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Place-based policies target specific geographic areas for special treatment. They attempt to stimulate growth and development in lagging regions by (1) attracting firms, (2) attracting workers and human capital, and (3) improving local public goods. This report conducts a critical review of place-based policies that have been implemented in Indonesia since Suharto's presidency. It examines the evolution of different policies and programs, aiming to understand whether these programs have increased prosperity, improved livability, or promoted greater inclusiveness for lagging regions. We begin by describing the evolution of central and local policymaking in Indonesia, providing the context through which place-based policies operate. We then review place-based policies that affect firm location choices, improve schooling and health for workers, and provide social assistance for people in lagging areas, evaluating their strengths and weaknesses. We conclude by offering recommendations to improve and redirect place-based policymaking in the future.

Access of Poor to Social Services --- Business Environment --- Cash Transfers --- Decentralization --- Living Standards --- Macroeconomics and Economic Growth --- Poverty Reduction --- Public Sector Development --- Regional Urban Development --- Services and Transfers to Poor --- Urban Development --- Urban Economic Development --- Urbanization

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We use a population resettlement program in Indonesia to identify long-run effects of intergroup contact on national integration. In the 1980s, the government relocated two million ethnically diverse migrants into hundreds of new communities. We find greater integration in fractionalized communities with many small groups, as measured by national language use at home, intermarriage, and children's name choices. However, in polarized communities with a few large groups, ethnic attachment increases and integration declines. Residential segregation dampens these effects. Social capital, public goods, and ethnic conflict follow similar patterns. Overall, our findings highlight the importance of localized contact in shaping identity.

Zonder onderwerpscode: economie

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This paper estimates the local welfare impacts of highway maintenance investments. We instrument road quality exploiting Indonesia's two-step budgeting process for allocating funding to local road authorities. Using comprehensive data on road quality from 1990-2007, we find evidence that better roads help manufacturers create new jobs, enabling worker transitions out of informal employment, and increasing labor income. Road quality also changes the cost of living, reducing perishable food prices but also raising housing prices. We estimate the elasticity of household welfare with respect to road quality to be 0.09 and the benefit/cost ratio for road maintenance investments to be 1.8.

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We use a population resettlement program in Indonesia to identify long-run effects of intergroup contact on national integration. In the 1980s, the government relocated two million ethnically diverse migrants into hundreds of new communities. We find greater integration in fractionalized communities with many small groups, as measured by national language use at home, intermarriage, and children's name choices. However, in polarized communities with a few large groups, ethnic attachment increases and integration declines. Residential segregation dampens these effects. Social capital, public goods, and ethnic conflict follow similar patterns. Overall, our findings highlight the importance of localized contact in shaping identity.

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Hurricanes Irma and Maria devastated Puerto Rico in September 2017. The Federal Emergency Management Agency asked the Homeland Security Operational Analysis Center to develop a long-range recovery plan for the damage to Puerto Rico, incorporating all of the sectors indicated in the National Disaster Recovery Framework. This report provides a comprehensive evaluation of the transportation sector. It includes a detailed description of prestorm conditions across surface, maritime, and air transportation; descriptions of the damage caused by the hurricanes, including physical damage and estimated costs to repair them; and a list of proposed courses of action selected by the government of Puerto Rico. Before the hurricanes, transportation in Puerto Rico was marked by roads and bridges in only fair condition, a public transportation system with low service provision and declining ridership, a high reliance on one seaport and one airport, declining cargo movements, and significant fiscal solvency concerns. The hurricanes produced widespread damage to the transportation sector, totaling an estimated

Hurricane damage --- Hurricane Irma, 2017. --- Hurricane Maria, 2017. --- Transportation --- Hurricane effects --- Puerto Rico.