on the issue. Keywords: liberalization, single market, Asean Economy Community, Indonesia.