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Study of Regional Disparity in Indonesia Using a Multi-region CGE Model

Hiroshi Sakamoto

No 2013-01, AGI Working Paper Series from Asian Growth Research Institute

Abstract: This research applies the CGE model developed by Sakamoto (2012b) to analyze regional disparities and income inequalities of Indonesia. The model employs the social accounting matrix database of Resosudarmo et al. (2009), which divides Indonesia into five regions and is especially suited to analyzing regional disparities. Moreover, the database divides workers into 16 categories from which a hierarchical labor market can be constructed. Policies for reducing regional disparity are simulated through the CGE model and evaluated.

Keywords: Multi-region CGE model; Indonesia; Regional disparity (search for similar items in EconPapers)
JEL-codes: C68 D31 D58 O53 (search for similar items in EconPapers)
Date: 2013-03
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