Indonesia [electronic resource] : reinforcing domestic demand in times of crisis / International Labour Organization, International Insitute for Labour Studies.

Format:

Book

Contributor:

International Labour Organization.

International Institute for Labour Studies.

Series:

Studies on growth with equity.

Studies on growth with equity

Language:

English

Subjects (All):

Public welfare--Indonesia.

Public welfare.

Indonesia--Social policy.

Indonesia.

Physical Description:

xi, 113 p. : ill. (some col.).

Edition:

1st ed.

Place of Publication:

Geneva : International Labour Office, 2011.

Language Note:

English

Summary:

Indonesia was one of the few economies to have demonstrated resilience to the global crisis in terms of both growth and employment. This study shows that the ability of this country to weather the crisis was almost entirely due to the country’s reliance on a series of strong social protection schemes which were implemented after the 1997 Asian financial crisis. It also addresses the challenges which lie ahead and the areas for improvement.

Contents:

Intro

Foreword

Table of Contents

List of abbreviations

Executive summary and policy recommendations

Chapter 1: Economic and labour market performance

Introduction

A. Macroeconomic developments and crisis transmission mechanisms

B. Labour market impacts of the crisis

C. Concluding remarks

References

Chapter 2: Indonesia's response to the crisis

A. Financial and monetary policy

B. Fiscal stimulus measures

Chapter 3: An analytical assessment of fiscal stimulus policies

A. Overall effectiveness of stimulus efforts

B. Economic performance and stimulus initiatives

C. Impacts on employment

D. Policy considerations and challenges

Chapter 4: Social protection measures in Indonesia

A. Social protection in Indonesia

B. Responding to the crisis: Supporting income and consumption

C. Policy considerations and challenges

Chapter 5: Post-crisis policy challenges

A. Lessons learned: The importance of initial conditions

B. Reinforcing social protection: Reducing informality and income inequality

C. Skills development and youth unemployment

D. Role of job-centred macroeconomic policies

List of figures

Figure 1.1 Real GDP growth, 2007-2010 (percentage change from one year earlier)

Figure 1.2 Exports as a percentage of GDP, selected Asian and Pacific countries, 2008

Figure 1.3 Sectoral GDP growth and GDP contribution, 2008-2010 (growth rates from one year earlier, percentages)

Figure 1.4 GDP and unemployment, G20 and selected Asian countries, 2008 and 2009 (growth rates compared to the previous year)

Figure 1.5 L abour force participation rate and unemployment rate, 2008-2010 (changes from previous year, percentages).

Figure 1.6 Change in employment and employment rate, selected countries, Q2 2010 compared to Q2 2008

Figure 1.7 Informal employment, 2008-2010

Figure 1.8 Trends in poverty and inequality, 2006-2009 (national poverty line, percentages)

Figure 2.1 Reduction in the Bank of Indonesia rate, 2008-2009

Figure 2.2 Fiscal stimulus in G20 and selected Asian economies, 2008 (percentage of GDP)

Figure 2.3 Tax cuts as a percentage of total stimulus spending, selected G20 and Asian economies

Figure 2.4 Composition of tax cuts (percentages)

Figure 2.5 Infrastructure spending in Indonesia compared to other Asian countries (percentages)

Figure 3.1 Impact of each fiscal instrument on total production (percentage points increase over the base line - without stimulus)

Figure 3.2 Impact of the fiscal stimulus on production by sector (percentage points over the baseline - without stimulus)

Figure 3.3 Employment growth and impact of the fiscal stimulus, 2008-10 (out of the total jobs created between August 2008 and 2010)

Figure 3.4 Impact of each fiscal instrument on employment

Figure 3.5 Duration of employment by type of infrastructure spending (average number of days)

Figure 3.6 Impact of each fiscal stimulus instrument on employment, by gender

Figure 4.1 Social spending in Indonesia compared to selected countries (percentages of GDP)

Figure 4.2 National Programme for Community Empowerment (PNPM): Budget and coverage, 2007-2009

Figure 5.1 Health-care coverage, percentages of total population, 2010

Figure 5.2 Informality and output variation from steady state with an economic shock

Figure 5.3 Youth and total unemployment developments during the crisis, selected countries and regions, 2008-2009

Figure 5.4 Government gross debt in Indonesia, 2000-2009,and in selected countries, 2009.

Figure 5.5 Lending interest rate and annual inflation rate in Indonesia, 2000-2009,and in selected countries, 2009

List of Tables

Table 1.1 Unemployment by age and gender, 2008-2009 (percentages)

Table 2.1 Composition of stimulus spending by country groupings (weighted averages by GDP)

Table 2.2 Changes in individual tax rates and tax brackets, 2008-2009

Table 3.1 Realization rates by spending category and programme, end of 2009

Table 3.2 Effectiveness of Indonesia's stimulus efforts accordingto the literature, 2009-2010

Table 4.1 Government expenditure on social assistance (IDR trillion)

Table 4.2 The Raskin Programme: Numbers of households, rice ceilings and budgets,2005-2009

Table 5.1 Existing social security related programmes in Indonesia

List of boxes

Box 1.1 Indonesia's experience in the Asian financial crisis, 1997-98

Box 2.1 Public works in Indonesia before the crisis

Box 4.1 Social programmes in response to the 1997 Asian financial crisis

Box 4.2 Indonesia: Programmes to support low-income households

Box 5.1 India: Targeting in the Rural Employment Guarantee Scheme

Box 5.2 Unemployment insurance in emerging economies

Box 5.3 Brazil: Reduction of informal employment

Box 5.4 Global Economic Linkages Model: Informality and resilience

Box 5.5 Incentives for hiring youth: China and the Republic of Korea.

Notes:

Bibliographic Level Mode of Issuance: Monograph

Includes bibliographical references.

ISBN:

92-9014-967-1

OCLC:

757261162