Economic Performance of Cities in Indonesia: Impact Analysis of Smart City Concept Implementation

Ayu Dwi Putri, Khoirunurrofik

2018

Abstract

Since 2012, many local governments in Indonesia have independently initiated city development by implementing the concept of ‘the smart city’. This concept uses technology to improve city performance by solving problems more effectively and efficiently. The smart city concept includes not only the use of technology but also human capital, social and environmental issues as indicators of smart city attributes. As the central government of Indonesia launched its programme ‘The Movement Towards 100 Smart Cities’ in 2017, it is important to measure the success of city development in terms of the smart city concept. This study aims to estimate the effect of smart city concept implementation on the economic performance of cities in Indonesia using the two stages least squares (2SLS) method. This study also uses instrument variables (IV) by applying city smartness indicators to control some factors which will affect smart city concept implementation. The smartness indicators used are smart economy, smart people, smart governance, smart environment, smart mobility and smart living. The results prove that the implementation of the smart city concept in districts or cities in Indonesia has a significant positive effect on the economic performance of cities in Indonesia.

Paper Citation

in Harvard Style

Dwi Putri A. and Khoirunurrofik. (2018). Economic Performance of Cities in Indonesia: Impact Analysis of Smart City Concept Implementation.In Proceedings of the 4th Sriwijaya Economics, Accounting, and Business Conference - Volume 1: SEABC, ISBN 978-989-758-387-2, pages 122-132. DOI: 10.5220/0008437501220132

in Bibtex Style

@conference{seabc18,
author={Ayu Dwi Putri and Khoirunurrofik},
title={Economic Performance of Cities in Indonesia: Impact Analysis of Smart City Concept Implementation},
booktitle={Proceedings of the 4th Sriwijaya Economics, Accounting, and Business Conference - Volume 1: SEABC,},
year={2018},
pages={122-132},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0008437501220132},
isbn={978-989-758-387-2},
}

in EndNote Style

TY - CONF

JO - Proceedings of the 4th Sriwijaya Economics, Accounting, and Business Conference - Volume 1: SEABC,
TI - Economic Performance of Cities in Indonesia: Impact Analysis of Smart City Concept Implementation
SN - 978-989-758-387-2
AU - Dwi Putri A.
AU - Khoirunurrofik.
PY - 2018
SP - 122
EP - 132
DO - 10.5220/0008437501220132