The Effect of Economic Legal Regulations on Poverty and Inequality Reduction

Abstract

Economic legal regulation is a vital instrument that can be used to address issues of poverty and income inequality globally. This study defines economic legal regulation as a set of rules, standards, and policies that influence the behavior of economic actors, with the aim of controlling the fair and sustainable distribution and allocation of economic resources. The study conducted in this research uses the literature research method. The results show that effective regulatory policies contribute to increased wages, reduced exploitation, increased healthy market competition, and a broader and fairer distribution of economic benefits. This finding confirms that well-designed and synergistic regulations have the potential to reduce poverty and narrow the income gap, thus strengthening the argument for a social justice-oriented regulatory economy approach.