ANALYSIS OF SECTORAL EFFICIENCY AND THE RESPONSE OF REGIONAL POLICY

Authors

M. Abdul Majid Ikram, Bank Indonesia, IndonesiaFollow
Andry Prasmuko, Bank Indonesia, IndonesiaFollow
Donni Fajar Anugerah, Bank Indonesia, IndonesiaFollow
Ina Nurmalia Kurniati, Bank Indonesia, IndonesiaFollow

Document Type

Article

Abstract

This paper analyzes the contributon of primary input; capital anda labor, on sectoral performance in Indonesia. The analysis cover sall sectors both in national and regional level, and also the dynamic of input efficiency across period. Using stochastic frontier production function approach, this paper found the aggregate share of capital is 0.20 and 0.34 for labor; conforming the dominance of labor. The highest three technical efficiency is Mining sector (88.65%), Manufacture (70.47%) and Financial (65.93%), while the lowest one is Electric, Gas and Water (25.38%).

Recommended Citation

Ikram, M. Abdul Majid; Prasmuko, Andry; Anugerah, Donni Fajar; and Kurniati, Ina Nurmalia (2012) "ANALYSIS OF SECTORAL EFFICIENCY AND THE RESPONSE OF REGIONAL POLICY," Bulletin of Monetary Economics and Banking: Vol. 14: No. 3, Article 1.
DOI: https://doi.org/10.21098/bemp.v14i3.406
Available at: https://bulletin.bmeb-bi.org/bmeb/vol14/iss3/1

First Page

299

Last Page

318

Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License

Country

Indonesia

Affiliation

Bank Indonesia