The Balancing Efficiency & Justice in the Rationality of Modern Law and Economics

Penulis

  • Anggiat Ris Hardinata N Universitas Borobudur, Jakarta, Indonesia
  • Anthony Rahardjo Universitas Borobudur, Jakarta, Indonesia
  • Kristofer Oscar Universitas Borobudur, Jakarta, Indonesia
  • Badra Fahrizal Universitas Borobudur, Jakarta, Indonesia
  • Faisal Santiago Universitas Borobudur, Jakarta, Indonesia

DOI:

https://doi.org/10.26532/jph.v13i1.48928

Abstrak

The economic approach to law (law and economics) has become a dominant paradigm in modern legal analysis. Through the framework of efficiency, it seeks to explain and evaluate legal rules based on their impact on resource allocation and social welfare. Yet behind this rational ambition lies a fundamental tension between efficiency and justice. This paper explores the historical, philosophical, and normative dimensions of law and economics, focusing on the seminal contributions of Ronald H. Coase, Guido Calabresi, Gary S. Becker, and Richard A. Posner. It argues that the economic approach should not be reduced to market rationality but understood as a form of pragmatic moral rationality, a pursuit of “bounded justice” within a world of scarcity. By integrating efficiency, justice, and legal legitimacy, this study affirms the continuing relevance of law and economics for contemporary legal philosophy, including its adaptation within the Indonesian legal context, positioning efficiency as the means and justice as the end.

Referensi

Behrang Kianzad., Beyond Justice versus Efficiency: Reconciling Law and Economics Approaches to Fairness, Journal of Law and Society 51, No. 2, 2024;

Duncan Kennedy., The Role of Law in Economic Thought: Essays on the Fetishism of Commodities, American University Law Review 34 No. 4, 1985;

D. Widijowati., Economic Analysis of Law and the Pursuit of Social Justice in Developing Legal Systems, Legal Studies Review 15, No. 1, 2023;

Ernest J. Weinrib., Legal Formalism: On the Immanent Rationality of Law, The Yale Law Journal 97, No. 6, 1988;

Fitri Wahyuni., Fiscal Tax Law Perspective in Realizing Justice and Efficiency: Critical Analysis of Applicable Tax Regulations, International Journal of Science and Society 6, No. 1, 2024;

Gary S. Becker., Crime and Punishment: An Economic Approach, Journal of Political Economy 76 No. 2, 1968;

George J. Stigler., The Optimum Enforcement of Laws, University of Chicago, The Journal of Political Economy 78, No. 2, 1970;

Richard A. Musgrave., Efficiency vs. Equity in Public Finance, Princeton University Review of Social Economy 22, No. 1, 1964;

Ronald H. Coase., The Problem of Social Cost. Journal of Law and Economics 3, 1960;

Richard. A. Posner., The Costs of Accidents: A Legal and Economic Analysis by Guido Calabresi, University of Chicago Law Review 37, No. 3, 1970;

William M. Landes., An Economic Analysis of the Courts, University of Chicago, The Journal of Law and Economics XIV, No. 1, 1971;

Books:

Amartya Sen., 1992, Inequality Reexamined, Oxford University Press, Cambridge;

Cass R. Sunstein., 2000, Behavioral Law and Economics, Cambridge University Press, Cambridge;

Ernest J. Weinrib., 1995, The Idea of Private Law, Harvard University Press, London;

______________., 2012, Corrective Justice, Oxford University Press, United Kingdom;

Guido Calabresi., 1970, The Costs of Accidents: A Legal and Economic Analysis, Yale University Press, New Haven and London;

Herbert A. Simon., 1957, Models of Man: Social and Rational, John Wiley & Sons, Inc, New York;

Jimly Asshiddiqie., 2006, Konstitusi dan Konstitusionalisme Indonesia, Sekretariat Jenderal dan Kepaniteraan MK RI, Jakarta;

John Rawls., 1971, A Theory of Justice, Harvard University Press, Cambridge, Massachusetts, London;

Jules Coleman., 1998, Markets, Morals, and the Law, Oxford University Press, Oxford;

Jürgen Habermas., 1996, Between Facts and Norms: Contributions to a Discourse Theory of Law and Democracy, trans. William Rehg, MIT Press, Cambridge, MA;

L. Kaplow & S. Shavell., 2002, Fairness versus Welfare, Harvard University Press, Cambridge, MA;

Ronald Dworkin., 1986, Law’s Empire, Harvard University Press, Cambridge, Massachusetts, London;

Richard A. Posner., 1981, The Economics of Justice, Harvard University Press, Cambridge, Massachusetts, London;

________________., 2009, Law and literature, 3rd Ed., Harvard University Press, Cambridge, Massachusetts, London;

________________., 2014, Economic Analysis of Law, 9th ed., Wolters Kluwer, New York;

Saptomo, Ade., 2012. Hukum, Teori hukum & Filsafat Hukum. Jakarta: FHUP Press;

Unduhan

Diterbitkan

2026-05-18

Terbitan

Vol 13 No 1 (2026): Jurnal pembaharuan Hukum

Bagian

Articles

Lisensi

Authors who publish with this journal agree to the following terms:
    1. Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
    2. Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.
    3. Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See The Effect of Open Access).