International Journal of Management and Commerce Innovations ISSN 2348-7585 (Online) Vol. 7, Issue 2, pp: (290-298), Month: October 2019 - March 2020, Available at: www.researchpublish.com
INTER-IMPORT DEPOSITION IN THE BALI ECONOMY Ni Rai Artini1, Ngurah Wisnu Murthi2 1,2
Faculty of Economics, Tabanan University, Tabanan, Bali, Indonesia
Abstract: This study aims to determine: trends in leakage of imports of Bali and their effects on Bali's GRDP, the nature of elasticity of leakage of imports between regions of Bali. Bali was chosen as a research area, because its economic growth is above national, as a world tourist destination, Bali's economy is open, population growth is high (above 2% per year) and Bali's GRDP is always increasing. The developing economy of the population will encourage their ability to import various types of commodities to meet consumption needs. This reality inspired researchers to focus on researching the problem of leakage in Bali imports. The analytical tool used is linear trend, multiple linear regression models, and the coefficient of income elasticity. Based on the results of this study it is expected to be able to reveal, that the trend of import leakage in the Bali economy is predicted to increase in the future, then the GRDP has a positive effect on leakage of imports between regions, and the income elasticity of leakage of imports between regions is thought to be elastic. This elasticity indicates that imports of commodities between Bali are luxury goods, and these commodities are used to meet the consumption of local residents. Based on the findings of this study it is suggested, the population saves more in consuming types of consumer products, including fuel, motor vehicles. and if necessary, use public transportation as a saving step forward. Keywords: Import leaks, Bali's economy.
I. INTRODUCTION Mercantilism ideology is rooted in government activities in the economy and centered on trade. This flow holds that trade is a source of wealth for a country. Their perception is that trade activities can benefit the country. The trade benefits are obtained by the state on the condition of export> import, using gold, silver and using the country's own transportation tools. Besides that the country also runs a policy of import restrictions, the use of foreign exchange (gold, silver) which is minimal for imports (Alzheimer's, O., 2009). The philosophy of mercantilism has a contributory relevance to economic development, and up to now many developed countries have adopted it. The Province of Bali in enhancing the regional economy, also relies on trade contributions. The component of net export (or export> import) in Bali's GRDP shows a positive contribution. Bali's overseas export data for February - 2018 reached US $ 45,260,970 and increased from US $ 45,150,313 February - 2017, up 0.25 percent. At the same time Bali's foreign imports were US $ 10,026,444 February - 2018, and increased from US $ 4 573 455 February 2017, up 119.23 percent. During (2017 - 2018) Bali's foreign net export value was a surplus of US $ 35,234,526. In contrast to net exports abroad, net imports (imports> exports) between Bali regions during (2013-2017) were positive. This indicates that for five years the economy of Bali experienced a leakage of imports between regions. Net imports between the regions of Bali reached IDR. 38129.41 billion (2013), then to IDR. 36648.43 billion (2017) or an average increase of IDR. 33895.81 billion per year. In 2017 inter-regional leakage of imports to Bali's GRDP reached 22.27 percent. Observing the development of net imports between the positive regions of Bali during (2013-2017) it can be revealed, that leakage of imports between regions of Bali has increased. The causal factor is suspected to be due to the high dependence of the Balinese economy on imports between Bali regions which reached 51.87 percent (2016).
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