IDEAS home Printed from https://ideas.repec.org/a/eme/ijdipp/v12y2013i1p22-35.html
   My bibliography  Save this article

Miracle that never was: disaggregated level of inequality in Indonesia

Author

Listed:
  • Mohammad Zulfan Tadjoeddin

Abstract

Purpose - The paper aims at re‐examining the notion of low and stable income inequality during the high growth period of Indonesia (1970s‐1990s). Design/methodology/approach - Different approaches are used to reassess the low and stable trend of the overall inequality at the national level such as assets concentration and functional income inequality. Disaggregated inequality at district level is conducted by treating municipalities as growth centres and estimated using the random and fixed effects models as well as the GMM estimation. Findings - Alternative measures of income inequality have indicated that economic inequality in Indonesia was not as low as it was perceived and exhibited an increasing trend during the period associated with the miracle. Furthermore, using the Susenas‐based Gini coefficient, across‐district analysis of inequality indicates the presence of inverted‐U Kuznets curve of income and inequality, which could not be empirically observed when the analysis is based on time series data of aggregate Gini measure at the national level. Originality/value - The paper challenges the notion of the East Asian economic miracle in the case of Indonesia. It provides some evidence of the Kuznets curve relationship between income and inequality within a country based on cross‐districts exercise.

Suggested Citation

  • Mohammad Zulfan Tadjoeddin, 2013. "Miracle that never was: disaggregated level of inequality in Indonesia," International Journal of Development Issues, Emerald Group Publishing Limited, vol. 12(1), pages 22-35, April.
    • Handle: RePEc:eme:ijdipp:v:12:y:2013:i:1:p:22-35
    DOI: 10.1108/14468951311322091
    as

    Download full text from publisher

    File URL: https://www.emerald.com/insight/content/doi/10.1108/14468951311322091/full/html?utm_source=repec&utm_medium=feed&utm_campaign=repec
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://www.emerald.com/insight/content/doi/10.1108/14468951311322091/full/pdf?utm_source=repec&utm_medium=feed&utm_campaign=repec
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://libkey.io/10.1108/14468951311322091?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Perdamen Sagala & Takahiro Akita & Arief Yusuf, 2014. "Urbanization and expenditure inequality in Indonesia: testing the Kuznets hypothesis with provincial panel data," Letters in Spatial and Resource Sciences, Springer, vol. 7(3), pages 133-147, October.
    2. Athia Yumna & M. Fajar Rakhmadi & M. Firman Hidayat & Sarah E. Gultom & Asep Suryahadi, "undated". "Estimating the Impact of Inequality on Growth and Unemployment in Indonesia," Working Papers 264, Publications Department.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eme:ijdipp:v:12:y:2013:i:1:p:22-35. See general information about how to correct material in RePEc.

    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.

    We have no bibliographic references for this item. You can help adding them by using 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Emerald Support (email available below). General contact details of provider: .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.