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"This paper discusses about Indonesian government policies towards defence industries revitalisation agenda. Indonesian national defence industries consist of many companies. This paper though will only analyse prime contractors industries represented by PT Pindad, PT DI, and PT PAL. Those industries are still suffered from various challenges. To overcome, Indonesian government made several policies. However, those policies have not been sufficient enough to achieve its purpose. Revolution of military and business affairs theory are used as the grand theory of this research. As recommendation this paper emphasis on the need of comprehensive legal framework and forum that involve all related stakeholders. To fulfil these needs, the government should adopt the concept of minimum essential procurement as complement of minimum essential force concept in order to achieve defence self-reliance."

"Some state policies as outlined in the legislation related to the economic system contain weakness, which led the state to have bear a lot of subsidies, while the ability of the state budgets are relatively low. The implications of the weak state economy directly affect the welfare and improvement of budgetary constraints that support for the implementation of national defence system. The limited ability of the military in national defence system influencing the emergence of problems as obstacle to national development."

"The regulation of the RI Ministry of Industry regarding Low Cost Green Car (LCGC) is a reference for the automotive companies that manufacture vehicle segment and it becomes information to stock market participants. The purpose of this study is to determine the differences of the stock market reactions towards the announcement of the aforesaid regulation against the abnormal return and trading volume activities. It uses event study approach by observing the abnormal return and trading volume within 60 days period before and after the announcement of the regulation where PT Astra International Tbk and PT Indomobil Sukses International play as samples. Result indicates that there is no significant difference in the abnormal returns of the two companies. However, there is a significant trading volume activities within determined period."