The working title of this research initially drafted as Obstacles to Economic Growth: The Case of Indonesia
2.0 Background of the Research
Encyclopedia Britannica defines economic growth as the increase in the value of the goods and services produced by an economy which is conventionally measured by the real gross domestic product (real GDP). Growth is calculated in real terms for the purpose of netting out the effect of inflation on the price of the goods and services produced. Economic growth concerns long run as the increase in GDP is generally taken as an increase in the standard of living of the inhabitants.
One of the several Asian nations that has seen positive economic growth is
On the other hand, the Indonesian economic growth remains modest from 2003 though the economy is performing better than expected. From the period of 2003 onwards,
3.0 Statement of the Problem
The problem that will be investigated is the impediments to further economic growth of
1) How the Indonesian economy is performing recently? What are the major indicators of the positive economic growth for
2) How the financial crisis in late 1990s, the tsunami and other crisis affect the current economic performance of
3) What are the other factors that affect the economic growth of the country politically, socially and legally?
4) How does the Indonesian government respond to the economic impediments? What strategies are implemented?
4.0 Objectives of the Study
The main purpose of the study is to determine the obstacles to economic growth in
§ To evaluate the economic performance of
§ To analyse how the most recent past of economic crisis affect the present economic performance
§ To distinguish the political, social and legal factors which serve as obstruction to further economic growth
§ To explore how the Indonesian government is doing as a response to economic growth hindrances
5.0 Research Methodology
The study will explore the problem in an interpretivist view, using exploratory research strategy because it aims to know more about the phenomenon of economic growth in
In this study, primary and secondary research will be both incorporated. The reason for this is to be able to provide adequate discussion for the readers that will help them understand more about the issue and the different variables that involve with it. The primary data for the study will be represented by the survey results that will be acquired from the respondents. On the other hand, the literature reviews to be presented in the second chapter of the study will represent the secondary data of the study. Secondary sources of data will come from published articles from economic and commerce journals, theses and related studies.
Case study method will be also employed in the study. A case study is a "strategy for doing research which involves an empirical investigation of a particular contemporary phenomenon within its real life context using multiple sources of evidence."
REVIEW OF RELATED LITERATURE Internet banking refers to the utilization of the Internet for performing transactions and payments by accessing a bank's secure website.It also pertains to the application of financial services and markets through the use of electronic communication and computation(Humphrey et al. 2004).The developments can be subdivided into two main areas. The first is the impact of Internet banking on financial services. Most economists perceive that the existence of the Internet and other electronic communication processes has significantly changed many aspects of the banking industry. A majority of the services normally provided by banks can already be provided by other financial entities (Jayaratne et al. 2001). The second main area is the major transformation that occurred on most financial markets. Nowadays, these no longer need to be related with a physical place. In effect, trading systems for foreign exchanges are gradually becoming global. All these change…