THE INFLUENCE OF THE MICRO AND SMALL INDUSTRIAL SECTOR ON CENTRAL JAVA'S ECONOMIC GROWTH

Apria Tri Hastuti, Rifki Khoirudin, Muhammad Safar Nasir

Abstract


This is w Economic development is a low national economic income transformed into a modern industrial economy. The aim of economic development is to increase the per capita income of a country's population in the long term, accompanied by fundamental changes in the economic structure and equal distribution of income for a country's population. Micro and small industries (IMK) are one of the crucial drivers for economic growth in Indonesia. This research aims to determine the influence of the micro and small industrial sector on economic growth in Central Java in 2018-2020, using economic growth as the dependent variable while business units, production value, workforce, minimum wage and open unemployment rate as independent variables. The analytical method used in this research is panel data regression with fixed effect model estimation using time series data from 2018 to 2020. The results of this research show that all bell variables have a significant negative effect except for the labor variable which has a significant positive effect.


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Publihser:
Universitas Ahmad Dahlan

Editorial Address:
Yogyakarta


This work is licensed under CC BY 4.0