Growth, Growth Accelerations, and the Poor: Lessons from Indonesia

Sambit Bhattacharyya, Budy P. Resosudarmo

Research output: Contribution to journalArticlepeer-review

18 Citations (Scopus)

Abstract

We study the impact of growth and growth accelerations on poverty and inequality in Indonesia using a new panel dataset covering 26 provinces over the period 1977-2010. This dataset allows us to distinguish between mining and non-mining in Indonesia. Growth in non-mining significantly reduces poverty and inequality. In contrast, overall growth and growth in mining appears to have no effect on the same. Growth acceleration in non-mining reduces poverty and inequality whereas the same in mining increases poverty. We expect that the degree of forward and backward linkages of mining and non-mining sectors explains the asymmetric result.

Original languageEnglish
Pages (from-to)154-165
Number of pages12
JournalWorld Development
Volume66
DOIs
Publication statusPublished - 1 Feb 2015

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