Back To The Past ( March Deflation )

Indonesia’s economy saw a deflation of consumer prices by 0.14 percent in March compared to the previous month, giving the central bank room to refrain from increasing interest rates when it meets
next week.

“The substantial cause of deflation in March 2010 was price decreases in national commodities,” Central Statistics Agency (BPS) chief Rusman Heriawan said Thursday at a conference at his office.
Rice, the staple food for more than 200 million Indonesians, saw its prices drop by close to 3 percent by the end of March as the harvest season started earlier that month.

The price of red chili, small chili and fresh fish declined 28.4 percent, 10.4 percent and 1.5 percent, and these changes had contributed 0.16 percent, 0.02 percent and 0.05 percent to deflation, Rusman said.

In regard to flooding in West Java’s Karawang, he said the disaster had not triggered inflation
despite the damage to many rice fields. The floods, which affected the area over the past two weeks, had reportedly submerged more than 800 hectares of rice fields across the regency.
Besides food products, decreasing prices were also seen in gold jewelry, sugarcane, household fuel and cellular phones, BPS said.

Gold jewelry prices were down 0.74 percent, contributing 0.02 percent to deflation, Rusman said.
Standard Chartered economist Eric A. Sugandi earlier said March may see deflation resulting from cheaper rice prices brought about by the harvest season, coupled with a stronger rupiah against the US dollar, reducing imported inflation.

The Finance Ministry has revised its inflation forecast to 5.7 percent in the proposed 2010 state budget revision, from 5 percent in the initial 2010 budget.
The ministry cited increasing commodity prices as the catalyst, in line with surging commodity prices globally, which could discourage capital inflows into the country.
Full-year inflation for 2009 was 2.78 percent.

The central bank estimates there will be no inflationary pressures in the first half of this year, which will provide it with more room to maintain interest rates.
Bank Indonesia’s (BI) benchmark interest rate has been kept at 6.5 percent for the seventh straight month, aiming to spur economic growth.

BI estimates the economy will expand between 5.5 percent and 6 percent this year, and further accelerate to between 6 and 6.5 percent in 2011.
Indonesia’s inflation “remains below the Bank Indonesia 6.5 percent policy rate,” David Cohen, an economist at Action Economics in Singapore, said as quoted by Bloomberg.
“Along with the firmness in the rupiah, it gives the central bank  some leeway for patience before tightening.”

The rupiah rose 0.3 percent to 9,067 per US dollar in Jakarta at 12 p.m. on Thursday. It has climbed 3.6 percent this year, the second-best performer among 10 Asian currencies outside Japan tracked by Bloomberg.

The Jakarta Composite index increased 1.8 percent.

Fifteen of 16 economists who took part in a Bloomberg News survey said next week the central bank would maintain its benchmark interest rate at 6.5 percent. One of the economists expected an increase to 6.75 percent.

(Source : The Jakarta Post.com)

Atma Jaya Yogyakarta University

Atma Jaya Yogyakarta University is a university in Yogyakarta, Indonesia, which was affiliated with the Universitas Katolik Indonesia Atma Jaya in Jakarta. It was established on 27 September 1965 by the Yogyakarta branch of the Atma Jaya Catholic University Institute of Indonesia. The founders of the University were R.A. Soehardi, A.J. Liem Sioe Siet A., Sutijoso, Oey Liang Lee and Leo Sukoto.

Originally an extension of the Universitas Atma Jaya in Jakarta, it became an independent University under the auspices of the Slamet Rijadi Foundation on 31 August 1973. The University originally borrowed classrooms from the IKIP (Teaching and Education Institute) Sanata Dharma, now the Universitas Sanata Dharma, until the University's own campus buildings, located at Mrican Baru Street, were finished in 1980.

Growing student numbers led to the Faculty of Engineering and the Administration department being moved to a new building in Babarsari Road in 1990, in conjunction with the celebrations of the silver anniversary of the founding of the University. In 1995, the Economics Faculty and the Postgraduate Program moved into a new building beside the existing building in Babarsari Road. In 2005 a new building was built adjacent to the Faculty of Engineering and the Administration department to host the Faculty of Social and Political Science. The University also acquired the former BHS Bank building to host administrative department. A new integrated library 4 story building has been build next to the Faculty of Social and Political Science building. It will host library and Information Systems Center. The Library building is officially open in a mass led by Mgr. Ignatius Suharyo (Arch Bishop) on October 2009.

The motto of the University is "Servien in lumine veritatis"
(serving in the light of truth).

The Rector for 2007-2011 period was Prof. Dr. Dibyo Prabowo, M.Sc with 3 vice rectors Dr. A. Koesmargono (Academic), Mr Luddy Indra Purnama (Administrative and Finance), and Mr A. Siswanto as acting (temporary) vice rector for Students, Alumni, and Cooperation. In early 2009, Mr. A. Siswanto was replaced by Mr Hestu Cipto Handoyo, the position vice rector for Students, Alumni, and Cooperation became permanent (no longer temporary/acting). On 19th August 2009 Prof. Dr. Dibyo Prabowo, M.Sc. died after a week in hospital due to a heart attack. Dr. A. Koesmargono was appointed as acting rector. Eventually, Dr. Koesmargono is elected as rector after defeating 2 other candidates (Dr. Gunarto the dean of Law Faculty and Dr Kusumadmo from the Faculty of Economics) in an election. Dr Koesmargono will serve as rector for the remainder of Prof. Dibyo Prabowo's term (until 2011). Professor Yoyong Arfiadi is appointed vice rector to fill position left vacant by Dr. Koesmargono.

UAJY is one of the 50 most promising university and one of the best six universities in Indonesia in term of quality assurance according to Directorate of Higher Education, Department of National Education.

The Reason of Our Group's Name

In economics, deflation is a decrease in the general price level of goods and services.Deflation occurs when the annual inflation rate falls below zero percent (a negative inflation rate), resulting in an increase in the real value of money – allowing one to buy more goods with the same amount of money. We think that deflation can help society to full fill their needs because the price of the product will be decrease. But, deflation also can make society get big depression because their wages will be decrease and the amount of money circulation also will be decrease.(Source : Wikipedia)
Because deflation give positive and negative impact of economic, it make our group interested in to discuss about it more...
To know how to make a good decision when deflation happen, or in the other words, how to minimize the negative impact. So, it's the reason of our group why we choose the deflation.

Group's Member

 Elida Tarigan
Hayyy ...
My full name is Elida Dora
My family's name is Tarigan, So.. I'm  Batakness
I come from Pematangsiantar, Medan.
It's okay if you call me Elida, Dora, or Tarigan
I hope you like our blog, so you interested to visit it.
Want to know me more ...???
Add me as your friend at dhoura_bm@yahoo.com*_^

Yessa Alexander

Okayyy..
My name is Yessa Alexander.
I come from Jakarta and was born 19 years ago.
I'm IBMP students , Batch 2009
I like browsing, futsal, nonbar.
add me as your friend at ,
091217762@students.uajy.ac.id




Yoanna Fransisca SW

Hellowww ...
My name is Yoanna Fransisca Sri Widayanto
My nickname is Yoanna
I was born on Dec 4, 1990
I'm originally from Yogyakarta,
I like pink and pig so much . . .
add me as your friend at cute_sweet_piggie@yahoo.com
^_^

We are waiting for you ...

Thank you

and

God bless you