Urbanization and Economic Growth in Indonesia : Good News, Bad News, and (Possible) Local Government Mitigation

Time series analysis for Indonesia over the period 1960-2009 suggests that the level of urbanization is positively associated with economic growth but that the rate of change of urbanization is negatively correlated with growth of economic output. A sub-national dynamic panel investigation provid...

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Main Author: Lewis, Blane D.
Format: Journal Article
Language:en_US
Published: Taylor and Francis 2013
Subjects:
Online Access:http://hdl.handle.net/10986/12599
id okr-10986-12599
recordtype oai_dc
spelling okr-10986-125992021-04-23T14:03:06Z Urbanization and Economic Growth in Indonesia : Good News, Bad News, and (Possible) Local Government Mitigation Lewis, Blane D. urbanization economic growth local government vector error correction (VEC) models generalized method of moments (GMM) estimation Time series analysis for Indonesia over the period 1960-2009 suggests that the level of urbanization is positively associated with economic growth but that the rate of change of urbanization is negatively correlated with growth of economic output. A sub-national dynamic panel investigation provides additional evidence of the positive and negative level and rate effects, respectively. The panel analysis also implies that the harmful impact of urban population growth is linked to insufficient local public infrastructure spending. Local governments that invest more heavily in infrastructure are better able to cope with the apparent detrimental effects of rapid urbanization on economic growth. 2013-03-05T22:38:58Z 2013-03-05T22:38:58Z 2013-01-08 Journal Article Regional Studies 0034-3404 10.1080/00343404.2012.748980 http://hdl.handle.net/10986/12599 en_US CC BY-NC-ND 3.0 IGO http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Taylor and Francis Publications & Research :: Journal Article Publications & Research East Asia and Pacific Indonesia
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language en_US
topic urbanization
economic growth
local government
vector error correction (VEC) models
generalized method of moments (GMM) estimation
spellingShingle urbanization
economic growth
local government
vector error correction (VEC) models
generalized method of moments (GMM) estimation
Lewis, Blane D.
Urbanization and Economic Growth in Indonesia : Good News, Bad News, and (Possible) Local Government Mitigation
geographic_facet East Asia and Pacific
Indonesia
description Time series analysis for Indonesia over the period 1960-2009 suggests that the level of urbanization is positively associated with economic growth but that the rate of change of urbanization is negatively correlated with growth of economic output. A sub-national dynamic panel investigation provides additional evidence of the positive and negative level and rate effects, respectively. The panel analysis also implies that the harmful impact of urban population growth is linked to insufficient local public infrastructure spending. Local governments that invest more heavily in infrastructure are better able to cope with the apparent detrimental effects of rapid urbanization on economic growth.
format Journal Article
author Lewis, Blane D.
author_facet Lewis, Blane D.
author_sort Lewis, Blane D.
title Urbanization and Economic Growth in Indonesia : Good News, Bad News, and (Possible) Local Government Mitigation
title_short Urbanization and Economic Growth in Indonesia : Good News, Bad News, and (Possible) Local Government Mitigation
title_full Urbanization and Economic Growth in Indonesia : Good News, Bad News, and (Possible) Local Government Mitigation
title_fullStr Urbanization and Economic Growth in Indonesia : Good News, Bad News, and (Possible) Local Government Mitigation
title_full_unstemmed Urbanization and Economic Growth in Indonesia : Good News, Bad News, and (Possible) Local Government Mitigation
title_sort urbanization and economic growth in indonesia : good news, bad news, and (possible) local government mitigation
publisher Taylor and Francis
publishDate 2013
url http://hdl.handle.net/10986/12599
_version_ 1764422385608425472