TECHNICAL AND TRADE COEFFICIENTS IN INDONESIAN AND AUSTRALIAN ECONOMIES: A COMPARISON

This paper compared technical coefficients and trade coefficients in Indonesian economy to those in Australian economy, based on 30-sector classication of world input-output tables of the year of 2000, 2005 and 2010. The results showed that Indonesian economy had lower technical coefficient than that of Australian economy, but statistically it was not signicant. Indonesian economy used less input to produce output compared to that of Australian economy. Indonesian technical index, an inverse of technical coefficient, was higher than that of Australian and again it was not statistically signicant. Based on trade coefficients, this study showed that Australian economy had higher domestic component than Indonesian economy did. This difference was statistically signicant. Indonesian economy, technically, worked more efficiently; but Australian economy used more domestic input. This paper also revealed that technical coefficient had a positive correlation with import component and technical index had positive correlation with domestic componen