It has always been tough to figure out the Disposable Income riddle in Indonesia
GDP per capita is highly misleading given the vast Income disparity in the country
Today, we aim to decode this puzzle by deriving Income from published wage data & employment levels and using the very Granular Expenditure data published by BPS
There are some interesting takes from this:
a. Clearly varies by provinces & the Six Indonesias. This would help fine-tune growth strategies & priorities
b. Income linked not to % Employed but more to % Employed Formally
c. Interesting differences in the Monthly expenditure basket by geographies, esp. Urban/ Rural
Caution: A lot of the published data is PER CAPITA (hence, individual levels). Where possible we have tried to aggregate it to a Household level
Decoding the Disposable Income riddle in Indonesia
It has always been tough to figure out the Disposable Income riddle in Indonesia GDP per capita is highly misleading given the vast Income disparity in the country Today, we…

