Empirical studies on the process of monetary policy making in a number of advanced economies have shown that a simple policy reaction function (PRF) performs well in explaining the setting of monetary policy. This paper examines an application of a simple PRF in an attempt to broaden the...

The paper outlines some alternative methodologies for estimating the monetary policy reaction function. It also discusses some of the advantages and disadvantages for each available alternative to be implemented in the case of small developing economies. Additionally, a simple case study using...

In 2005, the Indonesian government implemented a massive fuel price increase. While the benefits of the reform on efficiency grounds have been widely acknowledged, there is still debate about whether the reform was equitable.., That question is answered in this paper using a Computable General...

The main objective of this study is to determine the effects of foreign direct investment on economic growth of twenty-six provinces in Indonesia during 1987-2000 using panel data analysis. Quantitative and qualitative analysis were used in this research. Qualitative analysis describes the...

Indonesia’s national and regional/local policy makers are becoming increasingly concerned with disparities between regions. Aggregate incomes and expenditures in one region may change proportionally more than national changes. This paper contains a technical summary of the structure and...

This paper presents results of the effect of job security regulations in terms of dismissal costs on firms’ employment choice decisions. A measure of job security over the 1998-2003 for manufacturing sector at the ISIC 2 digit level is first constructed to show the extent of the labor market...

Existing literature about poverty and environmental degradation suggests that poverty is the victim of environmental degradation, but could not conclude whether poverty is also the cause of environmental problems. However, most of those studies are empirical i.e. analyze case studies in certain...

The result of an “overlay analysis approach” suggests that Bandung municipality (Kota Bandung) need to re-emphasize the role of service sectors such electricity, gas, water supply, financial sector, and others service sector as engine of economic development. Those sectors are found to be...

This paper discussed the e_ect of recent trend in higher education such as massification, the emergence role of private sector and cost sharing in higher education in Indonesia to the access of low SES group. Some evidence particularly from developing countries is reported to get a bigger...

This paper examines trends in non-farm employment and associated labor market constraints that have hindered the growth of non-farm employment (NFE) since the economic crisis in 1997-98. We observed, among others, apparent negative correlation between employment growth in agriculture and NFE,...