THE DYNAMICS OF ECONOMIC GROWTH IN UNDERDEVELOPED REGIONS: A CASE STUDY IN INDONESIA

This study aims to determine the response of regional economic growth to the financial performance of regional economies in regard to the liquidity conditions, saving-investment gaps, trade openness, inflation, as well as the national economic growth. The basic logic theory of research uses the principles of open economics and financial intermediary systems. The data used in this study are secondary data, and the form of data is a quarterly time series for the period from 2008 to 2019. The data were obtained from various publications, such as the Central Statistics Agency (CSA), Regional Financial Economics Statistics (RFES), Indonesian Banking Statistics (IBS), and the Financial Services Authority (FSA). Data processing was done through VAR/VECM analysis; short-term and long-term equilibrium analyses were carried out. The results of the analysis illustrate that regional economic growth and the conditions of liquidity, saving-investment gaps, trade openness, inflation, and national economic growth are related and lead to significant impact variations in the provinces of Papua and West Papua. In conclusion, the findings of this research support the leading supply hypothesis and reformulate the strategy and policy of economic development, bearing in mind that there are still many underdeveloped districts in these two provinces.

1.  UEU-Journal-20624-11_1620.pdf - 755 KB

1. The Journal of Asian Finance, Economics and Business
   http://koreascience.or.kr/article/JAKO202109554061473.page

• THE INFLUENCE OF FINANCIAL STATEMENT AND QUALITY OF AUDITOR AS AGAINST AUDITOR�S OPINION IN PUBLIC COMPANIES FOR AUDIT PERIOD YEAR 1 AUGUST 2010-31 JANUARY 2012 (STUDY OF LISTED COMPANIES UNDER LQ 45 OF BURSA EFEK INDONESIA (BEI)
• PENGARUH FINANCIAL LAVERAGE, ROA, EPS, PER, AGE, UNDERWRITER TERHADAP INITIAL RETURN PADA SAHAM PERDANA DI BURSA EFEK JAKARTA
• PENGARUH FINANCIAL DISTRESS, DISCLOSURE, PERKARA PENGADILAN DAN OPINI AUDIT TAHUN SEBELUMNYA TERHADAP PENERIMAAN OPINI AUDIT GOING CONCERN (STUDI PADA PERUSAHAAN MANUFAKTUR DI BEI PERIODE 2011-2013)
• PENGARUH KEBIJAKAN FINANCIAL LEVERAGE DAN KEBIJAKAN DEVIDEN TERHADAP NILAI PERUSAHAAN PADA PERUSAHAAN PERTAMBANGAN YANG TERDAFTAR DI BURSA EFEK INDONESIA (BEI)
• FINANCIAL ANALYSIS OF PT.ASTRA INTERNATIONAL Tbk.
• Z-FACTOR FORMULA : A COMPARATIVE ANALYSIS ON PT.ASIANA MULTIKREASI TBK.S FINANCIAL PERFORMANCE FROM 1993 UNTIL 1997
• COMPARATIVE ANALYSIS ON FINANCIAL PERFORMANCE PT.ANEKA TAMBANG (PERSERO) PRE AND POST GO PUBLIC PERIOD
• UNCOVERING FINANCIAL SURPRISES A CASE STUDY ON PT SEMPATI AIR
• THE INFLUENCE OF COST FINANCIAL CHARGE METHOD IN SELECTING THE PLASTIC MONEY
• STRATEGIC ALTERNATIVE AND THE FINANCIAL ANALYSIS OF PT.ALUMINDO PERKASA