The Structure of Protection in Indonesian Manufacturing Sector

Widodo, Tri

doi:10.1355/ae25-2c

Cited by 18 publications

(15 citation statements)

References 7 publications

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“…The goal was to use the income from oil extraction to develop sectors in which state-owned enterprises could play a big role. This brought important import substitution policies that included more tariff and nontariff barriers (Widodo, 2008). Hill (1997) argues that the pressure that certain groups generated to secure protection is important for understanding these increasing trade barriers.…”

Section: Motivation: Malaysia and Indonesiamentioning

confidence: 99%

Oil Discoveries and Protectionism

2019

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Can oil discovery shocks affect the demand for protectionism? A two-period model of Dutch disease indicates that if the tradable sector is politically dominant then an oil discovery induces protectionism. If the economy is also credit constrained, this effect is intensified upon discovery, but partially reversed when oil revenues start to flow. We test these predictions using detailed bilateral tariff data that cover 96 products in 155 countries over the period 1988-2012, and worldwide discoveries of giant oil and gas fields. Our identification strategy rests on the exogeneity of the timing of discoveries. We find that an oil discovery increases tariffs during pre-production years and decreases tariffs in the years to follow yet to a lesser extent, most notably in capital scarce economies with a relatively dominant tradable sector. Our baseline estimates indicate that a giant oil field discovery induces a rise of approximately 15% in the average tariff over the course of 10 years; this increase is about 1.8 times larger during the preproduction period when the oil discovery represents a pure news shock.

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Section: Motivation: Malaysia and Indonesiamentioning

confidence: 99%

Oil Discoveries and Protectionism

2019

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“…Widodo (2008) melakukan perhitungan dan konversi tarif yang diberlakukan pada sektor industri manufaktur di Indonesia. Hasil perhitungan Widodo (2008) menunjukkan struktur tarif di berbagai industri di Indonesia terus menurun walaupun dengan besaran yang berbeda. Pada tahun 1991 rata-rata tarif untuk semua produk industri manufaktur di Indonesia adalah 20,88 persen.…”

Section: Gambar 2 Jumlah Pos Dan Tingkat Tarif Indonesiaunclassified

“…Setelah Indonesia resmi menjadi anggota WTO pada tahun 1995, struktur tarif turun menjadi 15,6 persen. Pada tahun 2005 tarif telah jauh menurun menjadi Widodo (2008) Dibandingkan dengan negara-negara tetangga, Indonesia memiliki laju liberalisasi perdagangan industri manufaktur yang relatif paling paling cepat. Tabel 1 menunjukkan bahwa laju penurunan tarif di Indonesia lebih cepat dibandingkan Vietnam, walaupun tidak secepat Malaysia.…”

Section: Gambar 2 Jumlah Pos Dan Tingkat Tarif Indonesiaunclassified

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Dampak Liberalisasi Perdagangan Terhadap Kinerja Industri Manufaktur di Indonesia (Pendekatan Structure-Conduct-Performance)

Hidayat

Farah

2016

jeb

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“…It has often been argued that more market-oriented policies were followed when external circumstances were tough, and more interventionist policies when conditions were more favourable, as summarised in the aphorism 'good times mean bad policies and bad times mean good policies' (where 'good' is equated with market-oriented) (Fane 1996;Widodo 2008). Thus the large increases in government revenue during the oil booms between 1973 and 1982 were accompanied by an increasing policy orientation to anti-competitive, protectionist policies, characterised by state-directed or import-substituting industrialisation (Hill 1997).…”

Section: Election Debates On Economic Policymentioning

confidence: 99%