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Creative Industries and Regional Productivity Growth in the Developing Economy: Evidence from Indonesia
Author(s) -
Fahmi Fikri Zul,
Koster Sierdjan
Publication year - 2017
Publication title -
growth and change
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.657
H-Index - 55
eISSN - 1468-2257
pISSN - 0017-4815
DOI - 10.1111/grow.12212
Subject(s) - productivity , craft , creative industries , indonesian , business , indonesian government , consumption (sociology) , shift share analysis , government (linguistics) , creative economy , economic geography , economics , economic growth , economy , creativity , political science , geography , social science , linguistics , philosophy , archaeology , sociology , law
This paper examines the degree to which creative industries stimulate regional productivity growth in a developing country, Indonesia. The Indonesian government promotes long‐established “traditional” craft businesses as creative industries, but they pay less attention to new knowledge creation and focus on highlighting heritage values as selling points. Our findings show that the “real” creative industries are still scarce and found mostly in fairly advanced urban regions. These industries are more likely to be an indicator than a driver of regional economic development. Meanwhile, those traditional businesses are much larger than creative industries and potentially contribute to regional productivity through consumption activities, thereby requiring different policy strategies.