Autori
Damayati, Ashintya
Nuryakin, Chaikal
Yudhistira, Muhammad Halley
Dartanto, Teguh

Titolo
Industrial location policy, exporting activity, and firms' collusive behavior: scrutinizing the unintended effect of industrial location policy in Indonesia
Periodico
Economia e politica industriale
Anno: 2024 - Volume: 51 - Fascicolo: 4 - Pagina iniziale: 815 - Pagina finale: 858

Industrial location policies are generally deemed advantageous for economic growth, yet they may inadvertently facilitate firms' collusive behaviour. Given the non-uniform nature of industrial location policies, their effects could varies due to heterogeneity in government involvement, incentives, regulation, and export orientation. To elucidate this, we examine firms' natural tendency for collusion within Indonesia's Special Economic Zone (SEZs) and Industrial Area (IAs) representing distinct cases for exploring this variability. Remarkably, our findings are intriguing: firms within IAs exhibit higher collusive behaviour, while SEZ firms display lower tendencies compared to firms outside such areas. Notably, these findings are independent of differences in exporting activities highlighting the role of government involvement, incentives, and regulation as key factors.



SICI: 0391-2078(2024)51:4<815:ILPEAA>2.0.ZU;2-S

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