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Poverty, inequality and social protection : Lessons from The Indonesian Crisis
A substantial increase in absolute poverty in fact was resulted from a drastic change in the designated poverty lines in both urban and rural areas. As compared to 1996, the poverty lines in 1998 increased by around 154% and 165% in urban and rural areas respectively. The adjusted 1998 poverty line, as compared to 1996, increased by around 123.60% and 147.09% for urban and rural, respectively. This indicates that nominal value of expenditure spent by an individual per month to fulfill their basic needs in December 1998 has multiplied by more than two times of the value in February 1996. The extent of the increase in poverty line was apparently consistent to the skyrocketing prices, especially food commodities, during the same period and partly, due to the redefinition of the food and non-food bundle. From February 1996 to December 1998, the inflation rate for food was recorded at around 148.6% (BPS, monthly series of Economic Indicators
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