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Technology and Convergence in Indonesia

Author

Listed:
  • Yusuf Wibisono

    (Lecturer, Faculty of Economics University of Indonesia (FEUI))

Abstract

Almost three decades after the pioneering work of Esmara (1975), technology has not yet received enough attention as a determinant of regional disparities in Indonesia. This paper views technological transfer as the main driver of convergence in regional income. As suggested by the old and new growth theory, we found that technology plays a significant role in explaining cross-province differences in growth rates. We also found that government policies have a significant influence in promoting technological diffusion among the regions, and hence on rapid and sustainable regional economic growth.

Suggested Citation

  • Yusuf Wibisono, 2005. "Technology and Convergence in Indonesia," Economics and Finance in Indonesia, Faculty of Economics and Business, University of Indonesia, vol. 53, pages 215-236, August.
    • Handle: RePEc:lpe:efijnl:200509
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    File URL: http://www.lpem.org/repec/lpe/efijnl/200509.pdf
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    Citations

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    Cited by:

    1. Rudi Purwono (a) and Mohammad Zeqi Yasin (b), 2020. "Does Efficiency Convergence of Economy Promote Total Factor Productivity? A Case of Indonesia," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 45(4), pages 69-91, December.

    More about this item

    Keywords

    Technological Transfer-Total Factor Productivity-Income Convergence-Regional Economic Growth-Indonesia;

    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • E13 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Neoclassical
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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