Article Sidebar

Submitted
June 4, 2022
Accepted
July 7, 2022
Published
August 5, 2022
Download
PDF
Statistic
Read Counter : 463 Download : 288

Downloads

Download data is not yet available.

Main Article Content

Abstract

The Indonesia-Turkey Comprehensive Economic Partnership Agreement (IT-CEPA) is not solely about a trade agreement between the two countries but is a partnership and collaboration so that the people of the two countries can benefit from bilateral cooperation. This study aims to investigate the impact of IT-CEPA, foreign direct investment (FDI), inflation, natural resource rents, and government effectiveness on Indonesian exports to Turkey. The approach in this study applies a linear regression model from 2000-2020 sourced from the World Bank and The Observatory of Economic Complexity (OEC). The findings of this study indicate that foreign direct investment and government effectiveness have a positive sign and have a significant effect on Indonesian exports to Turkey. Meanwhile, IT-CEPA has a negative and significant sign on Indonesian exports to Turkey. However, inflation and natural resource rents do not have a significant effect on Indonesia's exports to Turkey. The implication of this study is that policy makers must pay attention to governance related to the implementation of economic partnership agreements between Indonesia and trading partner countries, especially in increasing Indonesia's exports to trading partner countries.

Keywords

IT-CEPA FDI inflation natural resource rents government effectiveness exports

Article Details

License

Authors who publish with this journal agree to the terms:

Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution-ShareAlike 4.0 International License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.

Creative Commons License

Jurnal Ekonomi Pembangunan is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License..

Author Biographies

Arif Darmawan, Department of Economics Development, Universitas Lampung

Lecturer at Department of Economics Development, Faculty of Economics and Business, University of Lampung

Muhammad Husaini, Department of Economics Development, Universitas Lampung

Assistant Professor at Department of Economics Development, Faculty of Economics and Business, University of Lampung

Roby Rakhmadi, Department of International Relations, Universitas Lampung

Department of International Relations, Universitas Lampung

Ghania Atiqasani, Department of Economics Development, Universitas Lampung

Student Bachelor Degree
How to Cite
Darmawan, A., Husaini, M., Rakhmadi, R., & Atiqasani, G. (2022). Investigating the Impact of Indonesia-Turkey CEPA and Factors influencing Indonesian Export Performance. Jurnal Ekonomi Pembangunan, 20(1), 77–88. https://doi.org/10.29259/jep.v20i1.17790
Download Citation
Endnote/Zotero/Mendeley (RIS)
BibTeX

References

  1. Achandi, E. L. (2011). Effect of foreign direct investments on export performance in Uganda. Uganda: Makerere University
  2. Agung, A. S., Ishak, Z., Asngari, I., & Bashir, A. (2019). The effect of ASEAN-Korea free trade agreement (AKFTA) on Indonesia trade: A gravity model approach. Jurnal Ekonomi Pembangunan, 17(1), 1-7.
  3. Anderson, J. E., & Marcouiller, D. (2002). Insecurity and the Pattern of Trade: An Empirical Investigation. The Review of Economics and Statistics, 84(2), 342–352. https://doi.org/10.1162/003465302317411587
  4. Anggraeni, P., Daniels, P., & Davey, P. (2017). The Contribution of Natural Resources on Economic Welfare in Indonesia. Jurnal Perencanaan Pembangunan: The Indonesian Journal of Development Planning, 1(3), 210–223. https://doi.org/10.36574/jpp.v1i3.20
  5. Ardiyanti, S. T. (2015). Dampak Perjanjian Perdagangan Indonesia - Jepang (Ijepa) Terhadap Kinerja Perdagangan Bilateral. Buletin Ilmiah Litbang Perdagangan, 9(2), 129–151. https://doi.org/10.30908/bilp.v9i2.5
  6. Argentiero, A., Cerqueti, R., & Sabatini, F. (2021). Does social capital explain the Solow residual? A DSGE approach. Structural Change and Economic Dynamics, 58, 35–53. https://doi.org/https://doi.org/10.1016/j.strueco.2021.04.008
  7. Astriyany, A., & Takahashi, S. (2021). Trade Liberalization, Foreign Direct Investment Liberalization, and Wage Inequality in Indonesia. Jurnal Ekonomi & Kebijakan Publik, 12(1), 1–13.
  8. Avivi, M. S. Y. (2020). Kepentingan Indonesia dalam kerja sama Bilateral dengan Jepang Studi KASUS: Indonesia-Japan Economic Partnership Agreement (IJEPA). Paradigma POLISTAAT: Jurnal Ilmu Sosial Dan Ilmu Politik, 3(1), 49–61.
  9. Bappenas RI. (2021). Perkembangan Ekonomi Indonesia dan Dunia. Jakarta: Bappenas.
  10. Benny, J. (2013). Ekspor Dan Impor Pengaruhnya Terhadap Posisi Cadangan Devisa di Indonesia. Jurnal Riset Ekonomi, Manajemen, Bisnis Dan Akuntansi, 1(4), 1406–1415.
  11. Cahyaningtyas, D. P., & Aminata, J. (2020). Analisis Faktor-Faktor Yang Mempengaruhi Perdagangan Indonesia Dengan Negara-Negara Anggota APEC. Jurnal Dinamika Ekonomi Pembangunan, 3(3), 219–233.
  12. De Groot, H. L. F., Linders, G.-J., Rietveld, P., & Subramanian, U. (2004). The Institutional Determinants of Bilateral Trade Patterns. KYKLOS: International Review for Social Science, 57(1), 103–123. https://doi.org/10.1111/j.0023-5962.2004.00245.x
  13. Dritsakis, N. 2004. A Causal Relationship between Inflation and Productivity: An Empirical Approach for Romania. American Journal of Applied Sciences, 1(2), 121–128. https://doi.org/10.3844/ajassp.2004.121.128
  14. Haq, G. (2012). Impact of Foreign Direct Investment on Exports – A Case Study of Pakistan. Sarhad University of Science and Information Technology, Pakistan: University Town Peshawar
  15. Ilmas, N., Amelia, M., & Risandi, R. (2022). Analysis of the Effect of Inflation and Exchange Rate on Exports in 5-Year Asean Countries (Years 2010–2020). Jurnal Ekonomi Trisakti, 2(1), 121–132. https://doi.org/10.25105/jet.v2i1.13561
  16. Ingot, S. R., & Hastjarjo, R. M. (2017). Analisis Dampak Liberalisasi Perdagangan Barang pada Perundingan Indonesia–EU CEPA terhadap Perekonomian Indonesia. Buletin Ilmiah Litbang Perdagangan, 11(2), 123-142. https://doi.org/10.30908/bilp.v11i2.223
  17. Kaufmann, D., Kraay, A., & Mastruzzi, M. (2010). The Worldwide Governance Indicators: Methodology and Analytical Issues (No. 5430; Issue September). Washington, D.C: The World Bank
  18. Krugman, P.R., Obstfeld, M., & Melitz, M.J. (2015). International Economics: Theory and Policy, (8th edition). London: Pearson.
  19. Mahadiansar, M., Setiawan, R., Darmawan, E., & Kurnianingsih, F. (2021). Realitas Perkembangan Investasi Asing Langsung di Indonesia Tahun 2019. Matra Pembaruan, 5(1), 65–75. https://doi.org/10.21787/mp.5.1.2021.65-75
  20. Mukhtarov, S., Alalawneh, M. M., Ibadov, E., & Huseynli, A. (2019). The impact of foreign direct investment on exports in Jordan: An empirical analysis. Journal of International Studies, 12(3), 38–47. https://doi.org/10.14254/2071-8330.2019/12-3/4
  21. Statista Research Department. (2022). Natural resources in Indonesia - Statistics & Facts. Report series in Statista Research Department
  22. Nairobi, N., & Respitasari, R. (2021). Public Infrastructure and Economic Growth in the Local Region. Jurnal Ekonomi Pembangunan, 19(1), 51–60. https://doi.org/10.29259/jep.v19i1.13826
  23. Narayan, Paresh and Smyth, Russell. (2011). The Effect of Inflation and Real Wages on Productivity: New Evidence from a Panel of G7 Countries. Applied Economics, 41(1), 1285– 1291. https://doi.org/10.1080/00036840701537810
  24. Njong, A.M. & Tchakount’e, R. (2011). Investigating the effects of foreign direct investment on export growth in Cameroon. Faculty of Economics and Management, Cameroon: University of Dschang.
  25. Pontes, J. P., & Pires, A. J. G. (2021). A geographical theory of (De)industrialization. Structural Change and Economic Dynamics, 59, 567-574. https://doi.org/10.1016/j.strueco.2021.10.010
  26. Purusa, N. A., & Istiqomah, N. (2018). Impact of FDI, COP, and Inflation to Export in Five ASEAN Countries. Jurnal Ekonomi Pembangunan: Kajian Masalah Ekonomi Dan Pembangunan, 19(1), 94. https://doi.org/10.23917/jep.v19i1.5832
  27. Pujiati, R., Firdaus, M., Adhi, A. K., & Brummer, B. (2014). The Impact of Regional Trade Agreements to The Commodity Trade Flows (Case Study: International Palm Oil Trade). Forum Agribisnis: Agribusiness Forum, 4(2), 193-206. https://doi.org/10.29244/fagb.4.2.193-206
  28. Rusmin, J. H., Suryadi, A., & Abdullah, N. (2021). Analisis Proses Perundingan Kerja Sama IA-CEPA (Indonesia-Australia Comprehensive Economic Partnership Agreement) Tahun 2013-2018. Hasanuddin Journal of International Affairs, 1(2). 134-153.
  29. Saimul, & Darmawan, A. (2020a). Trade Openness Effect on Provincial Economic Growth in Indonesia. WIGA Jurnal Penelitian Ilmu Ekonomi, 10(2), 87–100. https://doi.org/10.30741/wiga.v10i2.553
  30. Saimul, & Darmawan, A. (2020b). Understanding Causality Relation among FDI, Foreign Trade and Economic Growth. Economics Development Analysis Journal, 9(4), 414–426. https://doi.org/10.15294/edaj.v9i4.39044
  31. Selim, N., Reci, K. & Sadiku, L. (2016). The impact of FDI on the export performance: Empirical evidence for Western Balkan countries. ILIRIA International Review, 1(1), 57-66. https://doi.org/10.21113/iir.v6i1.235
  32. Setyastuti, R., Adiningsih, S., & Widodo, T. (2018). The Role of Governance Quality in Increasing Intra-ASEAN Trade. (MPRA Paper No. 85258).
  33. Sinn, H-W. (2014). Austerity, Growth, and Inflation: Remarks on the Eurozone's Unresolved Competitiveness Problem. The World Economy 37(1), 1-13. https://doi.org/10.1111/twec.12130
  34. Sonny, S. (2020). Indonesia di Tengah Himpitan Perang Dagang Amerika Serikat dan China. Jurnal Renaissance, 5(1), 617-623. https://doi.org/10.53878/jr.v5i1.114
  35. Taufiqqurrachman, F., & Handoyo, R. D. (2021). Analisis Dampak IC-CEPA terhadap Perekonomian Indonesia. Buletin Ilmiah Litbang Perdagangan, 15(1), 27–50. https://doi.org/10.30908/bilp.v15i1.439
  36. Wang, Y. (2020). Causes of U.S.-China trade imbalances: a review. Journal of Chinese Economic and Foreign Trade Studies, 13(1), 37-44. https://doi.org/10.1108/JCEFTS-01-2020-0003
  37. Wibowo, D. (2015). Pengaruh Pendapatan Per Kapita, Economic Growth Rate, Economic Structure, dan Tax Rate Terhadap Tax Ratio Pada Negara-Negara Oecd Dan Indonesia. Jurnal Akuntansi Universitas Jember, 11(1), 45-61. https://doi.org/10.19184/jauj.v11i1.1260
  38. World Trade Organization. (2012). Trade in Natural Resources. WTO Public Forum 2011, 73–100. https://doi.org/10.30875/4e4df748-en
  39. World Trade Organization. (2021). Economic Resilience and Trade. Jenewa: World Trade Organization.
  40. Wuri, J. (2018). Fluktuasi Kurs Valuta Asing Di Beberapa Negara Asia Tenggara. EXERO: Journal of Research in Business and Economics, 1(1), 1–22. https://doi.org/10.24071/exero.2018.010101
  41. Yuliani, F., Siregar, H., Widyastutik, W., & Rifin, A. (2019). The Impact of Foreign Direct Investment Spillover, Technology and Firm Size on the Productivity of Domestic Firm in Food Industry. International Journal of Economics and Financial Issues, 9(3), 287–296. https://doi.org/10.32479/ijefi.7905
  42. Zulfira, R. D. (2019). Dampak Hubungan Bilateral Indonesia Dengan Jepang Sebelum Dan Sesudah Indonesia-Japan Economic Partnership Agreement (IJEPA). Jurnal Dinamika Ekonomi Pembangunan, 2(1), 124–134. https://doi.org/10.33005/jdep.v2i1.83