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All Journal Signifikan : Jurnal Ilmu Ekonomi Riset Akuntansi dan Keuangan Indonesia Jurnal Maneksi (Management Ekonomi Dan Akuntansi) Jurnal Ekonomi Pembangunan STIE Muhammadiyah Palopo Equilibrium: Jurnal Ilmiah Ekonomi, Manajemen dan Akuntansi CAPITAL: JURNAL EKONOMI DAN MANAJEMEN Owner : Riset dan Jurnal Akuntansi Management Studies and Entrepreneurship Journal (MSEJ) Bima Journal : Business, Management and Accounting Journal Golden Ratio of Mapping Idea and Literature Format Jurnal Ilmiah MEA (Manajemen, Ekonomi, dan Akuntansi) Paradoks : Jurnal Ilmu Ekonomi Jurnal Inovasi Bisnis Indonesia (JIBI) Score: Jurnal Lentera Manajemen Pemasaran Edueksos: Journal Pendidikan Sosial dan Ekonomi
I Ketut Patra
Universitas Muhammadiyah Palopo
Agriculture, Biological Sciences & Forestry Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Education Library & Information Science Social Sciences Other

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Technological Advances and Knowledge-Based Economy on Labor Absorption: Evidence in Indonesia Sri wahyuny Mustafa; I Ketut Patra; Jusman; Halim Usman; Adya Utami Syukri
Signifikan: Jurnal Ilmu Ekonomi Vol. 15 No. 2 (2026)
Publisher : Faculty of Economic and Business, Universitas Islam Negeri Syarif Hidayatullah

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.15408/sjie.v15i2.47274

Abstract

Research Originality: This study develops an integrated model to examine the direct and indirect effects of technological advances and the knowledge-based economy on labor absorption through private investment and human capital. Research Objectives: This study aims to analyze the direct and indirect impacts of technology and the knowledge-based economy on labor absorption, with private investment and human capital development as mediating mechanisms, and to formulate an integrated policy framework to improve labor absorption. Research Methods: Three-Stage Least Squares (3SLS) estimation of a three-equation simultaneous system using provincial panel data from 34 Indonesian provinces from 2015 to 2024. Empirical Results: Technological progress and knowledge-based economy development stimulate labor absorption through direct effects and substantial indirect pathways via private investment and human capital accumulation. Private investment signals skill requirements to education systems; human capital attracts further investment through productivity enhancement. Implication: Coordinated multi-sector policies integrating technology adoption, private investment incentives (tax breaks, technology parks), dramatic expansion of vocational education, knowledge-based economy infrastructure, regionally differentiated approaches, and integrated labor market monitoring systems. JEL Classification: J20, J24, O33 How to Cite:Mustafa, S. W., Patra, I. K., Jusman., Usman, H., & Syukri, A. U. (2026). Technological Advances and Knowledge-Based Economy on Labor Absorption: Evidence in Indonesia. Signifikan: Jurnal Ilmu Ekonomi, 15(2), 501-514. https://doi.org/10.15408/sjie.v15i2.47274.
Co-Authors Abdullah Abdullah Ade Lilis Adya Utami Syukri Affandy Ibrahim Agus Salim Ahmad Refki Saputra Alaila Sageri Annisa Annisa Annur Thayyib Antong Antong Astri Astri Cinta Ramadani Achmad Erwin Ahmad Hadrah Hadrah Halim Halim Halim Usman Hapid Hapid Hikmad H Ikbal Ikbal Indra Kusdarianto, Indra Ismawati Ismawati Junaidi, Junaidi Jusman Karlina Maskur Khusnul Fhatimah Rusdi Muh. Ikbal Muh. Yusuf Q Muhammad Ikbal Muhammad Kasran Nurlinda Sabani Nursan Nursan Nurul Hikmah Putri Amalia Bontong Putri Putri Ragil Andrean Rahmad Solling Hamid Raodah Raodah Reski Lestari Rian Maming Rosmita A. Sarira S. Saharuddin S. Sarina Salmawati Salmawati Salsabila, Unik Hanifah Samsul Bachri Sapar Sapar Serli Yandiani Sri Wahyuny Mustafa Sri Wahyuny Mustafa Syalwah Syalwah Tinanti S Widyasti Widyasti