Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
Many foreign investors are now interested in Indonesia, especially in the automotive sector, because ofits growing attraction as a market and production site. At the same time, there is concern that poor infrastructureand delays in infrastructure development are impeding the economic growth of the country. Our Geographical Simulation Model assesses the economic impacts of two key infrastructure projects, i.e., Cilamaya New International Port and an access road between Cikarang and Tanjung Priok. The model shows that delays in construction will hamper the economic growth of Indonesia.
Topic:
Diplomacy, International Cooperation, Infrastructure, and Economic Development
Economic Research Institute for ASEAN and East Asia (ERIA)
Abstract:
Japan is now struggling for a recovery from the devastating earthquake and tsunami of March 11, 2011. Although trunk logistic infrastructure has quickly been restored, some local infrastructure is likely to take a longer time to re-establish. The theory of new economic geography suggests that temporary interruption of infrastructure services may generate long-term negative effects on the Tohoku region and Japan as a whole because some of the economic activities may move away. We argue that strengthening links with East Asia is a key supplementary policy for achieving a full economic recovery. Our Geographical Simulation Model assesses economic effects of several policy scenarios.
Topic:
Environment, Natural Disasters, Infrastructure, Recovery, and Geography