International Journal of Social Service and Research
Vol. 1 No. 2 (2021): International Journal of Social Service and Research (IJSSR)

Determination of Economic Growth In Java Island

Ita Dwi Febrianti (Faculty of Economics and Business, Veterans National Development University, Jakarta, Indonesia)
Sugianto Sugianto (Faculty of Economics and Business, Veterans National Development University, Jakarta, Indonesia)
Renea Shinta Aminda (Faculty of Economics and Business, Veterans National Development University, Jakarta, Indonesia)



Article Info

Publish Date
12 Oct 2021

Abstract

High economic growth and continuing to grow and sustainably become a component that determines the development of economic development. The level of economic growth is inseparable from the use of production factors such as natural resources, labor, and capital goods as determinants of economic growth. This research is motivated by the fact that the GRDP in Java Island has a high value compared to other islands in Indonesia. This study aims to analyze the determination of economic growth in Java. The variables used in this study are GRDP at constant prices, investment realization, open unemployment rate, and inflation rate. This study uses multiple linear regression, with a panel model which is a combination of time series data for 6 years from 2014-2019 as well as cross section data for 6 provinces in Java and using the selected Fixed Effect Model (FEM), the data is processed using the program EViews-10. The findings in this study prove that the investment variable has a positive effect on economic growth. While the unemployment variable has a negative effect on economic growth, and the inflation variable has a negative effect on economic growth.

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Journal Info

Abbrev

ijssr

Publisher

Subject

Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Environmental Science Languange, Linguistic, Communication & Media Law, Crime, Criminology & Criminal Justice Social Sciences

Description

International Journal of Social Service and Research is a double-blind, peer-reviewed academic journal with open access to social and scientific fields. The journal is published monthly by Ridwan Institute. International Journal of Social Service and Research provides a means for sustained ...