cover
Contact Name
Shochrul Rohmatul Ajija
Contact Email
shochrul-r-a@feb.unair.ac.id
Phone
+6282227423452
Journal Mail Official
ejavec.journal@gmail.com
Editorial Address
Jl. Pahlawan No.105 Surabaya, Jawa Timur
Location
Kota surabaya,
Jawa timur
INDONESIA
East Java Economic Journal
ISSN : 25978780     EISSN : 28302001     DOI : https://doi.org/10.53572/ejavec.v6i1.73
Core Subject : Economy, Social,
East Java Economic Journal invites manuscripts on an economics area, but not limited to economic development, finance, monetary, international trade, environmental, energy, public economics, econometrics, microfinance, health economics, and political economics related to the economy of East Java.
Articles 70 Documents
POTENTIAL BACKWARD SPILLOVER FROM FOREIGN COMPANIES TO MSMEs IN EAST JAVA Dyah Wulan Sari
East Java Economic Journal Vol. 1 No. 1 (2017)
Publisher : Kantor Perwakilan Bank Indonesia Provinsi Jawa Timur

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (351.326 KB) | DOI: 10.53572/ejavec.v1i1.1

Abstract

The presence of foreign firms in a region can create spillovers to other firms, both within the intra-industries (industries itself) and inter-industries (other industries). Spillover from foreign firms can be in the form of technology transfer, efficiency improvement, managerial knowledge which ultimately is expected to increase productivity for other firms not only in large enterprises but also for micro small and medium enterprises (MSMEs). Hence, this paper aims to identify the potential backward spillover of foreign firms to MSMEs in East Java and the individual results show that the four highest backward spillovers values of foreign industries are industry of components and spare parts of the prime mover motor, industry of agricultural and forestry machinery and services for supporting, maintenance and repair, industry of pump and compressor and industry of measurement tools, manual regulator and testing. All of them are respectively located in Surabaya City, Pasuruan District, Pasuruan District and Mojekerto District. Furthermore, the general results show that the potential backward spillover exists in rubber, rubber goods and plastic goods industries as well as chemicals and goods from chemical material industries. The foreign firms which have highest backward spillovers are located in Pasuruan District, Mojekerto District, Sidoarjo District, Surabaya City and Gresik District. Therefore, the provincial government of East Java should immediately prepare and support both technically and financially to MSMEs in providing raw materials required by foreign firms based on the industrial classification and location results of this study. In addition, the provincial government of East Java can coordinate with the district governments in the areas of those foreign firms for preparing MSMEs in supplying raw materials. JEL Classification: F23, L60
ANALYSIS OF ECONOMIC PERFORMANCE AND ECONOMIC POTENTIAL OF EAST JAVA PROVINCE Ahmad Rizani
East Java Economic Journal Vol. 1 No. 1 (2017)
Publisher : Kantor Perwakilan Bank Indonesia Provinsi Jawa Timur

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (575.834 KB) | DOI: 10.53572/ejavec.v1i1.3

Abstract

This study aimed to investigate economic growth, regional economic pattern and structure of East Java Province. Other than that, this study also identified anddetermined superior sectors in East Java Province to give an illustration on which superior economic activities to be developed to improve the economic potential in East Java Province. Data employed in this study was secondary data in six years’ time series form 2010 until 2015 about GDP (Gross Domestic Product) for Indonesia, RGDP (Regional Gross Domestic Product) for East Java Province, total population in Indonesia, total population in East Java Province, the number of people living in poverty in Indonesia, and the number of people living in poverty in East Java Province. Data was obtained from Central Statistics Institution Indonesia, National Planning and Development Institution, Central Statistics Institution of East Java Province, and Regional Planning and Development Institution of East Java Province. Analysis tools used in this study included economic performance analysis, ShiftShare, Location Quotient (LQ), Growth Ratio Model (MRP) and Overlay analysis. The results of the study showed that: (1) economic performance index of East Java Province was quite good because during 2011-2015 the province got average economic performance index 0.847; (2) shift-share analysis showed that East Java Province economic showed an improvement during 2010-2015 by 340.769,50 billion rupiahs. Those economic performance improvements in East Java Province could be seen from the positive value of 16 (sixteen) economic activity sectors; (3) according to Location Quotient (LQ) analysis, there were five superior sectors in East Java Province, they were processing industry sector, water procurement sector, waste and recycle management sector, wholesale and retail, auto car and motorcycle reparation sector, accommodation and foods providing sector, and information and communication sector; (4) Growth Ratio Model analysis showed that sectors which had dominants growth and big contribution were construction sector, wholesale and retail, auto car and motorcycle reparation sector, transportation and warehousing sector, accommodation and foods providing sector, information and communication sector financial and insurance service sector, real estate sector, education service sector, health service and social activity sector; (5) Overlay analysis showed that potential economic sector in East Java Province included wholesale and retail, auto car andmotorcycle reparation sector, accommodation and foods providing sector, and information and communication sector; (6) weighing result according to Shift-Share Location Quotient (LQ), and Growth Ratio Model analysis were five sectors based on the highest rank of the most potential weighing result, they were accommodation and foods providing sector, processing industry sector, wholesale and retail, auto car and motorcycle reparation sector, information and communication sector, and construction sector. JEL Classification : P47, O47, C02, C02, C02, C02
OVERVIEWING EAST JAVA’S MARITIME ECONOMIC POTENTIAL: INPUT-OUTPUT ANALYSIS Gisty Ajeng Septami; Pyan Putro Surya Amin Muchtar; Irfan Teguh Prima
East Java Economic Journal Vol. 1 No. 1 (2017)
Publisher : Kantor Perwakilan Bank Indonesia Provinsi Jawa Timur

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (495.425 KB) | DOI: 10.53572/ejavec.v1i1.4

Abstract

East Java marine resources play important role as development assets and have enormous opportunities for generating economic growth. The main potential includes 11 subsectors reinforced by the role of this province as a center of logistics and connectivity of the Eastern Indonesia Region (KIT). Realizing such potential, both central and local governments intensively attract investors to invest funds into the maritime sector in East Java. The study also attempts to deliberate the impact of investment in the maritime sector on the East Java economy in particular and Indonesia in general. The impact includes economic growth, society’s welfare, and employment. This study uses Input-Output Table of East Java Province 2008 published by the Central Bureau of Statistics (BPS). The data is quantitatively employed to find the linkage and impact multiplier of the investment. The results of this study indicate that the investment in the maritime sector induces economic growth of East Java by 11%, which also rises people income and employment rate. With the contribution of East Java to the national economy, which is about 15%, the investment will also contribute to boost the national economy.
POTENTIAL OF MICRO, SMALL AND MEDIUM BUSINESS (MSME) PROCESSING INDUSTRY SECTOR EAST JAVA IN RESPONDING TO THE CHALLENGES OF GLOBALIZATION Angginta Ramdani Ibrahim
East Java Economic Journal Vol. 1 No. 1 (2017)
Publisher : Kantor Perwakilan Bank Indonesia Provinsi Jawa Timur

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (458.264 KB) | DOI: 10.53572/ejavec.v1i1.5

Abstract

The global competition demands Indonesia to compete with other countries in international market. East Java is a province which gives big contribution to Indonesia’s GDP. From year to year, the source of economic growth in East Java is still dominated by the processing industry especially by the Small and Medium-Sized Enterprises (SMEs) sector. This sector is able to contribute more than 50% to East Java’s gross domestic product (GDP). Considering that, the sectoral development could be more effective to deploy in this sector for it is the prime mover of East Java’s economy. In addition to the contribution to GDP, this sector is also able to solve the employment issues and the demand fulfillment. To collect the datas, writer used questionnaire to gain the primary data with the East Java SMEs players as the respondents. Then the data was processed using Balance Scorecard approach to measure SMEs’ performance. Besides that, writer also used the secondary data that obtained by the literature study method. In result, it shows that SMEs has a promising prospect in facing external and internal challenges and pressures. Thus, this result indicates that SMEs could promote the East Java’s economy and could be a solution for Indonesia to face the global competition, especially the ASEAN Economic Community (AEC) that will be officially enacted in the end of 2015.
STUDY OF DYNAMIC POVERTY IN EAST JAVA : IS HUMAN CAPITAL THE MOST APPROPRIATE WAY IN REDUCING POVERTY? Wahyu Wisnu Wardana
East Java Economic Journal Vol. 1 No. 1 (2017)
Publisher : Kantor Perwakilan Bank Indonesia Provinsi Jawa Timur

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (580.253 KB) | DOI: 10.53572/ejavec.v1i1.6

Abstract

Dynamic poverty analysis distinguishes two kind of poverty: chronic and transient poverty. Chronic poverty is long term poverty while transient poverty is short term poverty. Theoretically, these two kind of poverty need different policy. Chronic poverty needs human capital development whereas transient poverty needs social safety net. This study aims to estimate chronic and transient poverty in East Java and to analyze its determinants. This research used Component Approach to estimate chronic and transient poverty. Tobit regression was employed to analyze its determinants. This study utilized Survei Sosial Ekonomi Nasional (Social Economic National Survey of Indonesia) year 2008 and year 2010. The result of this study indicates that poverty in East Java is largely comprised of chronic poverty. Chronic component of poverty is 76 percent and transient component of poverty is 24 percent. The high chronic component of poverty is found in regency of, Malang, Kediri, Sumenep, and Pasuruan. The regression result indicates that chronic and transient poverty are influenced by education of household head, gender of household head, access to credit and health insurance ownership. JEL Classification: C01, I32, I38, J24,
STUDY OF CYCLICITY AND MACROECONOMIC IMPACT ON INVEST- MENT FLOWS IN EAST JAVA Ariz Aprilia; Nofita Wulansari
East Java Economic Journal Vol. 1 No. 1 (2017)
Publisher : Kantor Perwakilan Bank Indonesia Provinsi Jawa Timur

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (630.815 KB) | DOI: 10.53572/ejavec.v1i1.7

Abstract

This paper aims to analysis the cyclicity pattern and to estimates the effect of macroeconomics indicators on capital inflows in East Java. The first analysis by using Hodrick-Prescott (HP) filter shows that capital inflows in East Java have a tendency to move in procyclical pattern. While the second by using VAR analysis shows that macroeconomics indicators are dominant factor for investors to invest their funds in East Java. Likewise, this paper indicates the pattern of capital inflows in East Java is tend to procyclical. Moreover,the macroeconomics indicators that affect capital inflows in East Java are economic growth and inflation. Based on the result, this paper suggest for local governments to synchronize the development of capital inflows together with macroeconomics conditions. Furthermore, the capital inflows can be managed properly to avoid the “surges” and “sudden stop” phenomenon.
Explaining the Fall of Socio-Economic Inequality on Welfare in East Java: A Household Level Analysis Ririn Nopiah Nopiah; Humam Rosyadi Rosyadi; Abdurakhman
East Java Economic Journal Vol. 4 No. 1 (2020)
Publisher : Kantor Perwakilan Bank Indonesia Provinsi Jawa Timur

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (838.299 KB) | DOI: 10.53572/ejavec.v4i1.9

Abstract

Poverty in East Java is complex problems multidimentional. East Java Province is one of the province that has highest number of poverty in Java Island. The condition of poverty reflects that population welfare level and suspectible to poor. The aims of this study is analysis determinan socio economics to welfare in East Java by using survei data from Indonesia Family Life Survey (IFLS 5). This study was analyzed by two approach are multiple linier regression model and ordered logistic model. The results of this study shows that micro credit, years of education, social capital, infrastructure availability and assets ownership have significant effect to welfare in East Java. Demographic factors like age and number of household also shows significant result to welfare in East Java.
DEMOGRAPHIC BONUS ANALYSIS AND ECONOMIC GROWTH OF EAST JAVA Amirusholihin; Listiono
East Java Economic Journal Vol. 2 No. 1 (2018)
Publisher : Kantor Perwakilan Bank Indonesia Provinsi Jawa Timur

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (743.067 KB) | DOI: 10.53572/ejavec.v2i1.10

Abstract

BKKBN predicts that Indonesia will get demographic bonus in 2020 until 2030. The question is whether the demographic bonus has a positive impact on the economy of East Java or even a negative impact. Based on data from BPS, by 2015 the workingage population in East Java is around 69.4 percent of the total population, while the child and old-age is 30.6 percent. The size of the working-age population is closely related to the amount of labor, which also greatly determines the amount of output on goods and services produced. This paper aims to explain how the impact of demographic bonuses on East Java's regional economy, based on the Solow model extended to include demographic variables. The analysis uses a dynamic panel model by 38 districts in East Java that have demographic bonuses in 2020 with GDP as a reference in determining the growth of economists. From these analyzes it can be seen the impact of demographic bonuses in East Java as an advantage or even create new spatial inequality between regions.
DETERMINANTS OF TECHNICAL EFFICIENCY AND TOTAL FACTOR PRODUCTIVITY CHANGE OF THE MANUFACTURING INDUSTRY IN EAST JAVA: EFFORTS TO INCREASE PERFORMANCE AND INDUSTRIAL COMPETITIVENESS Imroatul Amaliyah
East Java Economic Journal Vol. 2 No. 1 (2018)
Publisher : Kantor Perwakilan Bank Indonesia Provinsi Jawa Timur

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (609.456 KB) | DOI: 10.53572/ejavec.v2i1.11

Abstract

This research aims to calculate and analyze the level of technical efficiency and total factor productivity change of manufacture industry, and to examine the factors that influence the value of technical efficiency of manufacture industry in East Java. The method used for this research is Data Envelopment Analysis (DEA) and Malmquist Index with Bootstrapping approach, and Tobit regression. This research used micro data from Indonesian Large and Medium-Scale Industry Survey within the year of 2007 to 2013. The results of this research are: (1) the estimated result of DEA with bootstrapping approach using output-oriented variable return to scale (VRS) assumption shows that the level of technical efficiency of manufacture industry in East Java has been not good enough and overall, it still has the potential to increase its output to reach an efficient condition; (2) the estimated result of Tobitregression demonstrates that the level of technical efficiency of the company is influenced by the company’s size, HHI, capital labor ratio, export and types of company ownership; (3) the estimated result of Malmquist Index with Bootstrapping approach shows that theaverage of total factor productivity change (TFPCH) of manufacture industry from 2007 to 2013 hasexhibited a positive change. The main factor that affects TFPCH, in order, are technological change, efficiency change, and efficiency scale change.
WELFARE INEQUALITY AND DEMOGRAPHIC DIVIDEND IN EAST JAVA: THE OVERLAPPING GENERATIONS (OLG) MODEL APPROACH Badara Shofi Dana; Ati Musaiyaroh
East Java Economic Journal Vol. 2 No. 1 (2018)
Publisher : Kantor Perwakilan Bank Indonesia Provinsi Jawa Timur

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (654.424 KB) | DOI: 10.53572/ejavec.v2i1.12

Abstract

The issue of demography into an important discussion caused can affect economic growth and inequality in East Java Inequality in east Java showed an increase.Unequal distribution of income is a source of high inequality in East Java. This study aims to show the effectiveness of demographic changes can affect inequality in East Java with the approach of Overlapping Generations (OLG) model. The data used in this research is time series data in the first quarter of 2010- the fourth quarter 2015. Analyzer used in this research is Generalized Method of Moments (GMM). The results of this study show that demographic changes in East Java have the potential to increase inequality. The number of productive age populations with non-productive causes of high inequality. Consumption rate and the number of the productive workforces also become one of the sources of inequality. Therefore, the Settlement of inequality coupled with demographic changes in East Java needs the role of government through targeted social protection programs and infrastructure improvements. In addition, the need for land-based policies, opportunity-based policies, human resource capacity building policies, job matching.