IDEAS home Printed from https://ideas.repec.org/a/spr/minecn/v38y2025i1d10.1007_s13563-024-00448-9.html
   My bibliography  Save this article

Vector autoregressive model: to analyze the influence of the agriculture, mining and quarrying sectors on local revenues

Author

Listed:
  • Asnawi

    (Universitas Malikussaleh)

  • Naufal Bachri

    (Universitas Malikussaleh)

  • Muhammad Roni

    (Universitas Malikussaleh)

Abstract

This study examines the influence of the agricultural, mining, and quarrying sectors on local revenues in special autonomous provinces in Indonesia. This study uses time-series data from 1990 to 2021 and is analyzed using the Vector Auto-Regressive (VAR) Model. The results indicate that the agricultural sector did not influence local local revenues. Agricultural land in special autonomous provinces in Indonesia is highly extensive but cannot be managed efficiently. Likewise, the mining and quarrying sector did not affect local revenues. The mining and quarrying sector has high production but is income for the central government and not for regional governments. Apart from that, the agricultural sector influenced the mining and quarrying sector. Likewise, the mining and quarrying sector also influenced the agricultural sector in the special autonomous provinces in Indonesia. However, local revenues are only influenced by elements of local revenues itself, such as regional taxes, regional levies, results from the management of separated regional assets, and other legitimate local revenues. This study has important implications for the implementation of the Aceh Government Law No. 11 of 2006 concerning the distribution of natural resource revenues in Indonesia. Further researchers can then focus on local revenues from Gross Regional Domestic Product (GRDP) as a reflection of local revenues in special autonomous provinces in Indonesia.

Suggested Citation

  • Asnawi & Naufal Bachri & Muhammad Roni, 2025. "Vector autoregressive model: to analyze the influence of the agriculture, mining and quarrying sectors on local revenues," Mineral Economics, Springer;Raw Materials Group (RMG);Luleå University of Technology, vol. 38(1), pages 51-58, March.
    • Handle: RePEc:spr:minecn:v:38:y:2025:i:1:d:10.1007_s13563-024-00448-9
    DOI: 10.1007/s13563-024-00448-9
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s13563-024-00448-9
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s13563-024-00448-9?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:minecn:v:38:y:2025:i:1:d:10.1007_s13563-024-00448-9. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.