TECHNOLOGY CONTRIBUTION TO THE INDONESIAN REGIONAL ECONOMY

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TECHNOLOGY CONTRIBUTION TO THE INDONESIAN REGIONAL ECONOMY

TECHNOLOGY CONTRIBUTION TO THE INDONESIAN REGIONAL ECONOMY

http://repository.uhamka.ac.id/690/

This paper aimed to analyze the contribution of technology to Indonesian regional economy. Growth accounting
method was employed using data on GDRP, regional/provincial capital accumulation and regional/provincial
employment from during the year of 2002 to 2010. The contribution of factors and technology to Indonesian
regional economy were analyzed and presented. The results show that the contribution of technology to Indonesian
economy, on average during 2002-2010 at national level, was 24.4 per cent. Spatially, the contribution of
technology to Indonesian regional economy varies among Island as well as among provinces within island. The
highest contribution of technology was by Java Island (39.77%) followed by Bali-Nusa Tenggara Island (35.39%).
The lowest technology contribution was in Kalimantan Island (12.82%). In Java Island, the highest contribution
of technology was in the East Java Province (49.63%) and the lowest contribution was in the Special Province of
Yogyakarta (28.35%). In Bali-Nusa Tenggara, the highest contribution of technology was in East Nusa Tenggara
Province (51.71%), and the lowest contribution was in the Province of Bali (25.89%). In Kalimantan Island, the
highest contribution of technology was in West Kalimantan Province (41.91%) and the lowest contribution was in
South Kalimantan Province (24.25%).

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