The implementation of government decentralization in Indonesia is facing regulatory problems for autonomous regions’ financing sources. Therefore, attention to regional finance is increasingly needed given that autonomous regions are required to carry out various central government interests in addition to their affairs. This leads to a split of power over financing development policy by the regional government. However, this does not mean that the local government’s financial needs must be free from the central government’s intervention. This study briefly compares financing regional autonomy in Indonesia, France, Germany and Thailand. The results show that the distribution of financial resources between the central government and regional governments is inconsistent with Article 18A section 2 of Law No.1/2022. The results also show that the provisions of various sources of taxation and levy have not met the financial needs of regions in Indonesia. Financial balance in the form of Natural Resources Production Sharing Fund from various natural resources owned by regions that only share unrenewable resources such as mining excavated materials remains unequally distributed between regions that have natural resources.
In an effort to bridge the gap of economic and social inequality among the community, rural areas in Indonesia are encouraged to be self-sufficient in generating income. This makes the central government create various policies so that the regional government maximizes the management of its potential as an economic resource for the well-being of its people. One of the ways to manage this potential is to encourage rural areas to create tourism products that can be sold to the public. The Indonesian governments openly use the tourism sector as a tool for the development in many rural areas. Next, efforts to achieve successful development of the district will be closely related to the strategic planning and long-term cooperation of each local government with stakeholders in its implementation. These two points are the basic elements of the new regionalism theory. This theory states that the role of local governments is very important in initiating and making policies for new economic activities for a significant improvement in the quality of their population. Therefore, this study tries to explore how the new theory of regionalism can include rural development from a tourism perspective as a way to stimulate the fading economy in rural area of Indonesia. The study found that the new theory of regionalism needs support from various aspects such as social-cultural, community participation, the three pillars of sustainable development namely economic, social, and environmental as well as basic aspects to shape sustainable rural development through tourism.
This paper presents an assessment approach to fostering socioeconomic re-development and resilience in Iraqi regions emerging from the destruction and instability, in the aftermath of the war conflict in Iraq. Focusing on the intricate interplay of logistics infrastructure and economic recovery, the present study proposes a novel framework that integrates general resilience insights, data analytics, infrastructure systems, and decision support from Data Envelopment Analysis (DEA). We draw inspiration also from historical cases on “creative destruction” or “Blessing in Disguise” (BiD) phenomena, like the post-WWII reconstruction of Rotterdam, so as to develop the notion of stepwise or cascadic prosilience, analyzing how innovative logistics systems may in various stages contribute to economic rejuvenation. Our approach recognizes the multifaceted nature of regional resilience capacity, encompassing both static (conserving resources, rerouting, etc.) and dynamic (accelerating recovery through innovative strategies) dimensions. The logistics aspect spans both the supply side (new infrastructure, ICT facilities) and the demand side (changing transportation flows and product demands), culminating in an integrated perspective for sustainable growth of Iraqi regions. In our study, we explore several forward-looking strategic future options (scenarios) for recovery and reconstruction policy factors in the context of regional development in Iraq, regarding them as crucial strategic elements for effective post-conflict rebuilding and regeneration. Given that such assets and infrastructures typically extend beyond a single city or area, their geographic scope is broader, calling for a multi-region approach. By leveraging the extended DEA approach by an incorporation of a super-efficiency (SE) DEA approach so as to better discriminate among efficient Decision-Making Units (DMUs)—in this case, regions in Iraq—our research aims to present actionable and effective insights for infrastructure investment strategies at regional-governorate scale in Iraq, that optimize efficiency, sustainability and resilience. This approach may ultimately foster prosperous and stable post-conflict regional economies that display—by means of a cascadic change—a new balanced prosilient future.
Brazil occupies a prominent position as one of the largest domestic air passenger markets globally. In May 2019, OAG Aviation Worldwide Limited (OAG), a renowned global travel data provider, ranked Brazil as the world’s 6th largest domestic market. This study identifies and meticulously analyses statistical trends in how service levels affect passenger demand on domestic air routes in Brazil. To that end, it employs a panel-data gravity model incorporating service as an instrumental variable. The findings confirm the influence of traditional gravity explanatory variables, while also contributing novel insights into the impact of service levels on domestic routes. The analysis reveals that, while factors such as income and distance play a fundamental role in shaping domestic demand, level of service emerges as a crucial determinant on regional connections. Overall, the statistics suggest growing divergences between Brazilian airlines and regional air transport. Accordingly, substantial changes are necessary in both government policies and the services offered by the airline industry in order to harness the full potential of Brazil’s domestic air transport passenger market and foster regional development.
Regional cooperation stands as a key strategy to address intense economic competition and formidable local governance challenges. Successful regional collaborations are typically founded on the basis of institutional similarity, which also serves as the starting point for a multitude of related theoretical studies. Consequently, the regional cooperation within the context of institutional conflicts has been overlooked. This paper aims to explore the process of regional cooperation against the backdrop of conflicts, using the Guangdong-Hong Kong-Macao Greater Bay Area (GBA) as a case study and analyzing it from the perspective of the sociology of knowledge. The article posits that conflicts can stimulate interactions among various actors, foster the generation of local knowledge, and propel specific cooperative practices. Moreover, local and central governments, grounded in local knowledge and universal managerial insights, continuously authenticate and propagate local innovations, establishing guiding policies and, consequently, producing rational knowledge. The accumulation of such knowledge has not only strengthened civilian cooperation but also facilitated broader collaborative efforts. The study reveals that despite the GBA’s remarkable achievements in cooperation, challenges persist: on the one hand, there are issues with the government’s process of rational knowledge production and the quality of knowledge itself; on the other hand, excessive governmental dominance may suppress the production and application of local knowledge. Therefore, refining the knowledge production mechanism is especially critical. The findings of this paper uncover the mechanisms of regional cooperation amidst institutional conflicts and deepen our understanding of regional collaboration and cross-border governance.
This study addresses the impact of the tourism sector on poverty, poverty depth, and poverty severity in Indonesia, focusing on the micro-level dynamics in the province. Despite numerous tourism destinations, their strategic contribution to regional progress remains underexplored. The motivation stems from the need to comprehend the nuanced relationship between tourism and poverty at both the national and local levels, with specific attention to the untapped potential at the province level in Indonesia. We hypothesize that a higher tourism sector GRDP will be inversely correlated with poverty levels, and the inclusion of a Covid-19 variable will reveal a structural impact on poverty dynamics. Employing a Panel Regression Model, secondary data from the Central Statistics Agency (BPS) spanning 2011–2020 is utilized. A panel data regression equation model, including CEM, FEM, and REM, is employed to analyze the intricate relationship between tourism and poverty. The findings demonstrate a negative correlation between higher tourism sector GRDP and the number of poor people. The Covid-19 variable, considered a structural break, reveals a significant association between increased cases and elevated poverty and severity across Indonesian provinces. This study contributes a micro-level analysis of tourism’s role, emphasizing its impact at the provincial level. The findings underscore the need for strategic initiatives to harness the untapped potential of tourism in alleviating poverty and promoting regional progress.
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