The Ability of Export and GDP Value Added in Explaining the Variation of Employment Opportunities in Indonesia

Journal Title: GATR Journal of Business and Economics Review - Year 2017, Vol 2, Issue 2

Abstract

Objective – This study aims to obtain empirical evidence regarding the ability of exports and gross domestic product (GDP) value-added in explaining the variation of employment opportunities in Indonesia. The method used in this study is explanatory research. Methodology/Technique – This research uses panel data which is a combination of time series data for 8 (eight) years with the cross section of 33 provinces in Indonesia. Data were analyzed using structural equation regression through fixed effect technique and common effect technique. Findings – The results show that using fixed effect technique, the export plays a positive and significant role in creating GDP value added and plays a negative role in creating employment opportunities, whereas the estimated GDP value-added plays a positive and significant role in shaping the employment opportunities in Indonesia. However, using common effect technique, the export plays a positive and significant role in shaping the GDP value added as well as both export. Novelty – The study suggests that GDP value-added play a positive and significant role in shaping the employment opportunities in Indonesia. Type of Paper: Empirical.

Authors and Affiliations

Dinarjad Achmad, Umiaty Hamzani

Keywords

Related Articles

Optimal Fiscal Policy – Factors for the Formation of the Optimal Economic and Social Models

Objective – The purpose of this paper is to develop the optimal economic and social model for the modern stage and analyze the Social Progress Index in Georgia. The research is based on the paradigm that “what we analyze...

Innovation Capability and Customer Relationship Management in Building Competent Young Entrepreneurs

Objective - The study aims to learn effect ofInnovation Capability and Customer Relationship Management on young entrepreneur's competency. Methodology/Technique - Questionnaire used for the data collection in this stud...

Vulnerability and Willingness to Pay for Coping with Flood in Klaten Regency, Central Java, Indonesia

Objective – The focus of this research is the analysis of vulnerability and factors that influence willingness to pay (WTP) to cope with flood. Other result of this research is economic valuation of flood impact on paddy...

Management Control Systems within Sustainable Ecotourism: A Study of Belitung

Objective – This study aims to examine the implementation of ecotourism management control systems in Belitung. The purpose of this is to make the management system more effective and efficient in achieving its targets....

Impact of Crude Oil Price Changes on Household Consumption Expenditure in Oman (1990-2016)

Objective - The preceding three years (2014, 2015, and 2016) saw a drop in the price of oil which has impacted all parts of Omani macroeconomic life. This study aims to identify the association between oil price changes...

Download PDF file
  • EP ID EP196806
  • DOI -
  • Views 151
  • Downloads 0

How To Cite

Dinarjad Achmad, Umiaty Hamzani (2017). The Ability of Export and GDP Value Added in Explaining the Variation of Employment Opportunities in Indonesia. GATR Journal of Business and Economics Review, 2(2), 17-22. https://europub.co.uk/articles/-A-196806