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The Impact of State Restructuring on Indonesia's Regional Economic Convergence
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eBook
The Impact of State Restructuring on Indonesia's Regional Economic Convergence
2016
Overview
The creation of ASEAN Free Trade Area (AFTA) in 1992 and decentralization in 1999 mark the state restructuring in Indonesia. This book analyses the impact of state restructuring on regional economic development in Indonesia between 1993 and 2010. Regional economic analysis shows persistent and severe regional disparities throughout the period. Particularly, econometrics study found that decentralization has accelerated regional disparities whilst the AFTA effect is insignificant on regional economic growth.
Furthermore, historical institutionalism analysis on two cities - the manufacturing industry in Batam and the creative economy in Bandung - shows that past and embedded local institutions provide the capacity to adapt and create new development paths. The book suggests the importance of local-specific policies that embrace local knowledge and institutions to develop regional specialization and competitive advantage. This book fills the gap in Indonesian literature that lacks studies on the integrated impact of decentralization and trade liberalization, both economically and politically.
Publisher
ISEAS,ISEAS – Yusof Ishak Institute,ISEAS Publishing,ISEAS - Yusof Ishak Institute
Subject
BUSINESS & ECONOMICS / Development / Economic Development
/ Convergence (Economics)-Indonesia
/ Decentralization in government
/ Decentralization in government-Indonesia
/ Economic development -- Indonesia
/ Indonesia -- Economic conditions -- 1997
/ Structural adjustment (Economic policy)
ISBN
9789814620383, 9814620386, 9789814620376, 9814620378
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