Spatial Distribution of Multipliers in Kalimantan Island Economy: An Inter-Regional Input-Output Analysis

Muchdie Muchdie

Abstract


This paper provides the results of analysis on total multipliers and flow-on, sectoral-specific, and spatial-specific multipliers as important indicators for evaluating, planning and controlling regional development in Kalimantan Island economy. The model employed was Inter-Island Input-Output Model developed using new hybrid procedures with special attention on Island economy. The results show that firstly, the important sectors of Kalimantan Island economy could be based on total multipliers and flow-on effects of output, income and employment. Secondly, important economic sectors could be based on sector-specific multipliers effects; multipliers that occurred in own sector and other sectors. Thirdly, important economic sectors could be based on spatial-specific multipliers; multipliers that occurred both in own region and other regions. Finally, important economic sectors could be based on spatial distribution of flow-on; flow-on effects that occurred in own region as well as in other regions.

DOI: 10.15408/sjie.v6i2.4736


Keywords


spatial distribution; inter-island input-output model; spatial-specific multipliers

References


Ahiakpor, J.C.W. (2000). Hawtrey on the Keynesian Multiplier: A Question of Cognitive Dissonance? History of Political Economy. 32 (4): 889-908.

Beemiller, R.M. (1990). Improving Accuracy by Combining Primary Data with RIMS: Comment on Bourque. International Regional Science Review, 13 (1-2): 99-101.

Coughlin, C. & T.B. Mandelbaum. (1991). A Consumer's Guide to Regional Economic Multipliers. Federal Reserve Bank of St. Louis Review. January/February 1991.19-32.

Grady, P. & R.A. Muller. (1988). On the use and misuse of input-output based impact analysis in evaluation. The Canadian Journal of Program Evaluation. 2 (3): 49-61.

Hall, R. E. (2009). By How Much Does GDP Rise if the Government Buys More Output? NBER Working Paper 15496. National Bureau of Economic Research.

Harris, P. (1997). Limitations on the use of regional economic impact multipliers by practitioners: An application to the tourism industry. The Journal of Tourism Studies. 8(2): 1-12.

Hughes, D.W, (2003). Policy Uses of Economic Multipliers and Impact Analysis. Choices Publication of the American Agricultural Economics Association, Second Quarter.

Hulu, E (1990). Model Input-Output: Teori dan Applikasinya (Input-Output Model: Theory and Its Applications). Jakarta: Pusat Antar Universitas- Universitas Indonesia.

Krugman, P & R. Wells. (2009). Economics. New York: Worth Publisher.

Mankiw, N. G (2008), Macroeconomics. New York: South-Western Publishing.

McConnell, C., S. Brue, & S. Flynn. (2011). Macroeconomics. New York: McGraw-Hill.

Mills, E. C. (1993). The Misuse of Regional Economic Models. Cato Journal, 13(1): 29-39.

Muchdie. (1998). Spatial Structure of Island Economy of Indonesia: An Inter-Regional Input-Output Study. (Unpublished Dissertation). Quensland: the University of Queensland, Australia.

Muchdie. (2011). Spatial Structure of Island Economy of Indonesia: A New Hybrid for Generation Inter-regional Input-Output Tables. Germany: Lambert Academic Publishing.

Muchdie. (2017). GIRIOT revisited, up-dated and evaluated, International Journal of Social Science and Economic Research. 2(02): 2377-2396.

Pindyck, R & Rubinfeld, D (2012). Macroeconomics. London: The Pearson Series in Economics.

Prihawantoro, S., I. Suryawijaya., R. Hutapea., U. Sugarmansyah., Alkadri., W. Rusiawan., & M.Y. Permana. (2013). Peranan Teknologi Dalam Pertumbuhan Koridor-Koridor Ekonomi Indonesia: Pendekatan Total Factor Productivity (The Role of Technology in Economic Growth in Indonesian Economic Corridors: Total Factor Productivity Approach). Jakarta: Badan Pengkajian dan Penerapan Teknologi.

Siegfried, J, R. Allen., A.R. Sanderson., & P. McHenry. (2006). The Economic Impact of Colleges and Universities. Working Paper No. 06-W12.


Full Text: PDF

DOI: 10.15408/sjie.v6i2.4736

Refbacks

  • There are currently no refbacks.