Akhsyim AFANDİ, Dwi WAHYUNİ, Jaka SRİYANA

5990

Policies to Eliminate Poverty Rate in Indonesia

Policies to Eliminate Poverty Rate in Indonesia

This study aims to analyze the factors that influence the poverty rate in Indonesia in the period of 1981-2013. This research uses Error Correction Model to estimate the empirical poverty model. The findings may be explained as follows: Economic growth does not influence the poverty reduction; meanwhile inflation has a significant positive effect on the poverty level. Foreign direct investment as an indicator of economy openness has a negative impact on the poverty. In addition, Gini ratio as an income equality measurement has no significant influence on the poverty level. These findings show that the poverty level depends on macroeconomic instability especially price level. Higher inflation rate leads to higher rate of poverty in the country. Furthermore, the central government should keep the monetary sector using tight monetary policy to eliminate the poverty level.

Keywords:

Gross Domestic Product, investment inflation, Gini ratio, poverty,

International Journal of Economics and Financial Issues-Cover

Başlangıç: 2011
Yayıncı: İlhan ÖZTÜRK

Arşiv

Sayıdaki Diğer Makaleler

Earnings Surprises, Investor Sentiments and Contrarian Strategies

Liping Zou, Ruishan Chen

The Unemployment Invariant Hypothesis: Heterogeneous Panel Cointegration Evidence from U.S. State Level Data

Mercy Laita PALAMULENİ

Kenya Commercial Banks are Star Performers: Myth or Truth? Exploratory Empirical Evidence from Nairobi Securities Exchange

Patrick Mumo MUİNDE, James Mwangi Karanja

The Asymmetric Effects of Real and Nominal Uncertainty on Inflation and Output Growth: Empirical Evidence from Bangladesh

Said Zamin SHAH, Ahmad Zubaidi BAHARUMSHAH, Muzafar Shah HABİBULLAH, Law Siong HOOK

Econometrical Analysis of the Demand for Entrance Tourism in Kazakhstan

Almas Kuralbayev, Burhan Sevim, Nurjan Abishev

Impact of Microcredit Scheme on the Development of Entrepreneurship Skills among Low Income Households in a Developing Country Context

Halimah Abdul MANAF

Detecting Asset Price Bubbles: A Multifactor Approach

Arbitrage, Covered Interest Parity and Cointegration Analysis on the NTD/USD Forex Market Revisited

Kuo-shing CHEN, Chun-ming CHEN, Chien-chiang LEE

Why Company Should Adopt Integrated Reporting?

Mohammad Enamul Hoque

Macroeconomic Variables and Stock Market Returns: Panel Analysis from Selected ASEAN Countries

Nurasyikin JAMALUDİN, Shahnaz ISMAİL, Syamimi Ab MANAF