|Name : Putra Prima Raka
Email : firstname.lastname@example.org
Thesis Supervisor: Kiki Verico, S.E., IMRI, Ph.D.
|Abstract: The role of intermediate Import has become increasingly Important in Improving Indonesia’s manufacturing export performance. Using Two-Stage Least Square strategy utilizing firm-level data of Indonesia Industrial Statistics from 2011 to 2014, it Is found that firms which expand their intermediate import could expand the value and volume of their exports. This effect accounts for firms in both GPN and Non-GPN industries. Further, this research found a different price behavior between GPN industries and Non-GPN industries in the International trade. It is observed that firms in GPN industries face price rigidity as the export and import involves intra-network transactions, while Non-GPN industries face a more fluctuating price. Finally, as this research found that intermediate import is elastically dependent with import tariff, it exposes the new facts that Indonesia’s attempt to increase protection against Imported intermediate products might trigger the dual costs of protectionism.|