Economics Development Analysis Journal
type: channel
description: Nationally Accredited SINTA 2 based on the Decree of the Minister of Research, Technology and Higher Education, Number 21/E/KPT/2018. Accreditation is valid for five years Vol. 5. No. 1. 2016 - Vol 9. No. 4. 2020 Economics Development Analysis Journal starting in 2024 migrates to better secure from various unwanted things, including journal hacking and so on. To submit, the author please visit the new website page of our journal at the link https://journal.unnes.ac.id/journals/edaj MIGRATION OFFICIAL STATEMENT HERE Economic Development Analysis Journal [p-ISSN 2252-6560 | e-ISSN 2502-2725] is a scientific journal published by Department of Economic Development, Faculty of Economics, Universitas Negeri Semarang and Asosiasi Pendidikan Ekonomi LPTK. Economic Development Analysis Journal publishes original research and conceptual analysis of economic development, problems and policies in Indonesia. Abstracting/Indexing: Dimension | GARUDA | SINTA | DOAJ
publisher: Universitas Negeri Semarang
language: en
publication name: Economics Development Analysis Journal
issn: 2252-6560
items: Economic Viability of Community Gardens in Semarang City
items: Efficiency of Conventional Vs Islamic Banks in Indonesia: Pre and Mid-Covid Analysis
items: Circular Economy in Waste Bank for Sustainability and Empowerment
items: Village Funds and Village Development: The Case of West Java
items: Digital Transformation: HDI, Consumption, And Inclusive Economic Growth Link
items: Determinants and Potential of Indonesia’s Frozen Shrimp Exports
items: A Spatial Econometric Approach on Addressing Determinants of Regional Inequality
items: The Impact of MSME’s on Employment, Investment, and Income
items: The Role of Family Support in Combating Social Disconnection
items: Stakeholder Engagement: Development of Sustainable Tourism Based on Local Wisdom
items: Mediating Role of Oil Production in Non-Tax State Revenue Determinants
items: Exploring Excessive Working Hours Among Transportation Gig Workers in Indonesia
items: Determinants of Microfinance Institutions’ Financial Performance in Indonesia
items: Family Controlling Shareholder and Financial Distress in Indonesia: Socio-Demographic Moderation
items: Does Vertical Educational Mismatch Hinder Economic Growth?: Evidence from Indonesia
items: Financial Development and Poverty Reduction in Indonesia: An Empirical Investigation
items: The Efficiency of Government Health Expenditure in ASEAN Countries
items: The Non-Linear Relationship Between Land Ownership and Child Labor
items: Impact of Indonesia's Non-Toll Road Policy on Travel Cost-Time
items: Analysis of Economic Growth with Spatial Interaction Between Regions in Indonesia
items: Investigating the Role of Health Expenditure on Tuberculosis Incidence in Indonesia
items: Maintaining The Leading Economy of The City of Semarang
items: Does Informal Labor Affect Food Security? Evidence from Indonesia
items: Energy Poverty and Labor Supply in Eastern Indonesia
items: Spatial Analysis and Spillover Effects on Economic Growth in Central Java
items: Poverty and Income Effects on Southeast Sulawesi Local Tax Revenue
items: Spatial Autocorrelation of East Java's Economic Growth Using Cluster-Based Weights
items: Analyzing The Development of Cashless Society Using the Structural Equation Modeling
items: Does Financial Inclusion Enhance Indonesia's First Demographic Dividend?
items: Impact of Inflation, Interest Rates, And Money Supply on Deposit Funds

Economic Viability of Community Gardens in Semarang City
type: item
description: Numerous studies have shown that urban agriculture makes substantial contributions to poverty reduction, reduces unemployment, and improves food security. Unfortunately, research on the profitability and economic viability of urban agriculture remains limited. This research aims to explore the economic viability of community gardens as a form of urban agriculture in Semarang City, Indonesia. Semarang city was chosen due to its active implementation of urban farming programs initiated by the municipal government. The research employed a qualitative approach involving 24 participants spread across all sub-districts in Semarang. Data were collected through questionnaires, in-depth interviews, observations, and documentation. Thematic was applied to explore the research findings with the help of NVivo 12 Pro software. The findings indicate that most community gardens operate at a financial loss, showing weak economic viability. Even so, they continue to function sustainably, driven not by profit but by government programs, social cohesion, and environmental concern. This reveals a paradox: community gardens may not generate a profit, yet they remain socially sustainable – sustained more by policy than by market forces. These findings suggest that their sustainability relies more on institutional and communal support than on profit generation. Strengthening government facilitation and community empowerment is essential to ensure their long-term continuity.
subject: Articles
  topic: section
subject: economic viability of urban agriculture; community garden; poverty and food security; urban farming for sustainable development goals; household income
  topic: keywords
creator: Rahoyo Rahoyo
creator: Teti Susilowati
creator: Sri Purwantini
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-10-25
publication date: 2025-10-25
starting page: 369
ending page: 386
doi: 10.15294/edaj.v14i3.19366

Efficiency of Conventional Vs Islamic Banks in Indonesia: Pre and Mid-Covid Analysis
type: item
description: This study aims to assess the technical efficiency of Indonesia’s conventional and Islamic banks and to examine whether their efficiencies differ between the periods before and during the COVID-19 pandemic. Bank input and output data are obtained from financial statements sourced from the CEIC Global Database for 96 Indonesian banks over the period from 2015 to 2022. The study employs bootstrap Data Envelopment Analysis (DEA) under both production and intermediation approaches to estimate bias-corrected technical efficiency. Independent t-tests are conducted to compare efficiency scores between conventional and Islamic banks, as well as to examine differences in technical efficiency before versus during the COVID-19 pandemic. The empirical findings indicate that Indonesian banks during the pandemic period were generally less efficient than before, and Islamic banks consistently exhibited lower technical efficiency than conventional banks. Although conventional banks outperform Islamic ones overall, the efficiency gap is not statistically significant during the pandemic. Moreover, banks show higher efficiency under the production approach, indicating stronger performance in revenue generation than fund intermediation. This study advises Indonesian banks to increase interest income (or fund disbursements, for Islamic banks), non-interest income, and loans while also considering risk to improve overall technical efficiency.
subject: Articles
  topic: section
subject: Bank Efficiency
  topic: keywords
subject: Bootstrap DEA
  topic: keywords
subject: Conventional Banks
  topic: keywords
subject: COVID-19 Pandemic
  topic: keywords
subject: Islamic Banks
  topic: keywords
creator: Fikar Adiaksa
creator: Teguh Santoso
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-10-22
publication date: 2025-10-22
starting page: 337
ending page: 354
doi: 10.15294/edaj.v14i3.28326

Circular Economy in Waste Bank for Sustainability and Empowerment
type: item
description: This research aims to develop an integrative conceptual model that connects the circular economy, waste bank optimization, community empowerment, and sustainable economy. The novelty of this study lies in integrating digital incentive systems and participatory approaches in community-based waste management. The method employed was a mixed-methods approach, incorporating a quantitative component that utilized SEM-PLS on 200 respondents, complemented by qualitative data from in-depth interviews. The results indicate that community empowerment and the digitalization of waste bank systems have a significant impact on the sustainability of the local economy. Theoretically, this research strengthens the capabilities (Sen) and environmental economics (Pearce & Turner) approaches and practically offers a data-driven local policy framework for waste management optimization. The resulting model can serve as a reference for informed decision-making at the regional level, integrating environmental, social, and economic aspects sustainably.
subject: Articles
  topic: section
subject: Circular Economy, Waste Bank, Sustainable Economy, Community Empowerment
  topic: keywords
creator: warsiyah
creator: Mawardi
creator: Moh Fahrurozi
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-10-24
publication date: 2025-10-24
starting page: 355
ending page: 368
doi: 10.15294/edaj.v14i3.31787

Village Funds and Village Development: The Case of West Java
type: item
description: The Village Fund program has enabled the widespread implementation of village development initiatives that involve local communities as the subjects of development (i.e., Community Driven Development) across various countries, including Indonesia. Despite receiving substantial village funds, West Java, one of Indonesia's provinces, exhibits slow growth in the Village Development Index (IDM). This study examines the effect and impact of Village Funds on achieving the Sustainable Development Goals (SDGs), as measured by the IDM in West Java Province. The methodology employs a panel data regression with fixed effects and a Difference-in-Difference (DiD) analysis on 5,312 villages that received Village Funds between 2018 and 2023. Findings indicate that Village Funds significantly impact the IDM, primarily through infrastructure projects within the village development sector. Furthermore, the regression analysis revealed that all sectors positively and significantly influence the IDM, particularly the village development implementation sector. Conversely, the DiD analysis suggests that the alignment of Village Fund activities with the SDGs has not significantly affected IDM growth in West Java. Thus, to accelerate village development, the government must balance the prioritization of Village Funds. This balance should move beyond solely focusing on infrastructure development to encompass activities in other fields, such as village community empowerment
subject: Articles
  topic: section
subject: Village Development Index
  topic: keywords
subject: Village Funds
  topic: keywords
subject: Difference in Difference
  topic: keywords
subject: West Java Province
  topic: keywords
creator: Bayu Kharisma
creator: Adhitya Wardhana
creator: Sutyastie Soemitro Remi
creator: Sandi Asep Ramdani
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-09-28
publication date: 2025-09-28
starting page: 291
ending page: 305
doi: 10.15294/edaj.v14i3.25604

Digital Transformation: HDI, Consumption, And Inclusive Economic Growth Link
type: item
description: This research investigates the impact of digital transformation on inclusive economic growth in Indonesia, in light of significant social and economic inequality. While previous studies, particularly in South Africa, have highlighted opportunities for market access, this study focuses on identifying the factors that influence the contribution of digital transformation within the Indonesian context, using Prakash’s theory. A quantitative descriptive approach was employed, utilizing secondary data from the Central Statistics Agency across ten provinces in Sumatra. The analysis applied the Panel Vector Autoregressive (PVAR) method to examine the relationships among variables, including the Human Development Index (HDI), consumption, and social inequality. The findings indicate that, in the long term, both consumption and HDI have a negative impact on inclusive economic growth, with t-statistics of -2.452 and -5.093, respectively. Inequality, however, did not show a significant influence, with a t-statistic of 1.148. Similar trends were observed in the short term. The study concludes that a nuanced understanding of the equitable implementation of digital technology is essential for achieving inclusive economic growth. Notably, the negative influence of HDI on economic inclusion suggests that improvements in quality of life do not always correlate directly with economic growth, offering new insights into the discourse on digital transformation and economic inclusion in Indonesia.
subject: Articles
  topic: section
creator: Zulkarnain Nasution
creator: Henky Japina
creator: Amrizal Amrizal
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-07-27
publication date: 2025-07-27
starting page: 226
ending page: 237
doi: 10.15294/edaj.v14i2.24111

Determinants and Potential of Indonesia’s Frozen Shrimp Exports
type: item
description: This study examines the main factors influencing the flow of Indonesian frozen shrimp exports and explores opportunities to strengthen trade with key destination countries. The research uses a panel data regression approach, including estimation and potential analysis, focusing on 12 major trading partners from 2012 to 2023. The study analyzes frozen shrimp under HS code 030617, one of Indonesia's leading fishery export commodities. The findings show that importer gross domestic product, importer population, and revealed comparative advantage positively influence frozen shrimp exports. In contrast, Indonesia's gross domestic product, economic distance, and non-tariff barriers have a negative impact. Based on the regression results, the potential analysis identifies several countries with strong export prospects, including Australia, the Netherlands, Hong Kong, the United Kingdom, Japan, Germany, Canada, South Korea, Malaysia, France, and Singapore. These results provide meaningful managerial implications, such as increasing domestic production capacity, enhancing export competitiveness, and developing focused marketing strategies to penetrate high-potential markets.
subject: Articles
  topic: section
creator: Vela Rostwentivaivi
creator: Rita Nurmalina
creator: Harmini
creator: Netti Tinaprilia
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-07-28
publication date: 2025-07-28
starting page: 255
ending page: 266
doi: 10.15294/edaj.v14i2.25097

A Spatial Econometric Approach on Addressing Determinants of Regional Inequality
type: item
description: The disparity in socioeconomic conditions across Banten Province is suspected to contribute to regional inequality, stemming from uneven economic development. This is evidenced by certain areas with significantly higher economic levels than others. This study uses correlational and spatial approaches to analyze the influence of these socioeconomic conditions on the high level of regional inequality in Banten Province. The socioeconomic variables examined include the Human Development Index (HDI), labor force participation rate, poverty rate, base economic sector, and economic growth. The findings indicate that the poverty rate significantly correlates with regional inequality in a non-spatial context. Meanwhile, the base economic sector (particularly manufacturing) and economic growth show significant spatial effects on regional inequality.
subject: Articles
  topic: section
subject: Regional Disparities
  topic: keywords
subject: sustainable develoment
  topic: keywords
subject: spatial regression
  topic: keywords
subject: Spatial Durbin Model
  topic: keywords
creator: Rizal Syaifudin
creator: Togi Haidat Mangara
creator: Deris Desmawan
creator: Sugeng Setyadi
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-07-27
publication date: 2025-07-27
starting page: 200
ending page: 211
doi: 10.15294/edaj.v14i2.24478

The Impact of MSME’s on Employment, Investment, and Income
type: item
description: North Sumatra, a key economic region in Indonesia outside of Java, continues to face persistent challenges such as high unemployment, the dominance of the informal sector, and uneven economic growth. Within this context, Micro, Small, and Medium Enterprises (MSMEs) serve as a cornerstone of the regional economy, particularly through their role in labor absorption and income generation. Despite their significance, MSMEs in North Sumatra still face substantial obstacles, including limited access to financing, inconsistent investment growth, and inadequate policy implementation—factors that hinder their full potential in driving inclusive development. This study examines the dynamic relationship between MSME growth, workforce participation, and Gross Regional Domestic Product (GRDP) in North Sumatra, employing a simultaneous equation model with time-series data from 2009 to 2023. The Two-Stage Least Squares (2SLS) method addresses endogeneity and simulates the effects of policy interventions projected for the 2025–2030 period. The findings indicate that MSME development is significantly influenced by policy instruments such as tax incentives and minimum wage regulations. Increases in wages and tax reductions enhance labor absorption, stimulate MSME performance, and promote GRDP growth. The study provides practical policy insights for strengthening the resilience and sustainability of MSMEs within North Sumatra’s evolving economy.
subject: Articles
  topic: section
subject: Micro, Small and Medium Enterprises
  topic: keywords
subject: Investment
  topic: keywords
subject: Workforce
  topic: keywords
subject: Economic Growth
  topic: keywords
creator: Albert Gamot Malau
creator: Mahjus Ekananda
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-07-27
publication date: 2025-07-27
starting page: 238
ending page: 254
doi: 10.15294/edaj.v14i2.24026

The Role of Family Support in Combating Social Disconnection
type: item
description: This study examines the role of family relationships in mitigating social disconnection, specifically feelings of lacking friendships, being left out, and experiencing isolation. A logit regression analysis was employed using nationally representative data from the 2021 Indonesian Happiness Survey. The study measured three dimensions of family support: communication frequency, shared family activities, and perceived family harmony. Findings indicate that frequent communication and family togetherness significantly reduce the likelihood of experiencing loneliness. In contrast, perceived family harmony exhibited a weaker effect. These results suggest that the quantity of family interactions is more critical than their perceived quality in alleviating social disconnection. The study highlights the importance of family engagement and communication as effective strategies for combating loneliness and enhancing individual well-being.
subject: Articles
  topic: section
subject: loneliness
  topic: keywords
subject: social capital
  topic: keywords
subject: social isolation
  topic: keywords
creator: Irfani Fithria Ummul Muzayanah
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-07-27
publication date: 2025-07-27
starting page: 212
ending page: 225
doi: 10.15294/edaj.v14i2.23917

Stakeholder Engagement: Development of Sustainable Tourism Based on Local Wisdom
type: item
description: The development of sustainable tourism in Pati Regency, grounded in local wisdom, has been hindered by several factors, including structural ego issues, overlapping policies, and inadequate stakeholder collaboration. This study analyzes efforts to support tourism development, examines the impact of various variables (factors), and assesses the influence of stakeholders (actors) in sustainable tourism initiatives based on local wisdom in Pati Regency. The methodology integrates qualitative and quantitative approaches, employing the MICMAC and MACTOR methods. MICMAC analysis identifies core variables such as uniqueness and historical value, regional income, stakeholder relationships, community involvement, and utilizing local wisdom in tourism development. MACTOR analysis reveals key stakeholders namely, the Tourism and Culture Office (Dinporapar), the Cooperative and Small and Medium Enterprises Office (Dinkop), and the local community as central actors in sustainable tourism development. The findings from the MICMAC and MACTOR analyses provide a basis for formulating a comprehensive strategy to accelerate sustainable tourism development rooted in local wisdom in the Pati Regency. Further research may incorporate additional external variables and stakeholders to support advancing tourism models based on local creative economy initiatives.
subject: Articles
  topic: section
subject: Stakeholder Engagement
  topic: keywords
subject: Sustainable Tourism
  topic: keywords
subject: Local Wisdom
  topic: keywords
subject: MICMAC
  topic: keywords
subject: MACTOR
  topic: keywords
creator: Sucihatiningsih Dian Wisika Prajanti
creator: Said Nur Octavianto
creator: Widiyanto Widiyanto
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-05-28
publication date: 2025-05-28
starting page: 152
ending page: 185
doi: 10.15294/edaj.v14i2.23854

Mediating Role of Oil Production in Non-Tax State Revenue Determinants
type: item
description: This study aims to analyze the effect of the Indonesian Crude Price (ICP) and upstream oil and gas state-owned assets on oil non-tax state revenue from the oil and gas sector, with oil production considered as a potential mediating variable. Using the Vector Autoregression (VAR) model, the study examines short-run relationships through Granger causality and t-statistics, as well as long-term contributions via Forecast Error Variance Decomposition (FEVD). The results show that the ICP has a positive and statistically significant effect on oil non-tax state revenue. In contrast, upstream oil and gas state-owned assets and oil production do not exhibit significant short-run effects. Moreover, oil production does not function as a mediator in the relationship. Nonetheless, FEVD results suggest that the ICP and oil production make meaningful long-term contributions to oil non-tax state revenue, indicating underlying structural links not captured by short-run causality. These findings highlight the importance of managing oil price fluctuations and designing fiscal structures that are responsive to global oil market dynamics.
subject: Articles
  topic: section
subject: ICP
  topic: keywords
subject: upstream oil and gas state-owned assets
  topic: keywords
subject: oil production
  topic: keywords
subject: oil non-tax state revenue
  topic: keywords
creator: Wahyu Suryo Majid
creator: Mohammad Raung Yuniar Effendy
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-05-29
publication date: 2025-05-29
starting page: 186
ending page: 199
doi: 10.15294/edaj.v14i2.23826

Exploring Excessive Working Hours Among Transportation Gig Workers in Indonesia
type: item
description: The development of information technology has driven the emergence of the gig economy, which has significantly changed the employment landscape. In Indonesia, the gig economy's growth has led to a significantly increasing number of gig workers, particularly in the transportation sector. While digital platforms create flexible job opportunities, this work model also presents challenges, particularly excessive working hours, often necessary to meet daily income targets. This study analyzes the determinants of excessive working hours of gig workers in the transportation sector using logistic regression analysis with the 2022 National Labour Force Survey (Sakernas) data. The results confirm that gig workers in the transportation sector are likelier to experience excessive working hours than non-gig transportation workers. This finding proves that gig transportation workers are more vulnerable than traditional transportation workers. Several factors, such as gender, age, education, region, marital status, and ownership of a Kartu Prakerja, significantly influence the likelihood of gig workers in the transportation sector experiencing excessive working hours. The study’s findings offer implications for labor policies and social protection, particularly in ensuring the well-being of gig workers in the transportation sector amid the dynamics of the digital economy
subject: Articles
  topic: section
subject: gig workers, transportation, working hours
  topic: keywords
creator: Aulia Widyarini
creator: Devanto Shasta Pratomo
creator: Sri Muljaningsih
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-07-29
publication date: 2025-07-29
starting page: 278
ending page: 290
doi: 10.15294/edaj.v14i2.23421

Determinants of Microfinance Institutions’ Financial Performance in Indonesia
type: item
description: This study investigates the determinants of financial performance in Indonesian Microfinance Institutions (MFIs), analyzing financial and social factors alongside the impacts of COVID-19. Using panel data from 242 OJK-regulated MFIs from 2018 to 2023 (1,452 observations), fixed-effects regression reveals that the Debt-to-Equity Ratio (DER), Women’s Empowerment Index (WEI), and Microcredit Proportion (PMC) negatively affect Return on Assets (ROA), while Firm Size (SIZE) and Loan-to-Deposit Ratio (LDR) show positive effects. Service Accessibility (ACCES) proves to be insignificant. The findings highlight a critical trade-off: while MFIs’ social missions such as women’s empowerment and microcredit expansion depress profitability, operational scale and liquidity management enhance performance. The pandemic exacerbated these tensions, particularly in under-supported empowerment programs. This study contributes to the microfinance literature by empirically validating capital structure and social performance theories in Indonesia’s unique context. Practical implications suggest optimizing capital structures to reduce leverage risks, balancing microcredit portfolios with larger loans, and integrating digital tools to improve efficiency. For policymakers, these insights underscore the need for regulations harmonizing financial sustainability with inclusive development goals. By bridging empirical gaps, this research offers a framework for MFIs navigating post-pandemic recovery while maintaining their dual social–financial mission.
subject: Articles
  topic: section
creator: Yahya Riantas
creator: Mokhamad Anwar
creator: Sutisna
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-03-19
publication date: 2025-03-19
starting page: 97
ending page: 109
doi: 10.15294/edaj.v14i1.22828

Family Controlling Shareholder and Financial Distress in Indonesia: Socio-Demographic Moderation
type: item
description: Financial distress is a major issue for a company in terms of maintaining the sustainability of its performance in the future. One aspect that needs to be considered is the controlling shareholder family. It is an important factor that needs to be considered to see how the company's performance will develop in the future. Therefore, this study examines the relationship between the family controlling shareholders and the financial distress in Indonesia, which is moderated through socio-demographic factors. The moderated regression analysis (MRA) was applied to 253 Indonesian public limited companies from 2013 to 2021. The result revealed that family-controlling shareholders positively and significantly affect financial distress. On the other hand, experience as a socio-demographic factor also moderated this nexus negatively. Thus, the important role of the family controlling shareholders must be considered as a main factor for predicting financial distress in Indonesian companies.
subject: Articles
  topic: section
subject: Family Controlling Shareholder
  topic: keywords
subject: Financial Distress
  topic: keywords
subject: Regression Analysis
  topic: keywords
subject: Socio-Demographic Factor
  topic: keywords
creator: Fitria Fissamawati
creator: Rayenda Khersna Brahmana
creator: Giriati
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-05-27
publication date: 2025-05-27
starting page: 140
ending page: 151
doi: 10.15294/edaj.v14i2.22629

Does Vertical Educational Mismatch Hinder Economic Growth?: Evidence from Indonesia
type: item
description: Most studies have examined the effects of overeducation and undereducation on individual wages; however, only a few scholars have investigated the impact of this vertical educational mismatch on economic growth. Therefore, this study attempts to enter this area of analysis. The effect of overeducation and undereducation on economic growth was examined using panel data from 33 provinces in Indonesia between 2012 and 2022. Using the System Generalized Method of Moments (Sys-GMM) estimator, this study found empirical evidence that overeducation reduces economic growth. This implies that even if overeducation yields a positive return on individual wages, it remains detrimental at an aggregate level. The negative effect of overeducation on economic growth suggests that overeducation is a form of human capital and external education inefficiency. Thus, it needs to be addressed seriously by the Indonesian government. On the other hand, this study found no evidence that undereducation has an impact on Indonesia's economic growth.
subject: Articles
  topic: section
subject: Economic Growth
  topic: keywords
subject: Educational Mismatch
  topic: keywords
subject: Overeducation
  topic: keywords
subject: Undereducation
  topic: keywords
creator: Dani Rahman Hakim
creator: Euis Nessia Fitri
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-10-20
publication date: 2025-10-20
starting page: 322
ending page: 336
doi: 10.15294/edaj.v14i3.22423

Financial Development and Poverty Reduction in Indonesia: An Empirical Investigation
type: item
description: Poverty in Indonesia has decreased but still presents many challenges in achieving significant reduction targets. The main objective of this study is to estimate the effect of financial sector development on poverty in Indonesia. The dependent variable was household final consumption expenditure as a proxy for poverty, while the independent variables were broad money and gross savings. The study used time series data and applied the ARDL-ECM (Autoregressive Distributed Lag–Error Correction Model) method for 1981–2022. The main finding was that broad money did not significantly affect poverty reduction. Gross savings were significant with a negative coefficient; higher savings were associated with higher poverty rates due to decreased consumption. Furthermore, the stability of the research model was tested using normality, serial correlation, heteroscedasticity, cumulative sum (CUSUM), and cumulative sum of squares (CUSUMQ) tests. The financial sector can reduce poverty through efficient financial services for the poor, microeconomic empowerment, and increased financial inclusion. In the future, the government must promote a conducive and competitive financial sector to support poverty alleviation programs
subject: Articles
  topic: section
subject: Financial Development, Poverty Reduction, ARDL-ECM, Indonesia
  topic: keywords
creator: Vita Kartika Sari
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-07-28
publication date: 2025-07-28
starting page: 267
ending page: 277
doi: 10.15294/edaj.v14i2.22343

The Efficiency of Government Health Expenditure in ASEAN Countries
type: item
description: Inefficiencies in health expenditure result in an estimated 1–1.4% of global Gross Domestic Product (GDP) being wasted across various regions, presenting a significant challenge for countries striving to optimize healthcare spending. This study aims to assess the efficiency of government health expenditure in six ASEAN countries with the lowest per capita government health spending, using the Data Envelopment Analysis (DEA) method. In addition, Tobit regression is employed to identify factors that influence the efficiency of government health expenditure. The results indicate that most countries have not achieved maximum efficiency scores over the years, underscoring the need for improved budget management and reforms in health policy implementation. The Tobit regression analysis reveals that economic growth, urbanization rate, and the proportion of government health expenditure in current health expenditure have a positive and significant effect on efficiency scores. This suggests that increased public investment and urban development contribute to improved efficiency in healthcare spending. Conversely, total carbon emissions have a negative impact on efficiency, emphasizing the influence of environmental factors on health system performance.
subject: Articles
  topic: section
subject: Data Envelopment Analysis, Efficiency of Government Health Expenditure, Tobit Regression
  topic: keywords
creator: Raden Ayu Adinda Shafira Najmah
creator: Estro Dariatno Sihaloho
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-02-25
publication date: 2025-02-25
starting page: 1
ending page: 11
doi: 10.15294/edaj.v14i1.21881

The Non-Linear Relationship Between Land Ownership and Child Labor
type: item
description: This study examines the relationship between household land ownership and the number of hours children spend working. This assumption is based on previous research suggesting that children from households with large landholdings are more likely to be engaged in child labor than those from land-poor households. This phenomenon arises from the fact that land is a crucial asset for agricultural households, often requiring family members, including children, to participate in farm-related activities. This study employs a random effects method using panel data from the Indonesia Family Life Survey (IFLS) for the years 2000, 2007, and 2014. The findings reveal a distinct pattern, particularly in the Indonesian context, where land size exhibits a non-linear relationship with children's working hours. As land ownership increases, children's working hours tend to decrease; however, beyond a certain threshold, children's working hours begin to rise with increasing land size. Heterogeneity analysis further indicates that non-food farmland has a greater impact on the increase in children's working hours. This may be due to the higher demand for additional labor in larger-scale agricultural production, which often relies on family members for support.
subject: Articles
  topic: section
subject: Child labor
  topic: keywords
subject: land ownership
  topic: keywords
subject: agricultural households
  topic: keywords
subject: IFLS data
  topic: keywords
subject: family members
  topic: keywords
creator: Faiz Abdullah Wafi
creator: I Dewa Gede Karma Wisana
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-02-25
publication date: 2025-02-25
starting page: 12
ending page: 27
doi: 10.15294/edaj.v14i1.21758

Impact of Indonesia's Non-Toll Road Policy on Travel Cost-Time
type: item
description: This study aims to provide empirical evidence on whether non-toll road construction, as a government investment (National Strategic Project) in the transport infrastructure sector, impacts local economic activity at the village level. It fills a gap in the literature by adopting a Difference-in-Differences (DiD) approach and analyzing at the village level using PODES data, comparing villages affected by the policy (treatment group) with those that were not (control group). Key outcome variables derived from PODES data include travel time and cost to sub-district and district centers. To ensure robustness, the analysis includes fixed effects for time and location, and placebo tests are conducted to validate the assumption of parallel trends. The results show that non-toll road construction leads to a statistically significant reduction in travel time by 21% and travel costs by 30.9%, associated with improved access to government services and modest growth in local economic indicators such as market activity, employment, or business formation.
subject: Articles
  topic: section
subject: National Strategic Project
  topic: keywords
subject: National Highway
  topic: keywords
subject: Travel Costs
  topic: keywords
subject: Travel Time
  topic: keywords
subject: Difference-in-differences
  topic: keywords
creator: Dhanang Tiar Rendra
creator: Muhammad Halley Yudhistira
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-10-19
publication date: 2025-10-19
starting page: 306
ending page: 321
doi: 10.15294/edaj.v14i3.21419

Analysis of Economic Growth with Spatial Interaction Between Regions in Indonesia
type: item
description: This study employs a quantitative research approach with a descriptive methodology to analyze spatial interconnections between provinces in Indonesia. The research utilizes panel data regression, assisted by EViews software, and a Spatial Autoregressive (SAR) fixed effects model using R software. The spatial panel regression testing results indicate that the SAR fixed effects model is the most appropriate. The findings reveal that inflation (X1), exports (X3), and national health insurance (X6) have significant effects on economic growth. Global spatial autocorrelation was analyzed using the Moran Index and the Local Indicator of Spatial Autocorrelation (LISA) to identify provinces with spatial autocorrelation from 2019 to 2023. For inflation, 13 provinces exhibit spatial interconnections, namely West Java, Central Java, DI Yogyakarta, North Sumatra, North Maluku, Papua, Bengkulu, Bangka Belitung Islands, West Kalimantan, DKI Jakarta, West Sumatra, Jambi, and South Sumatra. For exports, 11 provinces demonstrate significant spatial interconnections, including West Java, Central Java, Lampung, South Sumatra, Jambi, North Maluku, Bengkulu, Bangka Belitung Islands, DI Yogyakarta, Papua, and Southeast Sulawesi. Meanwhile, for national health insurance, 11 provinces show significant spatial interconnections: Southeast Sulawesi, West Sumatra, Papua, Riau, Bengkulu, Jambi, South Sumatra, Bangka Belitung Islands, Riau Islands, West Kalimantan, and North Kalimantan.
subject: Articles
  topic: section
creator: Nur'eni
creator: Patta Tope
creator: Nadiatulhuda Mangun
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-03-19
publication date: 2025-03-19
starting page: 110
ending page: 123
doi: 10.15294/edaj.v14i1.21326

Investigating the Role of Health Expenditure on Tuberculosis Incidence in Indonesia
type: item
description: Tuberculosis has remained a persistent Indonesia health problem. With multiple government and donor initiatives to eradicate TB and its detrimental effects on Indonesia's health outcomes, the incidence of TB in Indonesia is still worsening. This study aimed to investigate the impact of health expenditure on TB incidence in Indonesia, which is one of the countries with the highest TB incidences globally. The method used is (Autoregressive Distributed Lag) to employ short-run and long-run effects using time series data from Indonesia from 2000 to 2021. The Findings demonstrate a significant inverse relationship between health expenditures (both public and private) and the incidence of tuberculosis. Increased public spending on healthcare is associated with a lower incidence of TB, both in the short and long term. Similarly, private health spending significantly contributes to TB reduction, with effects observed both immediately and over the long run. Furthermore, other variables also affect TB incidence. Higher Gini coefficients and unemployment rates are associated with increased TB incidence, while higher rates of BCG immunization and greater public effectiveness are associated with lower TB incidence.
subject: Articles
  topic: section
subject: Health Expenditure
  topic: keywords
subject: Tuberculosis
  topic: keywords
subject: ARDL Method
  topic: keywords
creator: Shela Ardhana
creator: Estro Dariatno Sihaloho
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-03-09
publication date: 2025-03-09
doi: 10.15294/edaj.v13i4.21080

Maintaining The Leading Economy of The City of Semarang
type: item
description: The economic position of a city is crucial for the sustainability of regional economic development. To enhance competitiveness and achieve economic excellence, a combination of simultaneous drivers is necessary. As the core city of the Kedungsepur agglomeration, Semarang City plays a strategic role in regional development. This study employs a quantitative methodology, utilizing the Location Quotient (LQ) technique with data sourced from the Central Bureau of Statistics (BPS). The findings indicate that Semarang City's economic transformation, characterized by competitiveness and specialization in the trade, real estate, and public service sectors, requires support from surrounding regions to maximize its role in driving sustainable economic growth. Additionally, the study identifies the city's prime sectors—trade, real estate, public services, and transportation and warehousing—highlighting their contribution to generating high-added value amid global economic dynamics. Despite its economic diversification, Semarang City remains heavily reliant on the manufacturing industry due to its substantial sectoral contribution. Therefore, while manufacturing remains a key pillar of the local economy, identifying new growth potentials and fostering collaborative strategies within the agglomeration area is essential for long-term economic resilience. Semarang City possesses significant potential for sustainable growth by distributing the benefits of development to its surrounding regions, reinforcing its role as a regional economic driver.
subject: Articles
  topic: section
subject: Development; city economy; competitiveness; leading sectors; specialization.
  topic: keywords
creator: Asnita Frida Sebayang
creator: Lesta Karolina Sebayang
creator: Cecep Fauzan Al Rifah
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-03-24
publication date: 2025-03-24
doi: 10.15294/edaj.v13i4.19370

Does Informal Labor Affect Food Security? Evidence from Indonesia
type: item
description: This study analyzes the impact of informal employment on household food security in Indonesia, focusing on concern about food sufficiency, access to nutritious food, and reduced food intake. Using data from the March 2021 Indonesia National Socioeconomic Survey, binary logistic regression models were applied to a weighted sample of household heads actively employed in formal and informal sectors. The analysis reveals that informal employment significantly undermines food security across all measures, with informally employed households facing higher risks of food shortages, reduced nutritional access, and inadequate intake. Vulnerabilities are more pronounced in rural and non-agricultural households. Protective factors such as education, internet access, and health insurance enhance food security, while larger household sizes and underemployment exacerbate risks. This study emphasizes the urgent need for targeted interventions to safeguard food security for vulnerable populations in Indonesia.
subject: Articles
  topic: section
subject: Informal Labor
  topic: keywords
subject: Food Security
  topic: keywords
subject: Socioeconomic Disparities
  topic: keywords
subject: Indonesia
  topic: keywords
creator: Rizki Tri Anggara
creator: Elsya Gumayanti Alfahma
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-03-09
publication date: 2025-03-09
doi: 10.15294/edaj.v13i4.19971

Energy Poverty and Labor Supply in Eastern Indonesia
type: item
description: Gender inequality in economic participation is a crucial aspect of sustainable development strategies aimed at improving living standards. The high level of inequality is primarily driven by stagnation in female labor supply. One of the factors influencing labor supply is energy povertyIn Indonesia, studies addressing the relationship between energy poverty and economic participation remain scarce. Therefore, this research aims to fill the existing research gap by analyzing the relationship between energy poverty and labor supply, particularly in Eastern Indonesia. To address endogeneity issues caused by selection bias, this study employs the Two-Step Heckman method. Using data from the 2021 Susenas, the findings reveal that energy poverty significantly reduces working hours in Eastern Indonesia. This impact is more pronounced among male workers compared to female workers and is more dominant in urban areas than in rural areas. These findings underscore the importance of policy interventions aimed at reducing energy poverty as a means of improving labor productivity, particularly in Eastern Indonesia. This study also contributes to understanding the dynamics of labor markets in regions facing energy and economic development challenges.
subject: Articles
  topic: section
subject: kemiskinan energi, penawaran tenaga kerja, Indonesia
  topic: keywords
creator: Hana Dwi Kristanti
creator: Djoni Hartono
creator: Suhendra
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-03-24
publication date: 2025-03-24
doi: 10.15294/edaj.v13i4.19893

Spatial Analysis and Spillover Effects on Economic Growth in Central Java
type: item
description: This study investigates the impact of regional spillover effects on economic growth in Central Java’s regencies and cities, focusing on Knowledge Spillover, Industry Spillover, Private Investment Spillover, and Government Expenditure Spillover using a spatial econometrics panel model. The results indicate significant effects on local economic growth; however, direct spillover effects, which are represented by the variable Wx in the Spatial Durbin Model (SDM), were not significant. This may be due to limited resource mobility, varying regional absorption capacities, and temporal dynamics. Direct spillover effects typically involve immediate economic interactions between neighboring regions, but in this study, these effects did not materialize as expected. Conversely, indirect spillover effects, reflected by spatial parameters ρ in the Spatial Autoregressive Model (SAR) and λ in the Spatial Error Model (SEM), highlight the importance of broader spatial dynamics across regions. These effects underscore the significance of interregional linkages rather than direct regional interactions, showing that regional synergies play a crucial role in fostering economic growth. From a policy perspective, the study recommends strengthening interregional cooperation by enhancing mechanisms such as information flow, technology transfer, and investment. Investment in digital infrastructure, the creation of innovation hubs, and cross-regional investment funds can help bridge the development gap and foster sustainable growth. Policies that support labor mobility and skill-building opportunities, especially for marginalized groups and women, are essential to promote equitable and inclusive economic development across regions
subject: Articles
  topic: section
subject: regional spillover
  topic: keywords
subject: spatial econometrics
  topic: keywords
subject: spillover effect
  topic: keywords
subject: economic growth
  topic: keywords
creator: Isna Febriyana
creator: Lilis Siti Badriah
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-03-26
publication date: 2025-03-26
starting page: 124
ending page: 139
doi: 10.15294/edaj.v14i1.19732

Poverty and Income Effects on Southeast Sulawesi Local Tax Revenue
type: item
description: This study uses a quantitative descriptive statistical approach to examine the impact of poverty levels and per capita income on regional tax revenues in Southeast Sulawesi. Utilizing secondary data from 2012 to 2021, the analysis employs a multiple linear regression model to evaluate the relationships between the variables. The findings reveal that poverty levels do not significantly affect regional tax revenues, whereas per capita income exerts a positive and substantial influence, highlighting its critical role in enhancing fiscal performance. The study underscores the importance of per capita income in boosting regional tax revenue. It recommends that the Southeast Sulawesi government prioritize economic empowerment initiatives, such as vocational training, micro-enterprise financing, and expanded market access, to increase community income and encourage greater participation in the taxation system. Further research should investigate other factors influencing tax revenues, including education levels, poverty dynamics, and regional economic structures. A broader analysis of these variables can provide policymakers with a more comprehensive framework for optimizing regional tax revenue and addressing socioeconomic disparities in the region.
subject: Articles
  topic: section
subject: Poverty Level
  topic: keywords
subject: Income Per Capita
  topic: keywords
subject: Tax Revenue
  topic: keywords
subject: Indonesia
  topic: keywords
creator: Rizal
creator: Khelana Ramadhan
creator: Abdullah Igo
creator: Murniati
creator: Inggah Pratiwi
creator: Fitri Ramadhani
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-02-27
publication date: 2025-02-27
starting page: 72
ending page: 87
doi: 10.15294/edaj.v14i1.19656

Spatial Autocorrelation of East Java's Economic Growth Using Cluster-Based Weights
type: item
description: This study incorporates a spatial clustering technique into the formation of a spatial weight matrix as an alternative to the traditional exogenous matrix, aiming to better capture spatial dependencies. The approach is applied to analyze the spatial autocorrelation of economic growth in East Java’s regencies and municipalities using 2019–2021 data. Spatial clusters are identified based on GDP growth (GGDP), Human Development Index (HDI), population density (Dens), and geographical coordinates. These clusters are used to define a customized spatial weight matrix, where regions within the same cluster are designated as neighbors. Moran’s I, calculated using the customized spatial weight matrix, detects significant spatial autocorrelation in GDP growth for all three years, with consistently lower p-values compared to the traditional contiguity-based matrix. For example, in 2020, Moran’s I using the customized matrix yielded a p-value of 0.099 (significant at the 10% level), while the traditional matrix produced a non-significant p-value of 0.7965. These results demonstrate that spatial clustering extends the scope of spatial interaction beyond adjacent regions to include those with similar characteristics. The findings highlight the effectiveness of this method in providing a more nuanced and robust framework for analyzing spatial dependencies in economic growth.
subject: Articles
  topic: section
subject: spatial weight matrix
  topic: keywords
subject: spatial autocorrelation
  topic: keywords
subject: spatial cluster
  topic: keywords
subject: economic growth
  topic: keywords
creator: Rahma Fitriani
creator: Ni Wayan Surya Wardhani
creator: Naufal Shela Abdila
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-03-09
publication date: 2025-03-09
doi: 10.15294/edaj.v13i4.19161

Analyzing The Development of Cashless Society Using the Structural Equation Modeling
type: item
description: Payment systems continue to evolve alongside advancements in information technology, driving the digitization of financial services and payment instruments. This study examines the influence of Psychological, Socio-Cultural, and Personal Factors on adopting electronic money and the growth of a cashless society, with Financial Technology as a moderating variable. The research involved 1,000 Bank BNI customers in the Jabodetabek area (Jakarta, Bogor, Depok, Tangerang, and Bekasi) actively using BNI Mobile Banking services. The analytical methods employed include Discourse Network Analysis and Structural Equation Modeling to develop a comprehensive analysis model. The results indicate that psychological and personal factors—such as motivation, perception, learning, positive attitude, modern lifestyle, and openness to change—significantly influence electronic money usage. However, socio-cultural factors do not exhibit a significant impact, primarily due to persistent cash usage habits and a lack of trust in technology. This study highlights the need for financial education to promote awareness of electronic money benefits and security, develop tailored financial products, and enhance regulatory collaboration between the government and relevant institutions.
subject: Articles
  topic: section
subject: Cashless Society
  topic: keywords
subject: Discourse Network Analysis
  topic: keywords
subject: Financial Technology
  topic: keywords
subject: Mobile Banking
  topic: keywords
subject: Structural Equation Model
  topic: keywords
creator: Muhammad Nurdin
creator: Adji Fernandes
creator: Eni Sumarminingsih
creator: Solimun
creator: Muhammad Ullah
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-03-24
publication date: 2025-03-24
doi: 10.15294/edaj.v13i4.15874

Does Financial Inclusion Enhance Indonesia's First Demographic Dividend?
type: item
description: This study examines whether financial inclusion enhances the first demographic dividend in Indonesia. Using a household-level approach, we measure the first demographic dividend through the economic support ratio and per capita expenditure, while financial inclusion is assessed based on savings account ownership in formal financial institutions. The research utilizes data from the 2022 National Socio-Economic Survey (Susenas) and applies a multiple linear regression model estimated via the Ordinary Least Squares (OLS) method. Empirical findings indicate that financial inclusion and the economic support ratio significantly enhance the first demographic dividend, as reflected in increased per capita expenditure. However, nearly one-third of households still lack access to formal financial institutions, with evidence suggesting a concentration of savings account ownership within specific households. Subsample analysis underscores the need to optimize the demographic dividend through financial inclusion, particularly for households headed by females, those engaged in agriculture and the informal sector, poor households, and those in rural areas and outside Java. Therefore, we recommend that the financial industry expand its services beyond its current target market and proactively tailor financial products to meet the diverse needs of the Indonesian population.
subject: Articles
  topic: section
subject: financial inclusion
  topic: keywords
subject: first demographic dividend
  topic: keywords
subject: economic support ratio
  topic: keywords
subject: per capita expenditure
  topic: keywords
creator: I Gede Putu Dharma Yusa
creator: Aziz Wahyu Suprayitno
creator: Faiz Abdullah Wafi
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-02-25
publication date: 2025-02-25
starting page: 28
ending page: 43
doi: 10.15294/edaj.v14i1.14913

Impact of Inflation, Interest Rates, And Money Supply on Deposit Funds
type: item
description: Deposits are straightforward investment instruments that offer fixed interest over a specified period, serving as a profitable product for banks. They play a crucial role in supporting banking operations, particularly within the internal scope of the institution. This study aims to examine the causal relationships between deposit interest rates, inflation, and money supply on the total deposits held by banks. A Vector Error Correction Model (VECM) is employed to investigate these relationships in both the short and long term. The analysis reveals that inflation and money supply significantly influence the volume of deposits in the short term. Conversely, deposit interest rates do not exhibit a substantial short-term impact on the total funds deposited. In the long term, all independent variables—deposit interest rates, inflation, and money supply—demonstrate a considerable effect on the amount of deposited funds. These findings provide valuable insights for banks, enabling them to optimize their funding strategies through deposit products while addressing challenges posed by macroeconomic fluctuations
subject: Articles
  topic: section
subject: Deposit
  topic: keywords
subject: Deposit Interest Rate
  topic: keywords
subject: Inflation
  topic: keywords
subject: Money Supply
  topic: keywords
subject: Deposit Funds
  topic: keywords
subject: Vector Error Correction Model
  topic: keywords
subject: VECM
  topic: keywords
creator: Yayan Luthfi Khoirina
creator: Yuniar Farida
creator: Moh. Hafiyusholeh
creator: Hani Khaulasari
rights: Copyright (c) 2025 Economics Development Analysis Journal
date: 2025-01-21
publication date: 2025-01-21
doi: 10.15294/edaj.v13i4.13910