ANALISIS PENGARUH KEBIJAKAN MONETER DAN KEBIJAKAN FISKAL REGIONAL TERHADAP STABILITAS HARGA DAN PERTUMBUHAN EKONOMI REGIONAL DI JAWA TIMUR (PERIODE 1995 - 2004)

This research analyzes the regional price stability in Indonesia, post the implementation of the UU No.23, 1999 and UU No.22, 1999. The first relates to the task of Bank Indonesia to stabilize the Rupiah, while the latter is about the fiscal decentralization from the center to the regional government. The panel estimation technique is utilized on the case of East Java data, covering 6 classified periods, namely before crisis, period of crisis, prior decentralization and the period after decentralization. The result shows several findings, first, the fiscal decentralization and economic crisis have influence the price stability and economics growth significantly. Second, the join monetary and fiscal policies, has a significant impact on the regional growth and the price stability. Furthermore, this study shows a higher impact of the monetary policy than the fiscal policy. Keywords: Monetary policy, regional, fiscal policy, panel, , decentralization, East Java. JEL Classification: C 23, E31, H30, R50