The impact of state restructuring on Indonesia's regional economic convergence

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書誌事項

The impact of state restructuring on Indonesia's regional economic convergence

Adiwan Fahlan Aritenang

ISEAS Publishing, 2016

  • : soft cover

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"ISEAS Yusof Ishak Institute"

Includes bibliographical references (p. [191]-206) and index

内容説明・目次

内容説明

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.

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