Universitas Indonesia Conferences, International Conference on Environmental Science and Sustainable Development 2019

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THE EFFECT OF URBANIZATION TO THE FUTURE OF RURAL AREAS IN INDONESIA
Mahpud Sujai, Raldy Hendro Koestoer

Last modified: 2019-09-20

Abstract


Economic developments in various regions of the world have created new economic growth centers. Emerging market countries continue to grow to catch up with developed countries. It can be seen from increasing industrialization, rising labor markets and urbanization which has caused many villagers move to urban areas.

The problem that occurs as a result of global dynamics related to urbanization is the large number of rural areas that have decreased their economic activity as a result of abandoned villages by productive residents because they moved to cities. The decline in economic activity is even more severe, because it is followed by a decline in employment, depopulation, economic depression and a decline in the quality of life in rural areas (Li et al, 2016). This phenomenon might occur in Indonesia in the next few years if it is not anticipated by the various policies needed to develop the village. Villages need to be built to avoid the continued migration of the productive age population to the city which results in a decline in economic activity in the village.

This study has an objectives to analyze village evolution in Indonesia and compare to those happened in fast economic growth developing countries especially China who has already suffered by this problems. This study uses a qualitative approach with descriptive analytical methods. The study was conducted by analyzing secondary data and conducting a literature review.  The result shows that declining or even abandoning village that happened in many parts of developed countries will not happened in Indonesia.

 


Keywords


Regional development, rural economic growth, urbanization, village sustainability