This paper provides evidences on the existence of the Philips curve in an economy.The Philips curve depicted a negative correlation between the rate of inflation and unemployment rate. This dilemma has been a big problem faced by any government. Inflation cannot be eliminated without raising unemployment, at least for some time and moderate unemployment cannot be cut sharply without the risk of raising inflation. It was empirically evidence that this curve exist in the short-run. In the short run, inflation cannot be reduced without creating a recession. In the long run, many research proved that there was not any trade-off between inflation and unemployment. Data from Australia (1980-2015), South Korea (1980-2015) and Indonesia (1995-2015) have been used to provide evidence on the existence of Philips curve in the long run, using regression analysis. The results provide evidences that there were negative correlation between the rate of inflation and unemployment rate.It means that in the long run, the Philips curve do exist in the economy, even though the relationship between them was not statistically significant.

This paper reports an analysis of technical efficiency and returns to scale in the Indonesia economy during 1983-2013 with special attention to the spatial dimension of the economy. The study focused on seven group of islands: Sumatera (10 Provinces), Java (6 Provinces), Kalimantan (4 Provinces), Sulawesi (6 Provinces), Bali-Nusa Tenggara (3 Provinces), and Maluku (2 Provinces) and Papua (2 Provinces). Cobb Douglass production function was employed to calculate technical efficiency and return to scale using regression analysis. Time series data during 1983-2013 on Gross Regional Domestic Bruto, Capital Stock, and Employment were collected from many sources at the National Statistics Agency. The results show that technical efficiency in production varies among regions. Provinces with coefficients of technical efficiency below that at national level exhibited increasing return to scale. Otherwise, the Provinces with coefficients of technical efficiency above that at national level exhibited decreasing return to scale.

This paper discusses the spatial structure of the Indonesian economy using an inter-island input-output model. The model is constructed applying a new hybrid procedure designed specifically for an island economy. The spatial structure is analyzes by presenting spatial mul tipliers and flow-on effects as well as the index of spill-over and feed-back, effects.

This paper examined the impact of technological change on poverty alleviation, with unemployment rate and economic growth as moderating variables, in Indonesia during the period of 10 years (2004-2013). This period was coincided with the two period of Yudhoyono Administration. Technological change was measured by total factor productivity (TFP) growth, unemployment was measured by open unemployment rate, economic growth was measured by the growth of Gross Domestic Product based on the year of 2000 constant price, and poverty alleviation was measured by the percentage of poor people. Impact analysis was conducted using SEM-Path Analysis techniques. Most data were directly gathered from the National Statistics Agency, except data on TFP growth. The results showed that first, technological change,directly, had a not significant positive impact on poverty alleviation (Path-1). Second, technological change, indirectly, had a positive significant impact on poverty alleviation (Path2). Third, technological change, indirectly, had a positive significant impact on poverty alleviation (Path-3). Fourth, technological change, indirectly, had positive significant impact on poverty alleviation (Path-4).

http://repository.uhamka.ac.id/350/

http://repository.uhamka.ac.id/346/

http://repository.uhamka.ac.id/349/

http://repository.uhamka.ac.id/347/

http://repository.uhamka.ac.id/345/

http://repository.uhamka.ac.id/364/