Examination of regional growth convergence in Central Java, Indonesia

PRASETYANI, Yunita, Prof. Makoto Kakinaka

2008 | Tesis | S2 Magister Ekonomika Pembangunan

This paper discusses regional economic development in Central Java, Indonesia, through empirically examining the existence of regional growth convergence among 30 districts over the period from 1995 to 2004. The result shows some clear evidence supportive of conditional growth convergence at the district level, although no evidence of absolute growth convergence. The study also presents that government expenditures significantly help the districts achieve higher 2regional economic growth, while financial development and inflation do not have a significant influence on regional economic growth.

Kata Kunci : Pemerikasaan daerah,Pertumbuhan konvergensi,owth convergence,regional development,Central Java Province