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THE IMPACTS OF TECHNOLOGICAL PROGRESS ON HUMAN DEVELOPMENT: EVIDENCE FROM INDONESIA
By Sepeda Lipat | | 0 Comments |
The research reported in this paper aimed to analyse the impacts of technological progress on human development, directly and indirectly, using Indonesian data 2004-2013. This period of investigation coincided with the two periods of Yudhoyono adminstration. Technological progress was mesured by Total Factor Productivity growth (%), Economic growth was measured by GDP growth (%), Poverty reduction was measured by percentage of poor people (%), and Human development was measured by human development index. Except data on total factor productivity growth, all data were collected from National Statistic Agency.A path model analysis was empolyed to examine direct and indirect impacts. There were four paths (Path-1 to Path-4) to be analysed. Four hypothesis had been tested.The results showed that the impact of technological progress on human development varied depend on the path. Firstly, on Path-1, technological progress had direct negative impact on human development. This direct impact was statistically significant. Secondly, on Path-2,technological progress indirectly had negative impact on human development, through poverty reduction. This indirect impact was statistically significant. Thirdly, on Path-3,technological progress had positive impact on human development, through poverty reduction and economic growth. This indirect impact was statistically significant. Finally, on Path-4, technological progress indirectly had positive impact on human development, through economic development.
SPATIAL VARIATIONS IN TECHNICAL EFFICIENCY AND RETURN TO SCALE IN THE INDONESIAN ECONOMY
By Sepeda Lipat | | 0 Comments |
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.
DOES PHILIPS CURVE EXIST? EVIDENCE FROM ALL OVER THE WORLD
By Sepeda Lipat | | 0 Comments |
This paper provides evidences that the Philips curve exists in the world’s 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. Inflation cannot be reduced without creating a recession. Using cross-section data on inflation rate and rate of unemployment from 182countries all over the world: 49 countries in Asia, 52 countries in Africa, 39 countries in Europe and 29 countries in America, this paper proved that there was a negative correlation between the rate of inflation and unemployment rate. It means that the Philipscurve do exists in economy, but the relationship between them was not statistically significant.
ECONOMIC GROWTH, HUMAN DEVELOPMENT AND GLOBAL COMPETITIVENSS
By Sepeda Lipat | | 0 Comments |
This paper analysis direct and indirect impact of economic growth on global competitiveness, with human development as moderator variable. Cross-section data on economic growth, human development and global competitiveness indices were collected from 123 countries and employed in a path analysis model. The results show that economic growth had positive and significant direct impact on global competitiveness. Economic growth had negative and significant direct impact on human development. Meanwhile, human development had positive and significant direct impact on global competitiveness. Indirectly, through moderator variable human development, economic growth had negative and significant impact on global competitiveness. Implications of this finding were that economic growth no longer a single important factor in development indicator for achieving global competitiveness. It is then suggested that human development sustainably be promoted in order to make nations globally competitive.
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