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The impact of regional autonomy and monetary crisis on economic growth in Yogyakarta

Author

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  • Sarastri Mumpuni Ruchba
  • Ferdy Suhada

    (Department of Economics, Universitas Islam Indonesia, Yogyakarta, Indonesia
    Department of Economics, Universitas Islam Indonesia, Yogyakarta, Indonesia)

Abstract

This study analyzes the impact of some factors, especially the implementation of autonomy and monetary crisis on economic growth in Yogyakarta Special Province. The independent variables entered into the model are investment, labor force and government spending, as well as two dummy variables, namely the financial crisis and the 1990-2013 regional autonomy implementations. This study uses multiple linear regression analysis with Ordinary Least Square (OLS). This study finds that investment and regional autonomy do not affect the economic growth in Yogyakarta, while labor force and monetary crisis negatively affect economic growth. The study also finds that government spending has a positive influence on economic growth.

Suggested Citation

  • Sarastri Mumpuni Ruchba & Ferdy Suhada, 2015. "The impact of regional autonomy and monetary crisis on economic growth in Yogyakarta," Economic Journal of Emerging Markets, Universitas Islam Indonesia, vol. 7(1), pages 60-68, April.
    • Handle: RePEc:uii:journl:v:7:y:2015:i:1:p:60-68
    DOI: http://dx.doi.org/10.20885/ejem.vol7.iss1.art6
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    References listed on IDEAS

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    More about this item

    Keywords

    Economic growth; monetary crisis; regional autonomy;
    All these keywords.

    JEL classification:

    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth

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