Proceedings of the 2nd International Conference on Indonesian Economy and Development (ICIED 2017)

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42 articles
Proceedings Article

Analysis of Indonesian Men's Apparel Exports to Seven Countries in Europe Union

Sri Mulatsih, Putri Rizkia Nufrina
Mens-apparel is a potential export product from Indonesia textile industry. There is a potential increase in this product to European Union (EU). The presence of an exporting country competitor i.e., Vietnam, becomes a challenge for Indonesia to maintain its market position. The aims of this study are...
Proceedings Article

Analyzing the Island Province Policy on Poverty Alleviation in Maluku Province

Yayan Satyakti, Eksa Pamungkas, Irlan Adiatma Rum, Estro Sihaloho, Jacobus D. Rijoly
This paper investigates the effects of island province policy based on Law No. 23 Year 2014 on Regional Autonomy particularly in article No. 27. It is stated that the island province has additional jurisdiction to manage maritime cadastral zone up to 12 miles from the coastline. To measure its influence,...
Proceedings Article

The Implications of Local Government Spending Efficiency on the Regional Economic Performance

Muhammad Heru Akhmadi, Imam Sumardjoko
Fiscal decentralization is an opportunity as well as a challenge for local government to improve the welfare of society through better economic manifestation. Regional economic performance is still a proud note during the implementation of fiscal decentralization. During 2011-2014, economic growth slowed...
Proceedings Article

Global Production Network: Participation and Structural Break

Agus Miftahul Ilmi, Fithra Faisal Hastiadi
International trade for intermediate goods has increased along with the development of the Global Production Network. Contemporary debates are on opportunity to benefit from economic globalization by linking production into global production network. Recent specific studies identify the determinants...
Proceedings Article

The Roles of Grand-parenting in Mothers' Labor Participation in Indonesia

Umar Riyadi, Omas Bulan Samosir
This study is aimed to investigate the effects of grand-parenting on mother's work participation. The data used came from SUPAS 2015 and were analyzed using a multinomial logistic regression. The unit of analyses is women aged 15-54 years who are in union, live with their husbands or spouses and have...
Proceedings Article

Risk Mitigation of Moral Hazard on Mudharabah Financing (Case Study : An Islamic Bank)

Sufyati HS, Oktaviani Yeni
Literatures on Islamic economics and islamic banking reveal that profit and loss sharing become the most important financing in the financial system, but islamic banking practice is highly dependent on mark-up financing with murabaha financing. Islamic banks avoid financing for the results especially...
Proceedings Article

Multi Criteria Decision Making In The Selection Of Renewable Energy Power Plants In Indonesia

Zainul M.Pulungan, Yos Sunitiyoso
The long-term strategy of Indonesia's energy resources mix policy for renewable energy supply is targeted to achieve 23 % in 2025. This is due to the increase of population growth and the growing demands of electricity consumption which is estimated to be around 2,500 kwh /capita in 2025. Unfortunately,...
Proceedings Article

Patent Rights Protection System and Foreign Direct Investment (FDI) in Developing Countries

Manda Pratomo, Fithra Faisal Hastiadi
This research is aimed to analyze the effects of the Patent Right Protection (PRP) System in 19 developing countries on the FDI inflow of innovative countries as the home countries (United States, Japan and Germany) in the period where the enforcement of TRIPS Agreement has been put into effect for developing...
Proceedings Article

Pricing to Market Behaviour and The Impacts on Export Prices of Indonesian Industrial Products

Pratiwi D. Chondro, Telisa A. Falianty
In this paper, the pricing behavior of Indonesian Industrial Product Exporters was studied by estimating the degree of Exchange Rate Pass Through (ERPT) of Industrial Export Product Price (at the 4-digit level of Harmonized System classification) towards two Indonesian major trading partners in facing...
Proceedings Article

Strengthening the Roles of Sustainable Maritime Economy in East Java, Indonesia

Wisnu Winardi, Muhamad Karim, Asep Saefuddin
East Java is one of the strategic areas in strengthening the maritime economy in Indonesia. This study aims to (1) observe the roles of the maritime sector on the economic development in East Java, Indonesia; especially in the period of 2010-2015, and (2) to analyze the government's efforts in regulating...
Proceedings Article

The Analysis of The Export Tax Imposition on Indonesian Cocoa Beans: Impacts on Indonesia and Malaysia Cocoa Processing Export Performance

Hendy Yudyanto, Fithra Faisal Hastiadi
The purpose of this research is to observe the effects of the export tax tariff imposition on Indonesian cocoa beans against the export of processed cocoa products from Indonesia and Malaysia in the long-term. Research variables used are the export volume of processed cocoa products in Indonesia and...
Proceedings Article

The Effects of Children's Age on the Non-employment Duration of Married Women In Indonesia

Dewi Rochani
Researches in developed countries, especially in western countries, explained the dynamics of women labor supply during life cycle indicated by exit and re-entry in the workforce. The participation rate of female labor force to return to employment is lower when women are in the early years of childbirth...
Proceedings Article

The Effects of Internet Access on Contraceptive Use in Indonesia (Intercensal Population Survey Data Analysis of 2015)

Ihsan Nulhakim, Omas Bulan Samosir
The success of family planning program is one of the factors contributing to the decline of fertility rate in Indonesia. Although the prevalence of contraception in Indonesia continues to increase, its growth from year to year continues to decline. Internet is a potential ICT media that can be used to...
Proceedings Article

The Effects of Social Capital on Fertility in Indonesia Path Analysis of Susenas 2014

Lidya Sri yeni, Omas Bulan Samosir
This research aims to study the direct and indirect effects of social capital forming sub-dimensions on fertility seen from number of children ever born (CEB) through the practice of family planning by applying path analysis with generalized structural equation modeling (GSEM) method. The formation of...
Proceedings Article

The Effects of Earning Management and Financial Performance on the Quality of Islamic Banking Social Responsibility Report

Dina Andyani Pertiwi, Evony Silvino Violita
This research aims to show empirical evidence on the association of earning management and financial performance on the Islamic social responsibility of Islamic banks in Indonesia. Firstly, This research examines the indications of the practice of earning management in Islamic banks which is discouraged...
Proceedings Article

The Influence of Housing Attributes on Housing Price in East Surabaya

Kresno Eka Mukti
The emerging middle class in Indonesia at the moment have some potentials to be the largest consumers in housing sector which is middle class housing. The phenomenon happens in East Surabaya, even further after the opening access of Middle East Ring Road (MERR). Before buying a house, households make...
Proceedings Article

The Middle Class is Us: Measuring Indonesian Middle Class

Ketut Krisna, Turro S. Wongkaren
This research has two main objectives, which are: (1) to test the appropriateness of existing measurements in identifying class status and (2) to identify Indonesian middle class using a new approach that combines economic and noneconomic measures. The results show that the size of middle class that...
Proceedings Article

Trade Creation and Trade Diversion Effects of the ASEAN-China FTA, ASEAN-Korea FTA, and ASEAN-India FTA Implementation on the export of Indonesia's Food and Beverages Industry Products

Wahyudi Setia Darma, Fithra Faisal Hastiadi
This research is aimed to analyze the effects of trade creation and trade diversion which occured on the establishment of such cooperation for the export of Indonesian food & beverage industry products with trading partners either with its members or non-members cooperation. This research was conducted...
Proceedings Article

Assessing the Roles of Mosques in Enhancing the Islamic Economic Practices

Mochammad Arif Budiman, Manik Mutiara Sadewa
A mosque is a sacred place in Islam that has a central role for the community. It is argued that the mosque can potentially provide necessary supports to enhance the Islamic economic practices. Therefore, this study explores to what extent mosques in Banjarmasin, Indonesia, play their roles in enhancing...
Proceedings Article

When Officials Don't Know What They Don't Know: Dunning-Kruger Effect in the Case of Green Budgeting for Local Government

Alvin Ulido Lumbanraja
This paper extends the key findings of Kruger and Dunning (1999) showing that people who are unskilled in a given domain tend to be unaware of their lack of skills; to government circle that is supposed to be filled by professionals. This paper compares individual government officials' self-assessment...
Proceedings Article

The Impacts of Permendag NO. 21/M-DAG/PER/10/2005 on the Structure, Conduct, and Performance of Motorcycle Industry in Indonesia

Aleknaek Martua Nababan, Ashintya Damayanti
This research analyzes the responses of firms to the oligopoly motorcycle industry after Permendag No.21/M-DAG /PER/10/2005 (Permendag No.21 / 2005 in 2005) on structure, conduct, and performance. Price cost margin ratio represents as performance; advertising and R&D expenditure ratio as conduct; and...
Proceedings Article

The Analysis of Target Achievement in Bank Indonesia 2015 Regulation on Lending for Micro, Small and Medium Enterprises

Kenny Putri Lisa, Dewi Ratna Sjari Martokoesoemo
Micro, Small and Medium Enterprises (MSME) are important sectors in the economy, especially for developing countries. One of the biggest obstacles towards developing the sector is related to financing. Bank Indonesia has launched the regulation called Bank Indonesia's Policy/Peraturan Bank Indonesia...
Proceedings Article

Carbon Emissions, Energy Consumptions, and Production Activity: Now and Future

Dwiputra Ahmad Ramdani, Gisty Ajeng Septami
Most of the countries in the world, including Indonesia, have agreed to take action of keeping global warming below 2§ Celsius in this century, as ratified in the Paris Agreement. Indonesia is committed to reduce their greenhouse gasses (GHG) emissions by 29% in 2030 without any international support....
Proceedings Article

Solar and Biomass Gasification: A Solution to Boost Shrimp Farming Businesses

Dwiputra Ahmad Ramdani, Maesha Gusti Rianta
Electricity is a primary need in everyday life which can also boost regional economic growth. Tulang Bawang regency, located in Lampung Province, is one of the region in Indonesia in which its economy is heavily depended on electricity. Electricity is utilized to support operational activities of their...
Proceedings Article

Inequality and Poverty Alleviation: Globalization, Access, and Gender

Ade Marsinta Arsani
The high economic growth in Indonesia has not been followed by economic equality. The economic inequality is usually in line with poverty. In developing countries, economic inequality and poverty are not only the economic problems but also social problems. Globalization, the lack of access to public...
Proceedings Article

The Effects of Siblings Composition on the Children's Intellectual Performance in Indonesia

Gisty Ajeng Septami, I Dewa Gede karma Wisana
Number of children and the perfect time to raise children is one of paramount decisions that a household encounters. This rationale appeared since parents recently realized that the number of children they have, the birth order and/or a certain birth-interval between children does matter in influencing...
Proceedings Article

Regulations on Supporting the Business Zakat Implementation in Indonesia

Mr. Andriani, Mr. Mairijani
Zakat as the third pillar in Islam plays an important role in reducing poverty. Zakat is obliged in order to distribute wealth from the rich to the poor. As a result, prosperity will be generated for every citizen in a country. Many types of zakat are introduced in Islam e.g, zakat fitrah and zakat maal...
Proceedings Article

Demand of Using Sharing-Based Transportation Services in Indonesia: Does Socio-Religious Preference Matter?

Dea Larasati, Kasri Rahmatina Awaliah
Sharing economy is an emerging economic platform believed to bring a major change due to its potential to resolve market inefficiency issues. The concept is presumably related to the Islamic microeconomic concepts, particularly huquq (multi interest) and maslahah (greatest benefit). Therefore, the study...
Proceedings Article

The Behaviour and Welfare of Sharing-Based Transportation Workers Case Study of Go-Jek and Grab Drivers in Jakarta

Akka Cendana Putri, Kasri Rahmatina Awaliah
Although sharing economy is believed to lead to various impacts, few studies attempted to analyse the welfare impact of sharing-based services particularly in the context of emerging economies. This study, therefore, aims to investigate the impacts of sharing-based transportation services in Indonesia...
Proceedings Article

Determinants of Mispricing on Indonesian Sovereign Sukuk Auction

Ristiyanti Hayu Pertiwi, Tika Arundina
Common Value Theory points out the situation in financial instrument auction where investors tend to bid a lower price than the actual value and it results in an underpricing of financial instrument. The underpricing, further, may hamper the market as it leads to revenue loss for the company. As the...
Proceedings Article

Applying Islamic Economics in order to Improve Prosperity in Indonesia

Fauziah Zen, Irfan Setiadi
The evaluation of government programs in order to reduce poverty and reach equal distribution of income is considered to be running quite slowly. This is indicated by the percentage of poor people that only decreased less than 1% a year since 2010; even the percentage of poor people increased in September...
Proceedings Article

The Impacts of Multinational Companies on the Manufacturing Wage Inequality:Evidence from Indonesia

Detri Fitria Hasyar, Andi Fahmi Lubis
Inward Foreign Direct Investment (FDI) is generally believed to have a positive effect on the host country's economy. However, several studies have documented that FDI by multinational companies (MNCs) may also relate to rising wage inequality issue. Assuming that MNCs are playing an important role in...
Proceedings Article

The Effects of Chronic Conditions and Elderly Background on the Development of Elderly Mobility Function

Nur Hadianta Tri Widada, Sri Moertiningsih Adioetomo, Qisha Quarina
This study aims to analyze the influence of chronic conditions and chronic diseases on elderly mobility function in Indonesia using the panel data of IFLS 3, IFLS 4, and IFLS 5. The sample is a balanced panel of elderly aged 60 and above in IFLS 5, who have completed retrospective information and can...
Proceedings Article

The Impact Analysis of Normalized Revealed Comparative Advantage on ASEAN's Non-Oil and Gas Export Pattern

Umar Fakhrudin, Fithra Faisal Hastiadi
The development of global economic challenges has forced ASEAN countries to further deepen its economic integration within the ASEAN Economic Cooperation (AEC) and to incorporate several ASEAN Plus agreements into Regional Comprehensive Economic Partnership (RCEP). Under this circumstance, the ASEAN...
Proceedings Article

Indonesia - The Trans Pacific Partnership Trade Potential

Juwita Puteri Nuraisyah
This study investigates Indonesia's trade potential with the TPP economies. Covering 23 years (1992-2014) unbalanced panel data, this paper utilizes a gravity model where the trade potential is calculated from the estimated equation using the ratio of predicted and actual trade (P/A), and the speed of...
Proceedings Article

Export Premia in The Palm Oil Industry Sector in Indonesia

Mohamad Fauzan, Fithra Faisal Hastiadi
Among the advantages of international trade is export premia, in which the exporters have the advantages of productivity compared to non-exporter. Export premia can be analyzed through two hypotheses: self-selection hypothesis and learning-by-exporting hypothesis. The first hypothesis states that high...
Proceedings Article

The Impacts of Harmonization of Technical Barriers to Trade (TBT) in ASEAN on the Productivity Growth of Indonesia's Electronics Firms

Fitria Rachmawati, Andi Fahmi Lubis
The openness in Free Trade era changes the policy of international trade. Along with the tariff reduction, the use of Technical Barriers to Trade (TBT) increases and is considered as a trade barrier. Assuming that the implementation of TBT harmonization policy has made ASEAN market more integrated, this...
Proceedings Article

UNITED WE STAND: The Role of Social Capital in Disaster Recovery in Indonesia

Wahyu Stiawan
This research investigated how social capital took parts in the process of disaster recovery in Indonesia using two outcome proxies i.e. the days that the victims spent in the temporary housing and the housing reconstruction that households built. The study is referred to previous studies capturing the...
Proceedings Article

The Impacts of Rice Price Subsidy on Nutrition Intake of The Poor: A Case of RASKIN Program in Indonesia

Wenny Kustianingrum, Taku Terawaki
This study examined the impacts of RASKIN Program in Indonesia for the intakes of total calories and three macronutrients of poor households. The impacts are classified into two: poor households who consume rice up to 15 kilograms in a month and more than 15 kilograms a month. Due to the indication of...
Proceedings Article

Children's Education Attainment: The Effects of Mothers' Go Working on the Children's Golden Age Period

Andie Sadhuputri, Arie Damayanti
Using the household production function approach, mother's employment during the golden age period may entail a negative time effect and a positive income effect on the child's quality, of which the net effect is ambiguous and thus may become a source of dilemma for the family. Empirical studies on this...
Proceedings Article

Identifying Gross Spread Pattern In Indonesian Initial Public Offering Market

Nur Aida Arifah Tara, Nada Kulendran, Riccardo Natoli
Underpricing, which is considered as the implicit cost of going public, is not the only cost faced by issuers. Another cost of going public is gross spread or underwriting discounts (i.e., explicit cost). This paper examines the gross spread in the Indonesian IPO market over the period of 2007 to 2016....
Proceedings Article

Why The Indonesian Elderly Move?

Yeni Rachmawati
The study of residential change in later life has become important issues in aging problems during recent years in Indonesia. Many studies indicate that Elders tend to stay than move; hence this is an interesting issue to identify why they move at later life, and what factors determining their movements....