Since the mid-1970s, inflation has been identified as the number one macroeconomic problem in Aus... more Since the mid-1970s, inflation has been identified as the number one macroeconomic problem in Australia, and "fight inflation first" has become the cornerstone of macroeconomic policy mix. The present government has come close to the NZ stance of having legislated a "zero or low" inflation target for the Reserve Bank. This policy stance has been largely successful in bringing both
Indonesia continues to bear the scars of the 1997 financial crisis, with the highest open unemplo... more Indonesia continues to bear the scars of the 1997 financial crisis, with the highest open unemployment rate in Southeast Asia. The orthodox interpretation is that the post-crisis era is typified by overly generous labor legislation granting higher minimum wages and other provisions; the rise in real wages adversely impacted the investment climate and employment growth. However, detailed sectoral analysis reveals
This paper examines how macroeconomic policies can be managed to accommodate a large inflow of fo... more This paper examines how macroeconomic policies can be managed to accommodate a large inflow of foreign aid to combat the HIV/AIDS epidemic and still maintain macroeconomic stability. Because of the daunting scale of this epidemic, funds need to be disbursed urgently in order to contain its spread, yet some economists worry that rapidly scaling up foreign assistance for this purpose
This paper examines how macroeconomic policies can be managed to accommodate a large inflow of fo... more This paper examines how macroeconomic policies can be managed to accommodate a large inflow of foreign aid to combat the HIV/AIDS epidemic and still maintain macroeconomic stability. Because of the daunting scale of this epidemic, funds need to be disbursed urgently in order to contain its spread, yet some economists worry that rapidly scaling up foreign assistance for this purpose
The Indonesian government has pinned its hope for reducing unemployment on higher economic growth... more The Indonesian government has pinned its hope for reducing unemployment on higher economic growth and increased labor market flexibility, such as lowering minimum wages. The estimated sectoral employment functions reveal that output growth rather than real wages is the major determinant of employment. Additionally, the real wage elasticity of employment in the manufacturing sector is very low. That is, a
Focused around the greed and/or grievance theses, a large part of the economics of conflict liter... more Focused around the greed and/or grievance theses, a large part of the economics of conflict literature concerns itself with civil war. This article provides socioeconomic perspectives on contemporary conflict in Indonesia. Three categories of violent conflict in the country are separatist violence, ethnic/sectarian violence, and routine violence. We argue that two elements of the grievance argument, namely relative deprivation and
This paper seeks to examine the relationship between inflation and GDP growth for four South Asia... more This paper seeks to examine the relationship between inflation and GDP growth for four South Asian countries (Bangladesh, India, Pakistan and Sri Lanka). A comparison of empirical evidence is obtained from the cointegration and error correction models using annual data collected from the IMF International Financial Statistics. The authors find evidence of a long-run positive relationship between GDP growth rate
MONETARY AND FINANCIAL POLICIES IN DEVELOPING COUNTRIES The role of monetary stability and financ... more MONETARY AND FINANCIAL POLICIES IN DEVELOPING COUNTRIES The role of monetary stability and financial condition in economic growth has produced one of the most passionate debates in economics. Much of the evidence in this debate is inconclusive and influenced ...
ABSTRACT Where large-scale investments are needed, especially for infrastructure projects, public... more ABSTRACT Where large-scale investments are needed, especially for infrastructure projects, public-private partnerships (PPPs) have been touted as an option. With encouragement by the international financial institutions, PPPs have been promoted in developing countries, especially those facing large public sector debt burdens. PPPs can be very diverse and complex. Many developing country governments lack the institutional and human resource capacity to handle the complexities of PPPs, and hence, PPPs may not yield the results promised. Complex financial contracts, involving commitments to future payments, often reduce transparency. Thus, PPPs can suffer similar problems – such as corruption, cronyism, monopolies – faced in privatization. The transfer of risks to private contractors may be partial, with the government having to step in if something goes wrong. A further consideration is to ensure equitable access for poor and low income households to maintain political support for PPPs. Even when PPP contracts take investments off government balance sheets, and thereby seemingly improve the fiscal balance, commitments to pay for future service flows and other contingent liabilities have similar economic effects to public debt. PPPs do not necessarily entail lower capital costs than investments financed by public borrowing.
Since the mid-1970s, inflation has been identified as the number one macroeconomic problem in Aus... more Since the mid-1970s, inflation has been identified as the number one macroeconomic problem in Australia, and "fight inflation first" has become the cornerstone of macroeconomic policy mix. The present government has come close to the NZ stance of having legislated a "zero or low" inflation target for the Reserve Bank. This policy stance has been largely successful in bringing both
Indonesia continues to bear the scars of the 1997 financial crisis, with the highest open unemplo... more Indonesia continues to bear the scars of the 1997 financial crisis, with the highest open unemployment rate in Southeast Asia. The orthodox interpretation is that the post-crisis era is typified by overly generous labor legislation granting higher minimum wages and other provisions; the rise in real wages adversely impacted the investment climate and employment growth. However, detailed sectoral analysis reveals
This paper examines how macroeconomic policies can be managed to accommodate a large inflow of fo... more This paper examines how macroeconomic policies can be managed to accommodate a large inflow of foreign aid to combat the HIV/AIDS epidemic and still maintain macroeconomic stability. Because of the daunting scale of this epidemic, funds need to be disbursed urgently in order to contain its spread, yet some economists worry that rapidly scaling up foreign assistance for this purpose
This paper examines how macroeconomic policies can be managed to accommodate a large inflow of fo... more This paper examines how macroeconomic policies can be managed to accommodate a large inflow of foreign aid to combat the HIV/AIDS epidemic and still maintain macroeconomic stability. Because of the daunting scale of this epidemic, funds need to be disbursed urgently in order to contain its spread, yet some economists worry that rapidly scaling up foreign assistance for this purpose
The Indonesian government has pinned its hope for reducing unemployment on higher economic growth... more The Indonesian government has pinned its hope for reducing unemployment on higher economic growth and increased labor market flexibility, such as lowering minimum wages. The estimated sectoral employment functions reveal that output growth rather than real wages is the major determinant of employment. Additionally, the real wage elasticity of employment in the manufacturing sector is very low. That is, a
Focused around the greed and/or grievance theses, a large part of the economics of conflict liter... more Focused around the greed and/or grievance theses, a large part of the economics of conflict literature concerns itself with civil war. This article provides socioeconomic perspectives on contemporary conflict in Indonesia. Three categories of violent conflict in the country are separatist violence, ethnic/sectarian violence, and routine violence. We argue that two elements of the grievance argument, namely relative deprivation and
This paper seeks to examine the relationship between inflation and GDP growth for four South Asia... more This paper seeks to examine the relationship between inflation and GDP growth for four South Asian countries (Bangladesh, India, Pakistan and Sri Lanka). A comparison of empirical evidence is obtained from the cointegration and error correction models using annual data collected from the IMF International Financial Statistics. The authors find evidence of a long-run positive relationship between GDP growth rate
MONETARY AND FINANCIAL POLICIES IN DEVELOPING COUNTRIES The role of monetary stability and financ... more MONETARY AND FINANCIAL POLICIES IN DEVELOPING COUNTRIES The role of monetary stability and financial condition in economic growth has produced one of the most passionate debates in economics. Much of the evidence in this debate is inconclusive and influenced ...
ABSTRACT Where large-scale investments are needed, especially for infrastructure projects, public... more ABSTRACT Where large-scale investments are needed, especially for infrastructure projects, public-private partnerships (PPPs) have been touted as an option. With encouragement by the international financial institutions, PPPs have been promoted in developing countries, especially those facing large public sector debt burdens. PPPs can be very diverse and complex. Many developing country governments lack the institutional and human resource capacity to handle the complexities of PPPs, and hence, PPPs may not yield the results promised. Complex financial contracts, involving commitments to future payments, often reduce transparency. Thus, PPPs can suffer similar problems – such as corruption, cronyism, monopolies – faced in privatization. The transfer of risks to private contractors may be partial, with the government having to step in if something goes wrong. A further consideration is to ensure equitable access for poor and low income households to maintain political support for PPPs. Even when PPP contracts take investments off government balance sheets, and thereby seemingly improve the fiscal balance, commitments to pay for future service flows and other contingent liabilities have similar economic effects to public debt. PPPs do not necessarily entail lower capital costs than investments financed by public borrowing.
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Papers by Anis Chowdhury