Journal of Indonesian Economy and Business
Vol 26, No 2 (2011): May

CONVERGENCE OF GDRP PER CAPITA AND ECONOMIC GROWTH AMONG INDONESIAN PROVINCES, 1988-2008

Gunawan, Diah Setyorini ( Universitas Jenderal Soedirman)



Article Info

Publish Date
28 Feb 2015

Abstract

In this paper, we analyze the condition among province in Indonesia especially about the convergence or divergence in gross domestic regional product. This research usedsecondary data for the 1988-2008 periods. We divide the periods as four episodes, based on the presidential terms. They are 1988-1999, 1999-2001, 2001-2004, and 2004-2008.Entrophy Theil index, coefficients of variation, Kuznets’ hypothesis test, absolute convergence, and conditional convergence were used in this research. This research foundthat the convergence in gross domestic regional product happened in every period of the presidential leadership in Indonesia. We also found that regional economic growth inIndonesia is determined by gross domestic regional product per capita, oil and gas resources, general allocation funds and revenue sharing funds.Keywords: convergence, regional economic growth, gross domestic regional product

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Journal Info

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Publisher

Subject

Economics, Econometrics & Finance

Description

Journal of Indonesian Economy and Business (JIEB) is open access, peer-reviewed journal whose objectives is to publish original research papers related to the Indonesian economy and business issues. This journal is also dedicated to disseminating the published articles freely for international ...