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Combining regional growth model and integration of financial institution model, this paper evaluates whether intermediary development influences growth in Indonesia. Recent research has proved that not only banks development influence economic growth positively but also its exogenous components.However, there are several different assumptions during adopt this model in Indonesia. Especially regional approach is differing than national approach in growth model. The point is the existence of intermediary integration across region whit causes the economic agent move freely within a nation.The data show that integration of financial intermediation was not always associated with economic growth. Only four of twenty six provinces which proved strong influence of financial intermediation on economic growth. Labor condition and average annual wages are not exogenous variables which explain growth due to financial intermediation in Indonesia. At least during 1987-1998.

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The Coronavirus Disease 2019 (Covid-19) pandemic creates both the demand and supply shocks problem that may affect the households’ food insecurity.  Among mechanisms, it ranges from the limited physical access to food due to social distancing to the drop in economic access to food due to (partial) lockdown. This study aims to lay out an early warning assessment of the food security situation in Indonesia amidst the Covid-19 outbreak. We use the cartogram analysis which visualize the geographical features throughout the Indonesia archipelago, both in the small and big island setting. The analysis involves the use of both the simple score and latent measurement-based scale of the Rasch model for the food insecurity based on the Susenas data from 2017-2019. The finding reveals that there existed a variation of the household proportion that suffers from severe food insecurity across the Indonesia archipelago. The more eastern the island, the worse the measure is. Papua and Maluku suffer more from such condition compared to the other big islands.  As the government has applied any containment measures, the surge in Covid-19 cases may potentially worsen both the existing households under severe food insecurity and even create new households under such conditions.

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This study aims to estimate the impact of policy responses due to the Covid-19 pandemic on intra-generational household economic mobility in Indonesia. Given the many policy interventions during the Covid-19 pandemic in 2020, this study focuses on the implementation of partial lockdowns known as PSBB policy in four districts (Bogor Regency, Bekasi Regency, Bogor City, and Bekasi City). In order to have a causal relationship, this study performs Synthetic Control Method to construct hypothetical counterfactual regions for districts that implement PSBB policy. Based on multinomial logit estimations, this study found that the implementation of PSBB adversely affects household economic mobility in rural districts but does not significantly affect household economic mobility in urban districts in the short run.

Informality issues and government distributional objectives cause the need for VAT special treatment for the agricultural sector. The treatment forms and resulting impacts vary, depending on each country's conditions and necessities. This study aims to estimate the impact of the alternative tax base measurement policies on the VAT revenue performance in the Indonesian agricultural sector. Using input-output table modeling, the authors found that the policy positively impacts the compliance level and VAT revenue in the agricultural sector but reduces the aggregate national VAT revenues and increases the VAT burden that the agricultural sector entrepreneurs must bear. The normal VAT mechanism is preferred for the long-term goal, but the alternative policy is still needed during the transition period.

Density is an important indicator closely related to the rate of urbanisation in cities. Density alters social capital, yet the directions of the association remain an open empirical investigation. This study aims to analyse how density and social capital are related in Jakarta, the capital, and the most populous city in Indonesia. Utilising a simple regression and an entropy balance approach to address the selection issue, this study finds that an increase in density of 10 thousand inhabitants per square kilometre is associated with a 2% higher possibility of societies having high social capital. The result is also robust using another definition of social capital and transformation of density variable. A policy recommendation that can be taken based on this study’s results is that the government can design dense urban planning as a model of sustainable urban design, particularly the sustainability in social aspects.