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Joko Susanto
UPN "Veteran" Yogyakarta
Economics, Econometrics & Finance

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Journal : Signifikan : Jurnal Ilmu Ekonomi

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Do Wage Spillovers Lead to Labor Productivity Spillovers? Joko Susanto; Didit Welly Udjianto
Signifikan: Jurnal Ilmu Ekonomi Vol 9, No 1 (2020)
Publisher : Faculty of Economic and Business Syarif Hidayatullah State Islamic University of Jakarta

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.15408/sjie.v9i1.12903

Abstract

This research wants to analyze wage spillovers in Yogyakarta and Central Java, and whether these spillovers induce labor productivity spillovers. This study uses data published by the Central Bureau of Statistics (BPS) and includes wage rate, regency/city minimum wage, capital intensity, education level, growth, and labor productivity. The spatial regression is using in this study. The results show that there is a wage spillover across regencies/municipalities in Yogyakarta and Central Java. The wage rate is not only influenced by the variables in the area but is also by the wage rates in the surrounding area. However, these wage spillovers do not encourage labor productivity spillovers. The labor productivity in a regency/city depends on the availability of physical capital in this area. An expansion in labor productivity in a zone does not affect the increment in labor productivity in the encompassing zone. The physical capital not easily moved between regencies/cities.JEL Classification: J24, J3, J61,  How to Cite:Susanto, J., & Udjianto, D. W. (2020). Do Wage Spillovers Lead to Labor Productivity Spillovers? Signifikan: Jurnal Ilmu Ekonomi, Vol. 9(1), 51-68. doi: http://dx.doi.org/10.15408/sjie.v9i1.12903.
Do Growth Spillovers Matter? Joko Susanto; Didit Welly Udjianto
Signifikan: Jurnal Ilmu Ekonomi Vol 10, No 1 (2021)
Publisher : Faculty of Economic and Business Syarif Hidayatullah State Islamic University of Jakarta

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.15408/sjie.v10i1.17900

Abstract

Although the Yogyakarta Special Region and Central Java are two independent provinces with different regulations, these economies were integrated as a unity that interacts with each other, so this study examined whether the growth spillovers between regencies/cities occurred in these provinces. The data included economic growth, education, working-age population, and asphalted road published by the Central Bureau of Statistics for 2001-2018. This study used a regression analysis based on the Dynamic Ordinary Least Square (DOLS) model. The results showed that there were growth spillovers. The economic growth of a regency/city was positively influenced by economic growth in its surrounding regions. A particular regency/city obtained benefit from economic growth occurred in its surrounding. Meanwhile, an increase in the working-age population and the asphalted road positively affects economic growth. However, the increase in education did not affect economic growth. Therefore, the local government needs to improve connectivity between regions by building road networks and enhancing intergovernmental cooperation.JEL Classification: J6, O1, R1How to Cite:Susanto, J., & Udjianto, D. W. (2021). Do Growth Spillovers Matter?. Signifikan: Jurnal Ilmu Ekonomi, 10(1), 31-50. doi: http://doi.org/10.15408/sjie.v9i2.17900.
Co-Authors Udjianto, Didit Welly