Analysis of the Effects of Economic Growth, Investment, Regional Taxes, and Capital Expenditure Toward the Income Disparity in Indonesia (2007-2013)

Hardanto, H.; Ismail, Munawar; Khusaini, Moh.

doi:10.18551/rjoas.2017-09.08

Cited by 2 publications

(2 citation statements)

References 11 publications

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“…However, the factual income disparity shows that the owner of large capital in Indonesia is 1:10, in this condition the regulation of the government's side of the grassroots community and in general must be formulated seriously. However the foreign investment has been confirmed there is no implication in income disparity (Hardanto, Ismail, and Khusaini 2017).…”

Section: Bri and Economic Equitymentioning

confidence: 99%

Belt and Road Initiative (BRI) In Islamic Economics Distribution Perspective

Anita

Hardi

2020

Al-Amwal : Jurnal Ekonomi Dan Perbankan Syari'ah

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This article aims to analyse Indonesia's policy of joining China's Belt and Road Initiative (BRI) through a perspective of distribution in Islamic economics. The BRI project is one of the agendas of the Chinese government to expand economic hegemony in the international market. At the same time, the Indonesian government has a national development priority program (PSN). However, the state's finite financial condition and the stagnation of economic growth became an obstacle for the Indonesian government to realize the domestic infrastructure projects. Therefore, the Indonesian government requires a source of capital other than the state budget. One of the steps taken by the Indonesian government is to become part of BRI. Behalf of these difficulties and opportunities, how Islamic economics argue the Indonesian government policy especially on distribution perspective. To address the question, this article utilizes descriptive qualitative methods and the theory of distribution of Islamic economics. It was found that the Indonesian government's infrastructure policy is in line with the spirit of Islamic distribution to reduce income disparity by providing equal access to infrastructure for the communities. Beside BRI's open access and integration to regional countries and supported by the needs of China's domestic industrial raw materials, Indonesia is predicted to be the largest exporter of raw materials. The need to export these raw materials will also tend to be exploitative and contrary to Islamic principles. Therefore, to tackle that, this article recommends the formulation of policies that encourage an expansive domestic industry so that Indonesia is not only an exporter of raw materials but also an exporter of goods and services.

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Section: Bri and Economic Equitymentioning

confidence: 99%

Belt and Road Initiative (BRI) In Islamic Economics Distribution Perspective

Anita

Hardi

2020

Al-Amwal : Jurnal Ekonomi Dan Perbankan Syari'ah

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“…They concluded that consumption taxes raised both income disparity and economic development at the end of the report. Hardanto et al (2017), looked at how economic development and taxes influence income inequality in Indonesia from 2007 to 2013. Regression analysis results exhibited affirmative outcomes of economic growth and regional taxes had on income inequality.…”

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confidence: 99%

Taxation and Income Inequality: Empirical Evidence from Pakistan

2022

GJHSSR

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The study's main objective was to probe the empirical interaction among both taxation and income inequality in Pakistan. ADF unit root test, ARDL/ Bound Co-integration test, and Diagnostic Test have been applied to assess time- series from 1979 to 2020. Empirical results indicated that tax revenues (TR) and income taxes (TINCOM) in short run have statistical insignificant influence on GINI, whereas in long run, they have such a statistical significant negative consequence. However, in short and long run, taxes on goods and services (TGS) have statistically noteworthy positive outcome on GINI. The current study conclude based on the results that Tax revenue and direct tax such as personal income tax has a negative statistically significant impacts implying to reduces the income inequality in Pakistan. Moreover the indirect tax such as TGS has positive statistically noteworthy impacts on income inequality in Pakistan implying to increase rate of inequality. Thus, indirect taxes widen the gap between rich and poor in Pakistan.

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Analysis of the Effects of Economic Growth, Investment, Regional Taxes, and Capital Expenditure Toward the Income Disparity in Indonesia (2007-2013)

Cited by 2 publications

References 11 publications

Belt and Road Initiative (BRI) In Islamic Economics Distribution Perspective

Belt and Road Initiative (BRI) In Islamic Economics Distribution Perspective

Taxation and Income Inequality: Empirical Evidence from Pakistan

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