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Economic Inequality, Regional Development, and Internal Migration in Indonesia

Author

Listed:
  • Irfan Teguh Prima

    (Ministry of Finance, Jakarta)

  • Khoirunurrofik

    (Department of Economics, Faculty of Economics and Business, Universitas Indonesia)

Abstract

This study aims to probe the determinants of inter-provincial migration flows in Indonesia and how economic and development changes affect migration patterns. We employ three census periods, 1990, 2000, and 2010. Our study finds that an increase in relative inequality between origin and destination provinces decreases inter-provincial migration and relatively high distance elasticity in Indonesia leads to high migration cost. People are more inclined to migrate due to push factors as opposed to pull factors from the destination region, thus indicating a strong relationship between the level of regional development and the willingness of people to migrate.

Suggested Citation

  • Irfan Teguh Prima & Khoirunurrofik, 2019. "Economic Inequality, Regional Development, and Internal Migration in Indonesia," Economics and Finance in Indonesia, Faculty of Economics and Business, University of Indonesia, vol. 65, pages 53-66, Juni.
    • Handle: RePEc:lpe:efijnl:201904
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    More about this item

    Keywords

    economic inequality; internal migration flows; regional development;
    All these keywords.

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • R52 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Land Use and Other Regulations

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