Regional inequality, human capital, unemployment, and economic growth in Indonesia: Panel regression approach

AbstractThe purpose of this study is to estimate the relationship and influence between regional inequality variables, human capital, the open unemployment rate, and economic growth in Indonesia using panel data. The panel data consists of a combination of time series data from the 2010–2020 period,...

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Main Authors: Suparman Suparman, Muzakir Muzakir
Format: Article
Language:English
Published: Taylor & Francis Group 2023-10-01
Series:Cogent Economics & Finance
Subjects:
Online Access:https://www.tandfonline.com/doi/10.1080/23322039.2023.2251803
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author Suparman Suparman
Muzakir Muzakir
author_facet Suparman Suparman
Muzakir Muzakir
author_sort Suparman Suparman
collection DOAJ
description AbstractThe purpose of this study is to estimate the relationship and influence between regional inequality variables, human capital, the open unemployment rate, and economic growth in Indonesia using panel data. The panel data consists of a combination of time series data from the 2010–2020 period, based on information from 32 provinces in Indonesia. The estimation model employed in this study is a panel regression model utilizing three methods: the common effect model (CEM), fixed effect model (FEM), and random effect model (REM). The findings of the study reveal a positive and significant effect of the ETI factor on the LOG (GRDP) factor. Additionally, the HDI variable exhibits a positive and significant impact on the LOG (GRDP) variable, while the UNR variable also shows a positive and significant effect on the LOG (GRDP) variable. Furthermore, the ETI variable is found to have a positive and significant influence on the UNR variable, while the HDI variable has a negative and significant impact on the UNR variable. Finally, the LOG (GRDP) variable demonstrates a positive and significant effect on the UNR variable.
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spelling doaj.art-2d8cbe2a83e74955b78975c366e7ce382023-09-01T13:31:39ZengTaylor & Francis GroupCogent Economics & Finance2332-20392023-10-0111210.1080/23322039.2023.2251803Regional inequality, human capital, unemployment, and economic growth in Indonesia: Panel regression approachSuparman Suparman0Muzakir Muzakir1Faculty of Economics and Business, Universitas Tadulako, Palu, IndonesiaFaculty of Economics and Business, Universitas Tadulako, Palu, IndonesiaAbstractThe purpose of this study is to estimate the relationship and influence between regional inequality variables, human capital, the open unemployment rate, and economic growth in Indonesia using panel data. The panel data consists of a combination of time series data from the 2010–2020 period, based on information from 32 provinces in Indonesia. The estimation model employed in this study is a panel regression model utilizing three methods: the common effect model (CEM), fixed effect model (FEM), and random effect model (REM). The findings of the study reveal a positive and significant effect of the ETI factor on the LOG (GRDP) factor. Additionally, the HDI variable exhibits a positive and significant impact on the LOG (GRDP) variable, while the UNR variable also shows a positive and significant effect on the LOG (GRDP) variable. Furthermore, the ETI variable is found to have a positive and significant influence on the UNR variable, while the HDI variable has a negative and significant impact on the UNR variable. Finally, the LOG (GRDP) variable demonstrates a positive and significant effect on the UNR variable.https://www.tandfonline.com/doi/10.1080/23322039.2023.2251803regional inequalityhuman capitalunemploymenteconomic growth
spellingShingle Suparman Suparman
Muzakir Muzakir
Regional inequality, human capital, unemployment, and economic growth in Indonesia: Panel regression approach
Cogent Economics & Finance
regional inequality
human capital
unemployment
economic growth
title Regional inequality, human capital, unemployment, and economic growth in Indonesia: Panel regression approach
title_full Regional inequality, human capital, unemployment, and economic growth in Indonesia: Panel regression approach
title_fullStr Regional inequality, human capital, unemployment, and economic growth in Indonesia: Panel regression approach
title_full_unstemmed Regional inequality, human capital, unemployment, and economic growth in Indonesia: Panel regression approach
title_short Regional inequality, human capital, unemployment, and economic growth in Indonesia: Panel regression approach
title_sort regional inequality human capital unemployment and economic growth in indonesia panel regression approach
topic regional inequality
human capital
unemployment
economic growth
url https://www.tandfonline.com/doi/10.1080/23322039.2023.2251803
work_keys_str_mv AT suparmansuparman regionalinequalityhumancapitalunemploymentandeconomicgrowthinindonesiapanelregressionapproach
AT muzakirmuzakir regionalinequalityhumancapitalunemploymentandeconomicgrowthinindonesiapanelregressionapproach