Trade and industry

Research on trade and industry has long been a high priority for Project staff and PhD students. This work has included detailed studies of the trade policy regime (including pioneering estimates of effective rates of protection), the political economy of protection, sector-specific trade policies, export performance, Indonesia in the regional and global economy, general overviews of the industrial sector, the structure and performance of industry, industrial dynamics before and after crisis episodes, and industry case studies.

This research has been facilitated by access to the excellent firm-level data bases of the Badan Pusat Statistik, supplemented by international trade data and firm-level research. The training of doctoral students has been an integral component of this research. Since the 1990s, 8 PhD dissertations have been completed in this field, mostly by Indonesian researchers. Much of the past and current work involves collaboration with Indonesian researchers.

Current research projects

• Estimating manufacturing output in colonial Indonesia,1870-1930. Pierre van der Eng
• Life and death in a dynamic emerging economy: firm-level analysis of Indonesian manufacturing. Hal Hill, with Haryo Aswicahyono (CSIS Jakarta) and Dionisius Narjoko (ERIA, Jakarta).
• ASEAN economic cooperation and integration. Hal Hill, with Jayant Menon (ADB, Manila).
• Globalization and Poverty in Indonesia. Arianto Patunru, with Zakir Machmud (UI) and Richard Barichello (UBC, Vancouver).
• Political Economy of Trade Policy in Indonesia. Arianto Patunru, with Sjamsu Rahardja (World Bank Jakarta).
• Logistic Costs in the APEC Economies. Arianto Patunru, with Maddaremmeng Panennungi UI).
• The labour market and income impacts of trade liberalization. Robert Sparrow, with Krisztina Kis-Katos (Freiburg University).

Selected publications

• Aswicahyono, H., H. Hill and D. Narjoko. 2010. “Industrialisation after a Deep Economic Crisis: Indonesia”, Journal of Development Studies 46(6): 1084-1108.
• Aswicahyono, H., H. Hill and D. Narjoko. 2013. “Indonesian Industrialization: A Latecomer Adjusting to Crises”, forthcoming in Szirmai, Naude and Alcorta (eds) Pathways to Industrialization in the Twenty-First Century: New Challenges and Emerging Paradigms. Oxford: Oxford University Press.
• Basri, M.C. and A.A. Patunru. 2012. “How to Keep Trade Policy Open: The Case of Indonesia”, Bulletin of Indonesian Economic Studies 48(2): 191-208.
• van der Eng, P. 2013. “Government Promotion of Labour-Intensive Industrialisation in Indonesia, 1930-1975”, forthcoming in Austin and Sigher (eds) Labour-Intensive Industrialisation in Global History. London: Routledge.
• van der Eng, P. 2013. “Why Didn’t Colonial Indonesia Have A Competitive Cotton Textile Industry?”, forthcoming in Modern Asian Studies.
• Hill, H. and J. Menon. 2012. “ASEAN Economic Integration: Driven by Markets, Bureaucrats, or Both?”, in Kreinin and Plummer (eds) The Oxford Handbook of International Commercial Policy. Oxford: Oxford University Press.
• Kis-Katos, K. and R. Sparrow. 2011. “Child Labor and Trade Liberalization in Indonesia”, Journal of Human Resources 46(4): 722-749.
• Patunru, A.A. and M.C. Basri. 2011. “The Political Economy of Rice and Fuel Pricing in Indonesia”, in Ananta and Barichello (eds) Poverty, Food, and Global Recession in Southeast Asia: Is the Crisis Over for the Poor? Singapore: Institute of Southeast Asia Studies.