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Dynamic Changes in Comparative Advantage of Indonesian Agricultural Products

Girik Allo, Albertus and Sukartini, Ni Made and Widodo, Tri (2017): Dynamic Changes in Comparative Advantage of Indonesian Agricultural Products. Published in:

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Abstract

Indonesia is a large country and most populous among members of ASEAN Economic Community (AEC). The purpose of this study is to perform a "mapping products" for agricultural commodity in Indonesia. This study utilizes data on export and import four-digit in the Standard International Trade Classification (SITC) Revision 2 from UN-COMTRADE for the period 1984-2014. We use Reveled Symmetric Comparative Advantage (RSCA) combined with Trade Balance Index (TBI) in our analysis. The primary result shows that dynamic changes in agricultural commodities have occurred in Indonesia. Agricultural commodities that perform de-specialization are rice, meat of sheep and goats (fresh, chilled, or frozen). On the other hand, agricultural commodities that experience specialization are fishery products.

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