Abstract

27Jan 2017 SPATIAL DIMENSIONS OF MULTIPLIERS IN SUMATRA ISLAND ECONOMY: AN INTER-REGIONAL INPUT-OUTPUT ANALYSIS. Muchdie. Department of management, Post Graduate School, Universitas Muhammadiyah Prof. Dr. Hamka, Jakarta-Indonesia.

Highlights

  • IntroductionThe results show that firstly, the important sectors of Sumatra Island economy could be based on total multipliers and flow-on effects of output, income and employment

  • Indonesian data for the year of 2015

  • This paper provides the results of analysis of total, sectoral-specific, Received: 23 November 2016 Final Accepted: 25 December 2016 Published: January 2017 and spatial-specific multipliers and flow-on effects in Sumatera Island economy

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Summary

Introduction

The results show that firstly, the important sectors of Sumatra Island economy could be based on total multipliers and flow-on effects of output, income and employment. Important economic sectors could be based on sector-specific multipliers effects; multipliers that occurred in own sector and other sectors. Important economic sectors could be based on spatialspecific multipliers; multipliers that occurred both in own region and other regions. Important economic sectors could be based on spatial distribution of flow-on; flow-on effects that occurred in own region as well as in other regions. Based on the statistical data by the year of 2013 which is released by Badan Pusat Statistik, Sumatra Island itself contributes at about 20% of Indonesia's Gross Domestic Product (Anonymous, 2015). Other types of fiscal multipliers can be calculated, like multipliers that describe the effects of changing taxes (such as lump-sum taxes or proportional taxes)

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