Economic policy impact on competitiveness and efficiency of textile industry in central java
The purpose of this research was to determine the competitiveness and efficiencyÂ as well as assessing the impact of economic policies on the performanceÂ of the textile industry in Central Java. The competitiveness methods use aÂ RCA, TSI, and IIT Indexes. The policy impacts use Policy Analysis Matrix andÂ sensitivity analysis. The results show that the textile industry in Central JavaÂ had only a comparative advantage, but not competitive one. The lower protectionÂ level made the textile industry was vulnerable to both internal and externalÂ shocks. In general economic efficiency was still lower, so it had lower effect onÂ the productivity and competitiveness level.
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