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The efficiency of public service obligation for food subsidy in Indonesia: Review of cost structure analysis

Author

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  • Trinugroho Sutomo, Irwan
  • Riani, Asri Laksmi

Abstract

The paper reviews the efficiency of food subsidy in Indonesia based on cost structure analysis. Using the comparison between cost of good of government and cost of good of National Logistics Board appointed to manage and channel the subsidy. The level of efficiency has decreased in the recent years because of increase in costs of exploitation, management cost and interest expense. It is suggested that government has to determine the cut-off point as a feasibility assessment of cost of subsidy.

Suggested Citation

  • Trinugroho Sutomo, Irwan & Riani, Asri Laksmi, 2011. "The efficiency of public service obligation for food subsidy in Indonesia: Review of cost structure analysis," Perspectives of Innovations, Economics and Business (PIEB), Prague Development Center (PRADEC), vol. 7(1), pages 1-3, January.
    • Handle: RePEc:ags:jrpieb:128633
    DOI: 10.22004/ag.econ.128633
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    File URL: https://ageconsearch.umn.edu/record/128633/files/11_PIEB_V7_Indonezia_Irwan%20Trinugroho_Food_Subsidy.pdf
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    Cited by:

    1. Basu, Karna & Wong, Maisy, 2015. "Evaluating seasonal food storage and credit programs in east Indonesia," Journal of Development Economics, Elsevier, vol. 115(C), pages 200-216.
    2. Basu, Karna & Wong, Maisy, 2012. "Evaluating Seasonal Food Security Programs in East Indonesia," MPRA Paper 51219, University Library of Munich, Germany.

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    Keywords

    Public Economics;

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