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ion: of ,_cial

:::i Furtl_ermorei:

......... more es_ntial

::IndOnesial i[Sl iS: more

i ...... arlsing:fr0m

ments

............ :restructuring tariff:ref0rms;for

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.... gtl_epres:: attract markets bylOWering: transac':::::: : ,:Wha fever me a s: i ti on co sts (i ie_i:the: costs of u sing: the i ii i ::d:eems :aslla: market). H0weveri it i_ only in :reCent: where: the:severest backlogs in : : : ¢ture infrastructureipattieularly powerand nii_o ....: electrifica tioni :h:ad: c_¢urredi :To this i :: :: end; infrastructure activi[ies stiould be directed toward the: depressed areasl ii : and activities and ex_ndit:ures Should: .......fake into :accOunt the: share of popular ii: ii pes:i : tion tha t:wili benefit fr0m tlie:projects, ii 6::i_:¢6_:aed:_6redireCt::::i ::i....... : : ........... : :: i :i

ill:and:i6W6r:: : : _tencei ::: :: :: .......

intrv .... ............... .....

iglaek6h:s Sucl_

:::: : may n:0 ......

:

:

h f:track! to: :; f0r itt{er6 ::are::imdeniably ! suchmeas_: :Usually :ilisfituti0n

: :fO:C0me:i:

i : ::i:: ProtectiOn :of ihe en¢itonmen:tis :a: iic0mmon:_0ncern beeause of: environ-: i i : i men tat: degradation, Acco:rding to :Dr:,: ......... de Dios:;: public disregard for resources stem from inadequate incenfiVes for os ¢ S peident n 0f theSe such:namrai resources for sustenance

to: conserve or pr0tect::their environ-: _::policiesl ::meii t: Tliu g)d egrada:fion becomes both: tlm:leas tl: It:is ti_eaggra vat ion and th e :causeo f d esti tu i

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......... ......

says. :Tho_ thatwent ahead of others

.....

..... nomic :prOblems and tOUgh:choices.": ....:;::. :.:,: i iiTheir Successes; there fore; are lesson S: themselve_that: is;: in sustaining

.....

port

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Fdid not policy environment.: Investing in peo-:: La0sland II ple:is:ithe:Silent reVolUtion: that activities. In par tieular;:female educa,i : to be: the:singl e:

work:::

3/]:ii..... ] 333:

: ...... re_l

i

:3

3

tariff; fema163:edUCation:can wipe out: poverty the:way:ithad:inlndOnesia in

)70s:andthe1980s.3

......

:

i

3 :

.............

,: eraCy rate is among tllehigheSt:iii the : .... i::economies: iregionand trade environment is fairly : .... .... :: open and competitive/yet; the outcomes:: : ri:g_t:P01i:cies)vary

:::capita: growth was less:tlian two per=:

::::


ban for

stanCeS _ ieal tiesoe: :cur; itivities Will be cost-eff_fiVe::

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_onserv-

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Ou

!shows that the maxi,: less than25:

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::i (NEDA

Matio:: Mai: :I.ucilaLa

ReW'i

!icultui

.1989 issue

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ii

i

::: ..................... : :::: ....

....

::

.poli-: : new schemei its effectiveness and elfin:: ::: : policy4 : Ciei_Cyas a credit:delivery mechanism I i::t0:imple: 0f the CARP must be eValuated. This i : pro-i :area will:i be examined by::the two researchers in their study on "Alterna-: : :: con:: tire Mechanisms for Rural Credit De: : i : livery.!' Other aiternative schemes will :: : i:: i: :

Jan reform: beneficiaries' :::::

.............

behavior

on ..... :

:

in tile: s tru c tu re

i:their demand for Cred iti :use of inp u ts i .... and:adoption of teclmotOgyl SeveraL: :: : ...... igi_m'dsizel C_ARLprovisions:affect0thermarkets : i] inveStmentl to which land: is interlinked. For exam: : and:land im2 ple;salesrestrietiongafR_tthefarmer's : Construction and:: ability t0 obtain Credit inasmuch as the : e q::u i p restrictionSa ffect the c011:ateral Value of :

)lies

a:

::

and MS.] : ]: ]: trends in t e:n: S i v e:: Philippine: fi sh eries :aquacu/tu re_ ]] or : )\ccording t0 them:i tli_ higl_est priori *';: the g. ::of-_overnm:ent g ........ : 'PP :i_r:t:is:g iven to....... pal _ctorbeean_ (a)it:contrib-: on {i_eavei:agG 50 :_rCent of the:::] : : ::: :totai fisheries :pmdhcfion; (b)em : :i::: ::: M e:a n L : ::ploys: 68 pe:rcel_t :::of ttie total: i abor i: Wiiile;: DrÂŁ: force in fislierieS)and::(C): the incidence: : ::P:e fia b:a ] : o f:p 0 ver ty:is Ve _: liigh am on g m n n ici-] :::::and. :Dr has:: :: :: ::]C:o r n i s t tl_e:ismatieg_,,,' total: en

:: :]:

FOr thei ipar_;Dr:Lian:tO

:::noted::: _atticuia_i;* il_::i984::and 1986: 5oi._ earnings of prawns

:::

:....:

: ::

:::: ::

of i in

late 1980s,i :: ti0weveri did not result in a decrease ::i: in tt_e area devoted tobrackisl_water :

::

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H

:_e-:: ::and: :::iional: :s

: :: ::: ..............

Dri:David:: ::: :

:Of:: tureasi

g!

of its ailiica ::for tl_at:fi_*ich:6f::ti{c et:w:ent tO:i:ii agrarian reform _ro_::::: ii::;:::

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ii In:a nutshelli [he Poverty study's recommendations: for poverty allevia= tion call for (1.)economic growth, (2)i :

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active market o_rati0ns, and (3)mini........ fearS:::: mum government intervention in the ii ! i imarket; emphaSizing:infrastructure; i: i : iand the mare: basicsociali: _rvices for the poor, and : safety net s for the most: vulnerable sec*

i

unem _: ::

in his assessment Of the study's results, "havel [been] heard [many times] be-

........!

,n ..... .... fore bu_ rema,ned .... unaddressea: to _creation:: daydc,Ience;the need Once:more to heed

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......

ties:::: :::: : ...........

....

' ::

:

::::ii::/i ¸::::::::::, :::i::.:i ¸: _n

Stabilization

Us:tmen[i::and

when

among ticipatein

househOlds::WhO: did :not par': the project:

:::::.........

........

:

If: if: cl_ooses i ;:;:'_:.i'._'t'_i_;:'_i,Lqiiik_l_"_i"'::_ ,//_:_;_I!;¢x._';:':¢i_';:: ........: :: i :: iin general the :natural resource ruG:iti:mUstn0tbear its conse= ba_ in: b0th: UA:and :SF:areas have SomeOne; some 2 improved l_.cau._ 0f the adoption of a helping

hand;

.....

soil Conservation:techniques.:

.....

The re-

i;f6rgetting at times that '_:farming methods have likewise been: i: : afterl all is: the solution," i : adopted, : .......... i: :i jurado, PlDS : Researth:Fellow;anda In theca_0fNSF:areas ifistxpro, :: ducfi0n increases: were observed for : ........ il the artificial reef areas, However, the: ii :achieved but _:onset of lower fish:catct_ in some of the i : ]::a:fC:ertain C0s[si::if we have i fishing areas implied:decreasing: re_-:: i source productivity:: This 0bserva[ion: : i : ...... ......:............ ....... ........... :....................... .... g ..... ry::about . infla". _ is partly. due to tl_e effects Of higherl i :: ..... : :The net effect WaS a::c0ntraCti0n 0f::tl_e: :ti0i_ :and Other fi_eal@ela:ted fishi_g effort among those wl_o did not i i ....... .... " :P r0blems : .... the:country has: the slow :tries ...... whi:el_ exp_fiei_:ced positiVe: its- P rOductio_ , _ i_suanceofmang0_/C<:S{ewardshipcon: -' ........ net:: g t, ...... : • :: : re:s0Ui_Ce:::Jr:ans fe rls::;:expa nd:ed::: their: Among:othersi it .sliould(1)liberalize i: tTacts as well a Smi ted and selec_:: :: : policies; (.2) ex_ l_ave : :fas_qt_ack: power i ..... and .......................... :" "-"±±:: ................. : ........ ? .... • ........ .......: P .... . peace • . . ...... .............. ....... ........ : Prof SolitaMonsodoftheUPScl_oolof 0rdergi_iiafioi_):a_d:(_):a[tractf0rei morea_ :, a g_uidin: g handwhlch • ..... ........................ ..... ...... .............. : .... g ._ _erves ...... : Eco:n0rnics:ii_: reaction to the prese:nta : : i :: : ::::: direcks and nOt orw, that seiflesor' sup_ : ............ ............................ ..................... _re sses: .............. ...... ..... .... ; ..... This lS anot!_e! lesson that the _s that we ::: :State mterven .......t_o_ _s cor_sp_cu_-: lesser aggn_ess_ve econormes could lean_ ..... Su:ccessf:uiinEas_Asiabecau.x-:it:

from the tig,ers of: East :Asim: 'i..........


..............

:i iI:II

i_ _..... 5:,_:_:5:':/ ......... _,'//'_::_.--: ........:i_:..... i/_:_:/%': get" for the :area as a: whole wouid :: i::::: i require thatcutti_g: outside of the i i _61d:sfrom ii_:serve: Should:not: exe_:: percent:of theharvestable:area.: :: : :: iiit:iS projected NPV: will be

C,,'v,_

_).¢_.;',;: t!il;i:¢_ _'"i ........ There :is stiil: considerable

.......: i: .......i

fati0 of 6.94 for: i:certainty in the dynamics of: specific i

:

!:::i:::::::::i?i(:: i¸::::,:::

_o .......

_.......

actual mteractionsarelm:mediate and hnear, then i theleconomlc value ofll : :: :::-:::77-7.......................................... 7:-7' : i ii' i such a :decision the : :P24_8 ................. _........ : ..... : _Bmtum Bay case would ........... ..... be around ::US$250 mil_ : lion less than what is ex_:: : :: :

i]

.....

r i:t:O:

::::::;::'

'

...........:i

:

'i:!;ii lion leSS tt_an the mosf i eostxeffe:c:tiVestra tegyi:Ttaese losses are : :issuance:of:stewardship c0ntracts to: i: substan : GDP of be _:KabupatenlManokwariis:pegged f0be i less than US$50 millioi_iyearly: There.......... f_re decisi:onmakers must be aware of: : : i; no: what the p0tential:iosses:of incon*ecf::: ::::_nefi:i_e6st:anaySis::WaS:conducted be7 i:decisions _ght _ver_: when infof ii .: '. marion is incom p lete or::uncertain--: . : pres;: :andacfaeCordingly5?_i:::::::: : :of sk3nd-: ....

....

management and the granting 0f seL ii cufe;long4ennexClus_ve access to:natu4 :ralresourCes:: i : ....

_en:::...... :figUres:::: .........

.....................

itles:ili:::Central :ertyrigi_tsfor_hep:artici:_ai_tGparticu 2 : pli::cafion:of the i i:ess6i_s:leamed from the ii est_iblish:edlLikeWiseimeasuresto con; eet:ificiud:e :site_specific trolthe*rowth:of : ......... g ........ P oP :uiation aswellas ....... :resources: migra tion: Sl_0uld:be: ir_s¢ituted to sus:: : .... in:i tain:the::e:ff0rts:of::C0nserving tl_ere' :

: :


"

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:;17:: .....

i_:-_ii___:C_-: i

i :

marketimperfectionswhichgivetradi: ersacost:advantageinobtainingcredit:

Hence

:

:I

of credit and:i: i i

iii

tha .....

:3:i i::: :i:i:

deman:dland

,ii11

i

, 1 :

;i resu its ::shoW::tl3at: the Speed ::6f:l_iAD: :: i isis of : :w_rieswithlan:d:_pes_LADwasfast-:: : i;employment est: in :g0vemment-owned iands; tl_en: i: : : : in: landed: esta re.s:and: rese ttiemen :sl0wes_:::ini::privatelya0wnedii:: i _S: :: : : lands_ she prop0sed:ai terna tire LAD::: i ..... ....... schem¢._. ................ ......

:

:rn:ral:::areasiWas: dis-< : i : Meanwhiiei:* ::in::his study :onll y]!'De-::::'; :x ) 2, _ Comes: A:Hiilippine]_ erspective, *r Dr. the:increase: ::: miafi0n helps:: : {h:_: :::ti:hiid:sl: iii: urba:i_ fo:rm and in:inc:Om:esa nd p:ri are: es_ntia i:in:

:consumer::::::

,

.... :

i

,:fifldingS wi:tli respec to dif_ : ::: f:land: aequisiti0n i (LAD): ::Siiice initial: :

.....

,

:

,

: estimating:i theof welfare and distribu7 1 :: : : ti0nal:in3:pact tecim0iogical:changes ircnti:gradien ts;i:I and: 0ther ee0n:0mie :po!iciesilTl_eesti i:: _s and:a dimin:: : mation:res:uits include:ir|fo_ati0non ii : i busin:ess:di stri¢ t:I ivariou:s: ic0nsumer: gr0ups!ill elifferen i responses :t0 dlanges ill income and :i price:, ....... ....::::i: )i ii:: AS:aWhole; discUsSi0ns in: :g:: marketing' :::i0pen:ifo_m point t0:tSeimp0rtan:, ce of :: led tl_e:riseofttad-:: n0n:farm enterprises aiid land reform : fii_a:nciai:markets; as: eS_ntia:l ingredientSlin: Su;taining i TM

............ , ,

_

iefgas::ieiid:ers!

d ,_6s,_ed:durin

_:e:said:ti_atcredit : gmwtii,::ii_i:

ii: i

::

: :i

...........

EAI_CI..INEWSis a bbmonthlypublicationOfihe ji ::It highlightsfindingsand recommendationsof PID8 research:andimportanipolicyi I .............. ......... .......: : .......... :nprbfit:government researchinstituiion engaged in Ibngaletm,policyLoriented

....

to disse:minateiniormaiionih order'to promolethe use ofl if:

'

regarding any Ot:the studies containedin this publication or:any:of Ihe:PIDS papers, oammentSOfihepub cat onare welcome: PleaseaddresS:allrelatedCOrrespondence and

i brar_i::aoadem Oandre.arch g and handl

nslitutlons : : bout

:

::


Pulong Saliksikan Series: Maximizing Mangroves the Indonesian Way