Comparative Analysis of Regional Economic Development Inequality Across Indonesian Provinces Using Dynamic Klassen Typology and Williamson Index

Nur Azmi Karim; Hadira Thumaninah Jibril

doi:10.61255/jeemba.v4i5.1186

Authors

Nur Azmi Karim Entrepreneurship Department, Business School Undergraduate Program Bina Nusantara University Campus Bandung, Indonesia
Hadira Thumaninah Jibril Department of Economics and Development, Faculty of Economics and Business, Tadulako University, Central Sulawesi, Indonesia

DOI:

https://doi.org/10.61255/jeemba.v4i5.1186

Keywords:

Domestic Product, Economic Growth, Gross Regional, Klassen Typology, Regional Disparities, Williamson Index

Abstract

Purpose: This study aims to determine the economic growth position of each province in Indonesia based on economic growth and GDP per capita using Klassen typology. Additionally, it identifies changes and trajectories of inter-quadrant movements between the first and last observation years, evaluates provinces experiencing persistence, increase, or decrease in economic position, and determines the level of economic growth inequality between provinces in Indonesia related to the dynamics of regional position changes during the 2016–2024 period.

Design/methodology/approach – This study uses a quantitative method. The Klassen Typology is applied to classify provinces based on economic growth and GDP per capita, while the Williamson Index is utilized to measure regional inequality across Indonesia's vast territory.

Finding/Results – The results show that provinces with relatively high economic growth and GDP per capita tend to be concentrated in Java and parts of Sumatra, supported by stronger economic structures, investments, connectivity, and fiscal capacity. Conversely, provinces with relatively low performance tend to rely on the primary sector and face limited infrastructure and a lack of economic diversification.

Originality/Value – The originality of this study lies in the integration of the Klassen Typology and the Williamson Index with a detailed analysis of changes in provincial positions from the early years to the end of the period. This approach provides a dynamic perspective on economic mobility and regional inequality, serving as a solid basis for more targeted development policy formulation in Indonesia.

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