Advanced Search
MyIDEAS: Login

Urbanization and Expenditure Inequality in Indonesia: Testing the Kuznets Hypothesis with Provincial Panel Data

Contents:

Author Info

  • Perdamen Sagala

    ()
    (Graduate School of International Relations International University of Japan)

  • Takahiro Akita

    ()
    (Graduate School of International Relations International University of Japan)

  • Arief Anshory Yusuf

    ()
    (Department of Economics, Padjadjaran University)

Abstract

Focusing on Indonesia, this study analyzes the relationship between inequality and the process of urbanization. Itperforms a panel data regression analysis to test the Kuznets inverted-U hypothesis for urbanization based on a provincial panel data set of 33 provinces over the period 2000-2009, constructed by using the core National Socio-economic Survey (core Susenas). Our results support the Kuznets inverted-U hypothesis, whether the Gini coefficient or the Theil indices are used as a measure of inequality. According to our estimates, expenditure inequality would reach the peak at an urbanization rate of around 46-50%. Since the 2010 urbanization rate is 50%, this indicates that expenditure inequality has already attained the peak value. Thus, further urbanization would decrease expenditure inequality, but all other things being equal.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://lp3e.feb.unpad.ac.id/wopeds/201318.pdf
File Function: First version, 2013
Download Restriction: no

Bibliographic Info

Paper provided by Department of Economics, Padjadjaran University in its series Working Papers in Economics and Development Studies (WoPEDS) with number 201318.

as in new window
Length: 21 pages
Date of creation: Oct 2013
Date of revision: Oct 2013
Handle: RePEc:unp:wpaper:201318

Contact details of provider:
Postal: Jalan Cimandiri No.6, Bandung 40115
Phone: (062)022-4204510
Fax: (062)022-4204510
Email:
Web page: http://ceds.fe.unpad.ac.id
More information through EDIRC

Related research

Keywords: urbanization; expenditure inequality; Kuznets hypothesis; panel data regression; Indonesia;

Other versions of this item:

Find related papers by JEL classification:

This paper has been announced in the following NEP Reports:

References

No references listed on IDEAS
You can help add them by filling out this form.

Citations

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:unp:wpaper:201318. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Arief Anshory Yusuf).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.