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All Journal ETIKONOMI Indonesian Treasury Review: Jurnal Perbendaharaan, Keuangan Negara dan Kebijakan Publik
Suprayitno, Aziz Wahyu
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Economics, Econometrics & Finance

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Human Capital as a Catalyst for Income Convergence: Evidence from ASEAN-8 Countries Suprayitno, Aziz Wahyu; Gitaharie, Beta Yulianita
ETIKONOMI Vol 24, No 1 (2025)
Publisher : Faculty of Economic and Business

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.15408/etk.v24i1.41571

Abstract

Research Originality: This study takes a novel approach to analyzing the impact of human capital on income convergence in ASEAN-8 countries by comparing three indicators. This comparative analysis provides a more comprehensive understanding of human capital dynamics in ASEAN's economic convergence.Research Objectives: This study investigates the impact of human capital on income convergence by applying the concept of β-convergence to the ASEAN-8 countries.Research Methods: The analysis of β-convergence is based on the basic and augmented Solow growth models. The estimation is conducted using static and dynamic panel data regression from 1995 to 2019.Empirical Result: The results reveal the existence of absolute and conditional β-convergence in ASEAN-8 countries, suggesting that poor countries grow faster than rich countries, with human capital playing a crucial role in this process. Human capital, measured by average years of schooling, tertiary gross enrolment ratio, and HCI, are important factors that significantly increase income convergence.Implications: ASEAN-8 governments need to establish policies that enhance human capital, particularly in education, by increasing educational attainment and the rate of return to education.JEL Classification: E24, O47, C13How to Cite:Suprayitno, A. W., & Gitaharie, B. Y. (2025). Human capital as a Catalyst for Income Convergence: Evidence from ASEAN-8 Countries. Etikonomi, 24(1), 265 – 284. https://doi.org/10.15408/etk.v24i1.41571.
The Effectiveness of Pre-Employment Card Program in Encouraging Participation in the Labor Market Wafi, Faiz Abdullah; Suprayitno, Aziz Wahyu
Indonesian Treasury Review: Jurnal Perbendaharaan, Keuangan Negara dan Kebijakan Publik Vol. 10 No. 3 (2025): Indonesian Treasury Review: Jurnal Perbendaharaan, Keuangan Negara dan Kebijak
Publisher : Direktorat Jenderal Perbendaharaan, Kementerian Keuangan

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.33105/itrev.v10i3.1146

Abstract

Research Originality — This study uses data from the 2022 National Labor Force Survey (Sakernas) to capture the current impact of the COVID-19 pandemic on the effectiveness of the Pre-Employment Card Program in increasing employment opportunities, as well as to analyze differences in its impact based on gender through interaction variables. Research Objectives — The Pre-Employment Card Program, launched in April 2020, aims to improve workforce competencies, increase workforce competitiveness and productivity, and develop entrepreneurship. This study aims to examine the effectiveness of the Prakerja Card Program in securing employment opportunities. Research Methods — The estimation method used is the Likelihood Binomial Logit, and the data were sourced from the 2022 National Labor Force Survey (Sakernas) conducted by the Statistics Indonesia (BPS). Empirical Results — The results indicate that participation in the Pre-Employment Card Program increases employment opportunities by 0.39 percent. The study also shows that age has an inverted U-shaped relationship with employment opportunities. Additionally, male recipients of the Prakerja Card Program, those who are married, and those with higher levels of education have a greater likelihood of securing employment. Meanwhile, moderation variables indicate that the marginal effect of the Prakerja Card Program on employment opportunities for males is lower compared for women. Implications — Training and job placement monitoring must be reinforced to ensure lasting program benefits. Recipients should be encouraged to adopt a forward-looking vision both as job seekers and creators. Training should also be tailored to age and education, given the inverted U-shaped relationship between age and employment opportunities, which calls for different approaches for youth and older workers.
Co-Authors Beta Yulianita Gitaharie Wafi, Faiz Abdullah