IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/95857.html
   My bibliography  Save this paper

Decentralization and Social Capital in Indonesia

Author

Listed:
  • Qibthiyyah, Riatu M.
  • Zen, Fauziah
  • Ledi, Trialdi
  • Dita, Astrid

Abstract

Indonesia has experienced more than 10 years of decentralization. Starting in 2001, and called as “Big Bang” decentralization, various types of decentralization have been occurring. In the time being, the causality between decentralization and economic growth seems to be ambiguous (Fauziah, 2007). On the other hand, social capital is a new approach to explain social relationship within the population in a region. Higher social capital, i.e. stronger trust, and network within the population in a region, is viewed to have positive effects on economic growth (Beugelsdijk & van Schaik, 2005; Chou, 2006). In a nation endowed with diverse characteristics of population and culture, regions across Indonesia may have different social capital strength. Furthermore, it is not yet clear whether decentralization policy translates to strengthening social capital. Here, we investigate the impact of decentralization on regional social capital and evaluate how types of decentralization affect social capital differently.

Suggested Citation

  • Qibthiyyah, Riatu M. & Zen, Fauziah & Ledi, Trialdi & Dita, Astrid, 2011. "Decentralization and Social Capital in Indonesia," MPRA Paper 95857, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:95857
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/95857/1/MPRA_paper_95857.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Jonathan Temple, 2003. "Growth effects of education and social capital in the OECD countries," OECD Economic Studies, OECD Publishing, vol. 2001(2), pages 57-101.
    2. Bjrnskov, Christian, 2009. "Social trust and the growth of schooling," Economics of Education Review, Elsevier, vol. 28(2), pages 249-257, April.
    3. Beugelsdijk, Sjoerd & van Schaik, Ton, 2005. "Social capital and growth in European regions: an empirical test," European Journal of Political Economy, Elsevier, vol. 21(2), pages 301-324, June.
    4. Patrick Francois & Jan Zabojnik, 2005. "Trust, Social Capital, and Economic Development," Journal of the European Economic Association, MIT Press, vol. 3(1), pages 51-94, March.
    5. Dinda, Soumyananda, 2008. "Social capital in the creation of human capital and economic growth: A productive consumption approach," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 37(5), pages 2020-2033, October.
    6. Kennelly, Brendan & O'Shea, Eamon & Garvey, Eoghan, 2003. "Social capital, life expectancy and mortality: a cross-national examination," Social Science & Medicine, Elsevier, vol. 56(12), pages 2367-2377, June.
    7. Stephen Knack & Philip Keefer, 1997. "Does Social Capital Have an Economic Payoff? A Cross-Country Investigation," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 112(4), pages 1251-1288.
    8. Miller, Douglas L. & Scheffler, Richard & Lam, Suong & Rosenberg, Rhonda & Rupp, Agnes, 2006. "Social capital and health in Indonesia," World Development, Elsevier, vol. 34(6), pages 1084-1098, June.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jesús Peiró-Palomino & Lisa Gianmoena & Andrés J. Picazo-Tadeo & Vicente Ríos, 2023. "Does social trust determine social progress? Evidence for the European regions," Working Papers 2305, Department of Applied Economics II, Universidad de Valencia.
    2. Peiró-Palomino, Jesús & Gianmoena, Lisa & Picazo-Tadeo, Andrés J. & Rios, Vicente, 2024. "Social trust and the advanced aspects of social progress. Evidence for the European regions," European Journal of Political Economy, Elsevier, vol. 83(C).
    3. Forte, Anabel & Peiró-Palomino, Jesús & Tortosa-Ausina, Emili, 2015. "Does social capital matter for European regional growth?," European Economic Review, Elsevier, vol. 77(C), pages 47-64.
    4. Jesús Peiró-Palomino, 2016. "Social Capital and Economic Growth in Europe: Nonlinear Trends and Heterogeneous Regional Effects," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 78(5), pages 717-751, October.
    5. Despina Gavresi & Anastasia Litina & George Tsiachtsiras, 2022. "Railways and Roadways to Trust," Discussion Paper Series 2022_08, Department of Economics, University of Macedonia, revised Sep 2022.
    6. Jesús Peiró-Palomino, 2016. "European regional convergence revisited: the role of intangible assets," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 57(1), pages 165-194, July.
    7. Peiró-Palomino, Jesús & Tortosa-Ausina, Emili, 2013. "Can trust effects on development be generalized? A response by quantile," European Journal of Political Economy, Elsevier, vol. 32(C), pages 377-390.
    8. Thompson, Maria, 2018. "Social capital, innovation and economic growth," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 73(C), pages 46-52.
    9. Jesús Peiró-Palomino & Andrés J. Picazo-Tadeo, 2019. "Is Social Capital Green? Cultural Features and Environmental Performance in the European Union," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 72(3), pages 795-822, March.
    10. Mateusz Borkowski, 2023. "Social Capital and Economic Development: PLS-SEM Model," Gospodarka Narodowa. The Polish Journal of Economics, Warsaw School of Economics, issue 2, pages 11-27.
    11. Xindong Xue & W. Robert Reed & Robbie C.M. van Aert, 2022. "Social Capital and Economic Growth: A Meta-Analysis," Working Papers in Economics 22/20, University of Canterbury, Department of Economics and Finance.
    12. Fidrmuc, Jan & Gërxhani, Klarita, 2008. "Mind the gap! Social capital, East and West," Journal of Comparative Economics, Elsevier, vol. 36(2), pages 264-286, June.
    13. Isabel Neira & Emilia Vázquez & Marta Portela, 2009. "An Empirical Analysis of Social Capital and Economic Growth in Europe (1980–2000)," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 92(1), pages 111-129, May.
    14. Yang Yang, 2023. "Hukou Identity and Economic Behaviours: A Social Identity Perspective," Erudite Ph.D Dissertations, Erudite, number ph23-02 edited by Catherine Bros & Julie Lochard.
    15. Dinda, Soumyananda, 2016. "Interrelationships between Social and human Capital, and Economic Growth," MPRA Paper 89646, University Library of Munich, Germany, revised 2017.
    16. Fiorillo Damiano, 2007. "Il capitale sociale nel pensiero di John Maynard Keynes," CESMEP Working Papers 200701, University of Turin.
    17. Kim, Byung-Yeon & Kang, Youngho, 2014. "Social capital and entrepreneurial activity: A pseudo-panel approach," Journal of Economic Behavior & Organization, Elsevier, vol. 97(C), pages 47-60.
    18. Oasis Kodila-Tedika & Julius Agbor, 2016. "Does Trust Matter for Entrepreneurship: Evidence from a Cross-Section of Countries," Economies, MDPI, vol. 4(1), pages 1-17, March.
    19. Dincer, Oguzhan C., 2011. "Trust and schooling in the United States," Economics of Education Review, Elsevier, vol. 30(5), pages 1097-1102, October.
    20. Roberto Antonietti & Ron Boschma, 2021. "Social capital, resilience, and regional diversification in Italy [Social capital, innovation and growth: evidence from Europe]," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 30(3), pages 762-777.

    More about this item

    Keywords

    Social Capital; Fiscal Decentralization; Indonesia Decentralization;
    All these keywords.

    JEL classification:

    • H77 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Intergovernmental Relations; Federalism
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

    Statistics

    Access and download statistics

    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:pra:mprapa:95857. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    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.