Pub Date : 2022-01-02DOI: 10.1080/00074918.2022.2056935
A. Halimatussadiah, Ryan B. Edwards, F. Moeis, R. Maulia
Domestic and international mobility restrictions helped to reduce the numbers of confirmed Covid-19 cases until the end of 2021. Indonesia entered 2022 with caution, however, as Omicron cases began to rise. Recent success in managing the pandemic has coincided with what might be the start of an economic recovery, in no small part driven by high commodity prices—mainly for coal and palm oil—improving the fiscal and trade balances. The new tax harmonisation law is intended to lower the fiscal deficit to less than 3% of GDP by 2023, and a carbon tax will be implemented in April 2022—starting with a cap-and-tax scheme for coal power plants, before more sectors are included. Agriculture has played a key role in helping Indonesia to weather the pandemic, with the sector’s growth supporting employment and food consumption during the crisis. A resurgence in the palm oil price, together with rising agricultural wages and a narrowing of the labour productivity gap, has helped the agriculture sector lead the recovery, but concerns remain over the sector’s environmental footprint. Against recent food and environmental policy commitments, a renewed focus on increasing on-farm yields is a critical area for policy. We conclude with some reflections on the national palm oil replanting program and how better benefits might be delivered for smallholders and the environment.
{"title":"Agriculture, Development and Sustainability in the Covid-19 Era","authors":"A. Halimatussadiah, Ryan B. Edwards, F. Moeis, R. Maulia","doi":"10.1080/00074918.2022.2056935","DOIUrl":"https://doi.org/10.1080/00074918.2022.2056935","url":null,"abstract":"Domestic and international mobility restrictions helped to reduce the numbers of confirmed Covid-19 cases until the end of 2021. Indonesia entered 2022 with caution, however, as Omicron cases began to rise. Recent success in managing the pandemic has coincided with what might be the start of an economic recovery, in no small part driven by high commodity prices—mainly for coal and palm oil—improving the fiscal and trade balances. The new tax harmonisation law is intended to lower the fiscal deficit to less than 3% of GDP by 2023, and a carbon tax will be implemented in April 2022—starting with a cap-and-tax scheme for coal power plants, before more sectors are included. Agriculture has played a key role in helping Indonesia to weather the pandemic, with the sector’s growth supporting employment and food consumption during the crisis. A resurgence in the palm oil price, together with rising agricultural wages and a narrowing of the labour productivity gap, has helped the agriculture sector lead the recovery, but concerns remain over the sector’s environmental footprint. Against recent food and environmental policy commitments, a renewed focus on increasing on-farm yields is a critical area for policy. We conclude with some reflections on the national palm oil replanting program and how better benefits might be delivered for smallholders and the environment.","PeriodicalId":46063,"journal":{"name":"Bulletin of Indonesian Economic Studies","volume":"58 1","pages":"1 - 30"},"PeriodicalIF":4.1,"publicationDate":"2022-01-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"45018343","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2022-01-02DOI: 10.1080/00074918.2022.2056937
C. Peter Timmer
The abstract lists several features of the research that parallel the Azis approach: This book brings together leading Indonesian and international academics to consider seven key constraints that RNFEs face: labour regulations and practices; infrastruc -ture; credit
{"title":"Periphery and Small Ones Matter: Interplay of Policy and Social Capital","authors":"C. Peter Timmer","doi":"10.1080/00074918.2022.2056937","DOIUrl":"https://doi.org/10.1080/00074918.2022.2056937","url":null,"abstract":"The abstract lists several features of the research that parallel the Azis approach: This book brings together leading Indonesian and international academics to consider seven key constraints that RNFEs face: labour regulations and practices; infrastruc -ture; credit","PeriodicalId":46063,"journal":{"name":"Bulletin of Indonesian Economic Studies","volume":"58 1","pages":"97 - 99"},"PeriodicalIF":4.1,"publicationDate":"2022-01-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"45042888","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"OECD Economic Surveys: Indonesia 2021","authors":"Susan Olivia","doi":"10.1080/00074918.2021.1992831","DOIUrl":"https://doi.org/10.1080/00074918.2021.1992831","url":null,"abstract":"(2021). OECD Economic Surveys: Indonesia 2021. Bulletin of Indonesian Economic Studies: Vol. 57, No. 3, pp. 376-377.","PeriodicalId":46063,"journal":{"name":"Bulletin of Indonesian Economic Studies","volume":"204 ","pages":""},"PeriodicalIF":4.1,"publicationDate":"2021-12-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138505357","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2021-12-13DOI: 10.1080/00074918.2021.2006588
(2021). Index to Volume 57. Bulletin of Indonesian Economic Studies: Vol. 57, No. 3, pp. 379-380.
(2021)。第57卷索引。《印度尼西亚经济研究公报》,第57卷,第3期,第379-380页。
{"title":"Index to Volume 57","authors":"","doi":"10.1080/00074918.2021.2006588","DOIUrl":"https://doi.org/10.1080/00074918.2021.2006588","url":null,"abstract":"(2021). Index to Volume 57. Bulletin of Indonesian Economic Studies: Vol. 57, No. 3, pp. 379-380.","PeriodicalId":46063,"journal":{"name":"Bulletin of Indonesian Economic Studies","volume":"225 ","pages":""},"PeriodicalIF":4.1,"publicationDate":"2021-12-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138505378","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2021-11-17DOI: 10.1080/00074918.2021.1876209
K. Janssen, P. Mulder, M. Yudhistira
We test an adjusted version of the classic monocentric-city model to explain the spatial sorting of rich versus poor people in Jakarta. We find that in Jakarta (1) the urban rich tend to live in the city centre; (2) because of extreme congestion levels, the elasticity between income and the opportunity cost of time spent commuting is higher than the elasticity between income and demand for larger plots of residential land; and (3) the motorbike is the most important and fastest mode of transport for the urban poor. These findings contrast with existing evidence from the United States. Both the logic of the monocentric-city model and empirical evidence suggest that the urban rich in Jakarta tend to cluster in the city centre. However, empirical evidence also suggests that the sorting of the rich and poor in Jakarta—as indicated by spatial variation in income, expenditure and land prices—depends not only on distance from the city centre but also on other neighbourhood characteristics, especially flood risk, crime rates and the proximity of a commercial area.
{"title":"Spatial Sorting of Rich Versus Poor People in Jakarta","authors":"K. Janssen, P. Mulder, M. Yudhistira","doi":"10.1080/00074918.2021.1876209","DOIUrl":"https://doi.org/10.1080/00074918.2021.1876209","url":null,"abstract":"We test an adjusted version of the classic monocentric-city model to explain the spatial sorting of rich versus poor people in Jakarta. We find that in Jakarta (1) the urban rich tend to live in the city centre; (2) because of extreme congestion levels, the elasticity between income and the opportunity cost of time spent commuting is higher than the elasticity between income and demand for larger plots of residential land; and (3) the motorbike is the most important and fastest mode of transport for the urban poor. These findings contrast with existing evidence from the United States. Both the logic of the monocentric-city model and empirical evidence suggest that the urban rich in Jakarta tend to cluster in the city centre. However, empirical evidence also suggests that the sorting of the rich and poor in Jakarta—as indicated by spatial variation in income, expenditure and land prices—depends not only on distance from the city centre but also on other neighbourhood characteristics, especially flood risk, crime rates and the proximity of a commercial area.","PeriodicalId":46063,"journal":{"name":"Bulletin of Indonesian Economic Studies","volume":"58 1","pages":"167 - 194"},"PeriodicalIF":4.1,"publicationDate":"2021-11-17","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"42220115","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Value Chain Approaches in a Stagnant Industry: The Case of Furniture Production in Jepara, Indonesia","authors":"Corinna Clements,Jeffrey Alwang,Ramadhani Achdiawan","doi":"10.1080/00074918.2019.1576855_1","DOIUrl":"https://doi.org/10.1080/00074918.2019.1576855_1","url":null,"abstract":"","PeriodicalId":46063,"journal":{"name":"Bulletin of Indonesian Economic Studies","volume":"211 ","pages":"1-38"},"PeriodicalIF":4.1,"publicationDate":"2021-10-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138505383","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2021-09-02DOI: 10.1080/00074918.2021.2005519
Asep Suryahadi, Ridho Al Izzati, A. Yumna
Covid-19 remained the largest challenge for the Indonesian economy in 2021. In particular, Covid-19 case numbers hit a new high of about 50,000 cases per day in mid-July. In response, the government increased the contact tracing and testing of suspected positive cases, expanded its Covid-19 vaccination drive and introduced stricter mobility and activity restrictions (PPKM Darurat/PPKM Levels 1–4). By the end of October, more than 57% of the target population had received at least one dose of a Covid-19 vaccine. The economy also improved in the first half of 2021. Building on the trough in GDP in the second quarter of 2020, economic growth returned in the second and third quarters of 2021 after contractions in the previous four quarters. Macroeconomic circumstances were also generally favourable, though significant longer-term risks remain. In terms of real wages, however, the recovery tended to benefit the formal sector and well-educated workers, while real wages in the informal sector and for low-educated workers continued to decline. At the same time, the rise in Covid-19 cases and the implementation of stricter mobility and activity restrictions have lowered expectations for economic growth in the second half of 2021. To mitigate the social and economic impact of the pandemic, the government has re-expanded its social protection programs. We find that these programs have mitigated the impact of Covid-19 on the poverty rate by four percentage points, or by about three-quarters—poverty increased to nearly 10%, rather than the 14% that would have been likely without the increased social assistance. The possibility of a K-shaped recovery implies that special social protection programs must continue as the economy recovers from the pandemic, to ensure that the poor and vulnerable are not left behind.
{"title":"The Impact of Covid-19 and Social Protection Programs on Poverty in Indonesia","authors":"Asep Suryahadi, Ridho Al Izzati, A. Yumna","doi":"10.1080/00074918.2021.2005519","DOIUrl":"https://doi.org/10.1080/00074918.2021.2005519","url":null,"abstract":"Covid-19 remained the largest challenge for the Indonesian economy in 2021. In particular, Covid-19 case numbers hit a new high of about 50,000 cases per day in mid-July. In response, the government increased the contact tracing and testing of suspected positive cases, expanded its Covid-19 vaccination drive and introduced stricter mobility and activity restrictions (PPKM Darurat/PPKM Levels 1–4). By the end of October, more than 57% of the target population had received at least one dose of a Covid-19 vaccine. The economy also improved in the first half of 2021. Building on the trough in GDP in the second quarter of 2020, economic growth returned in the second and third quarters of 2021 after contractions in the previous four quarters. Macroeconomic circumstances were also generally favourable, though significant longer-term risks remain. In terms of real wages, however, the recovery tended to benefit the formal sector and well-educated workers, while real wages in the informal sector and for low-educated workers continued to decline. At the same time, the rise in Covid-19 cases and the implementation of stricter mobility and activity restrictions have lowered expectations for economic growth in the second half of 2021. To mitigate the social and economic impact of the pandemic, the government has re-expanded its social protection programs. We find that these programs have mitigated the impact of Covid-19 on the poverty rate by four percentage points, or by about three-quarters—poverty increased to nearly 10%, rather than the 14% that would have been likely without the increased social assistance. The possibility of a K-shaped recovery implies that special social protection programs must continue as the economy recovers from the pandemic, to ensure that the poor and vulnerable are not left behind.","PeriodicalId":46063,"journal":{"name":"Bulletin of Indonesian Economic Studies","volume":"57 1","pages":"267 - 296"},"PeriodicalIF":4.1,"publicationDate":"2021-09-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"47282561","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2021-09-02DOI: 10.1080/00074918.2021.2002387
K. Otsuka
Today agriculture is expected to help countries such as Indonesia to achieve multiple development goals. These goals include not only food security but also higher employment, environmental sustainability, and reduced poverty and malnutrition. Drawing on the literature on agricultural development in Asia, this article proposes four agricultural strategies that could help Indonesia to achieve these goals. First, to efficiently ensure food security, Indonesia should use labour-saving mechanisation and increase the average size of rice farms, in order to reduce wage-related production costs. Second, to ensure environmental sustainability, Indonesia should intensify oil palm production that helps the country meet global demand but also minimise forest loss. Third, to improve health and nutrition, Indonesian agriculture should produce more high-value products such as livestock products and fresh fruit and vegetables. Fourth, to generate more employment opportunities and to reduce poverty, Indonesia should promote rural industrialisation. In proposing these strategies, this article focuses on the agro-industrialisation of the private sector, on public-sector extension for smallholders, and on land rights security for stimulating the production of oil palm. The article finds that major policy change will be needed to achieve efficient, equitable and sustainable growth of agriculture in Indonesia.
{"title":"Strategy for Transforming Indonesian Agriculture","authors":"K. Otsuka","doi":"10.1080/00074918.2021.2002387","DOIUrl":"https://doi.org/10.1080/00074918.2021.2002387","url":null,"abstract":"Today agriculture is expected to help countries such as Indonesia to achieve multiple development goals. These goals include not only food security but also higher employment, environmental sustainability, and reduced poverty and malnutrition. Drawing on the literature on agricultural development in Asia, this article proposes four agricultural strategies that could help Indonesia to achieve these goals. First, to efficiently ensure food security, Indonesia should use labour-saving mechanisation and increase the average size of rice farms, in order to reduce wage-related production costs. Second, to ensure environmental sustainability, Indonesia should intensify oil palm production that helps the country meet global demand but also minimise forest loss. Third, to improve health and nutrition, Indonesian agriculture should produce more high-value products such as livestock products and fresh fruit and vegetables. Fourth, to generate more employment opportunities and to reduce poverty, Indonesia should promote rural industrialisation. In proposing these strategies, this article focuses on the agro-industrialisation of the private sector, on public-sector extension for smallholders, and on land rights security for stimulating the production of oil palm. The article finds that major policy change will be needed to achieve efficient, equitable and sustainable growth of agriculture in Indonesia.","PeriodicalId":46063,"journal":{"name":"Bulletin of Indonesian Economic Studies","volume":"57 1","pages":"321 - 341"},"PeriodicalIF":4.1,"publicationDate":"2021-09-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"43593948","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}