Recent research
Publication type: Working paper
Title: Pandemic-induced de-urbanisation in Indonesia
Author(s): Peter Warr,Arief Anshory Yusuf
Excerpt:
The COVID-19 pandemic has affected Indonesia severely. It was initially an urban event, but the loss of urban jobs has induced a large urban to rural migration, which we call de-urbanisation. This phenomenon temporarily reversed the long-term process of rural to urban reallocation of labour. In early 2021 the approximate size of this de-urbanisation was known, but not its effects. This paper analyses the general equilibrium consequences of this overlooked feature of the pandemic.
Date of publication: 2021
Publication type: Working paper
Title: Asian economic development: A primer
Author(s): Prema-chandra Athukorala
Excerpt:
During the post-World War 11 era, the process of economic transformation in Asia has been more rapid and extensive than in any other region in the world. With the Asia-wide embrace of market-oriented policy reforms and following the meteoric rise of China and India’s awakening from economic slumber, the twenty-first century has come to be labelled the ‘Asian Century’. The purpose of this paper is to introduce the nonspecialized reader to a selection of published papers that provides a comprehensive picture of economic policymaking and performance of these countries.
Date of publication: 2021
Publication type: Working paper
Title: Labour regulation shift and labour intensive manufacturing
Author(s): Nurina Merdikawati,Sarah Xue Dong
Excerpt:
This paper analyses the relationship between a significant shift to more stringent labour market regulations in Indonesia in the early 2000s and changes in employment patterns in the manufacturing sector. While this regulation shift has been associated with a notable decline in employment in labour intensive production in Indonesian manufacturing in the last two decades, there is little rigorous evidence to support the association.
Date of publication: 2021
Publication type: Working paper
Author(s): Sarah Xue Dong,Dewi Meisari,Banu Rinaldi
Excerpt:
This paper presents the findings of a large scale randomized controlled field trial that informs micro and small businesses about a free and easy to use online registration portal for business registration. We find that in the context of Indonesia, a country with a large informal sector and complicated business registration process, simple online registration can be attractive to micro and small businesses. Sending three rounds of short WhatsApp or text messages resulted in 3.4% of recipients clicking the registration link in the messages.
Date of publication: 2021
Publication type: Working paper
Title: When transparency fails: Financial incentives for local banking agents in Indonesia
Author(s): Erika Deserranno,Gianmarco León-Ciliotta,Firman Witoelar
Excerpt:
We study the effect of raising the level and the transparency of financial incentives offered to local agents for acquiring clients of a new banking product on take-up. We find that paying agents higher incentives increases take-up, but only when the incentives are unknown to prospective clients. When disclosed, higher incentives instead have no effect on take-up, despite greater agent effort. This is explained by the financial incentives conveying a negative signal about the reliability and trustworthiness of the product and its providers to potential
Date of publication: 2021
Publication type: Working paper
Title: Intersectoral linkages and imports of Vietnam: An input-output approach
Author(s): Hai Thanh Nguyen
Excerpt:
This study traces the intersectoral linkages, or the interdependence of industries, in Vietnam’s economy within the period of 2000-2012 using the input-output analysis. The total linkages–computed using Leontief inverse–are generally employed by policymakers in identifying critical industries for policy focus. However, for many countries that heavily dependent on imported inputs like Vietnam, total linkages can give an erroneous result. The paper shows how important are the domestic linkages, which is the inverse net of imports, in analyzing the importance of industries in the economy.
Date of publication: 2021
Publication type: Working paper
Title: ASEAN’s limited regional Integration spells globalisation, not failure
Author(s): Jayant Menon
Excerpt:
In assessing regionalism, it has become customary to look to the European experience to serve as a benchmark against which all other regional integration programs are judged. But ASEAN is different. Compared to Europe, it is outward- rather than inward-looking, market rather than government driven, and institution light rather than heavy. These differences reflect the very different motivations and objectives of the two regional programs. ASEAN’s success lies in its almost unique achievement of using regionalism for globalisation.
Date of publication: 2021
Publication type: Working paper
Title: The effect of labour demand on women’s intra-household decision power: Evidence from Indonesia
Author(s): Sarah Xue Dong
Excerpt:
This study contributes to the literature on household decisions and women’s empowerment by looking at the relationship between labour market opportunities and women’s intra-household decision power in Indonesia. Using Bartik labour demand measures, I estimate the effect of change in local labour demand for women in large and medium manufacturing on women’s intra-household decision power. Household decision power is calculated using direct information on who makes decisions in the household.
Date of publication: 2021
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