Econometric modelling of indonesian lumber and plywood products industry: a policy simulation analysis

Anton Abdulbasah Kamil

Prague Economic Papers, 1998, vol. 1998, issue 4

Abstract: This study focuses on the Indonesian lumber and plywood products industry and evaluates the impacts of relevant policy alternatives on the domestic economy. An econometric model was outlined which consists of nine behavioral equations, two price linkage equations, two technical production equations and tour market identities to close the system. In the corresponding simultaneous equations, we shell use the two stage system of least squares method to estimate the parameters of the behavioral equations. The effect of 108 % devaluation's policy alternative for period 1983 - 1998 are simulated with an econometric model. The model distinctly features endogenous government policy intervention in the sectoral markets of the Indonesian lumber and plywood product industry.

Date: 1998
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DOI: 10.18267/j.pep.161

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