International Journal of Management, Business and Social Sciences
Vol 2, No 02 (2023): NOVEMBER

Do ICT Development and labor force foster Economic Growth in Indonesia?

Siti Mudrikah (Airlangga University)
Muhammad Fathrul Quddus (Airlangga University)



Article Info

Publish Date
19 Jan 2024

Abstract

Purpose: This paper aims to determine the ICT Development Index and other supporting variables affecting Indonesia's economic growth.Methods: This study uses secondary data from 1996-2019. Using economic growth variables as endogenous variables, and labor force, gross fixed capital formation (GFCF), cellular phones per 100 people, fixed telephones per 100 people, and internet users as exogenous variables. The data analysis technique used OLS multiple linear regression with eviews 9 application.Finding: The neoclassical theory developed by Solow (1957) a name "Growth Accounting" that economic growth formed from the factors of production and technology. This finding only the variable Mobile cellular per 100 people does not affect economic growth in Indonesia, and other variables are significant.Novelty: This study uses an innovation variable, namely the ICT Development Index, to complement the variables of production factors (labor and GFCF). This study focuses on Indonesia because it is about Indonesia's potential use of technology and information, among indications of the use of telephone and internet users in Indonesia.Implications: Further research can apply other ICT Development variables such as ICT exports or use the other countries.Keyword: GDP, Gross Fix Capital Formation, Internet User, Labor Force.

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Journal Info

Abbrev

IJMBS

Publisher

Subject

Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Environmental Science Social Sciences

Description

International Journal of Management, Business and Social Sciences (IJMBS) is a biannually (May and November) peer reviewed journal published by Management study program of Wahid Hasyim University Indonesia that aims to promote Management, Business and Social Sciences researchs and developments, and ...