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Employment Creation and Manufactured Exports in Indonesia, 1980-90

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  • Natsuki Fujita
  • William James

Abstract

One of the most significant effects of the trade and regulatory policy reforms introduced in Indonesia since the mid 1980s has been the growth of manufactured exports, particularly labour-intensive manufactures. The growth of these sectors' exports has in turn generated substantial employment benefits, both directly and through backward linkages. In this paper we estimate the employment effects of the rapid growth in manufactured exports between 1980 and 1990, and compare two subperiods, 1980-85 and 1985-90. In the latter period, employment created by exports of light industries increased dramatically in absolute terms, far exceeding employment created by primary exports.

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  • Natsuki Fujita & William James, 1997. "Employment Creation and Manufactured Exports in Indonesia, 1980-90," Bulletin of Indonesian Economic Studies, Taylor & Francis Journals, vol. 33(1), pages 103-115.
    • Handle: RePEc:taf:bindes:v:33:y:1997:i:1:p:103-115
    DOI: 10.1080/00074919712331337085
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    References listed on IDEAS

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    1. Hill, Hal, 1996. "Indonesia's Industrial Policy and Performance: "Orthodoxy" Vindicated," Economic Development and Cultural Change, University of Chicago Press, vol. 45(1), pages 147-174, October.
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    2. Yu-Chen Yang & Cheng-Yih Hong & Syamsiyatul Muzayyanah & Rishan Adha, 2020. "Decomposition of Growth Factors in High-tech Industries and CO2 Emissions: After the World Financial Crisis in 2008," International Journal of Energy Economics and Policy, Econjournals, vol. 10(4), pages 500-506.
    3. Miguel Angel Esquivias & Lilik Sugiharti & Rossanto Dwi Handoyo & Muryani Muryani, 2023. "Small and medium enterprises and low-income workers in the global value chain: evidence from Indonesia," International Journal of Business and Globalisation, Inderscience Enterprises Ltd, vol. 34(3), pages 294-317.
    4. Haryo Aswicahyono & Chris Manning, 2011. "Exports and Job Creation in Indonesia Before and After the Asian Financial Crisis," Departmental Working Papers 2011-11, The Australian National University, Arndt-Corden Department of Economics.
    5. Cheng-Yih Hong & Yi-Chain Lee & Ming-Che Tsai & Yi-Chi Tsai, 2018. "Agricultural Sector Input Technical Coefficients, Demand Changes and CO2 Emissions after the Financial Crisis: Environmental Input-Output Growth Factor Model Approach," International Journal of Energy Economics and Policy, Econjournals, vol. 8(6), pages 339-345.
    6. Kyunghoon Kim & Arriya Mungsunti & Andy Sumner & Arief Anshory Yusuf, 2020. "Structural transformation and inclusive growth: Kuznets' 'developer's dilemma' in Indonesia," WIDER Working Paper Series wp-2020-31, World Institute for Development Economic Research (UNU-WIDER).

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