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Journal : Journal of Socioeconomics and Development

Information and communication technology, inequality change and regional development in Indonesia Chusnul Faizah; Kyohei Yamada; Devanto Shasta Pratomo
JOURNAL OF SOCIOECONOMICS AND DEVELOPMENT Vol 4, No 2 (2021): October
Publisher : Publisher of Widyagama University of Malang (UWG Press)

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31328/jsed.v4i2.2669

Abstract

Although the advancement of technology provides numerous opportunities to boost economic growth and development, equal distribution may not be guaranteed. Thus, this study seeks further elaboration as to whether ICT development has a role to play in the inequality in Indonesia. Using municipal level data from 2018, the study provides both linear and non-linear models to be estimated using OLS and 2SLS. Major findings include: (i) the availability of basic ICT infrastructure is strongly linked to the reduction of inequality; (ii) the actual ICT use is positively associated with inequality, albeit at a diminishing rate, revealing a non-linear relationship similar to Kuznets' curve; (iii) the ICT skill variable comprising the education level has direct correlation with ICT use instead of inequality, with an additional score on ICT skill being associated with an increase in ICT use; (iv) the relationship between ICT use and inequality differed depending on the level of economic development, with lower-income regions experiencing the inverted U-shaped relationship as in the original Kuznets curve and higher-income regions experiencing the U-shaped curve.JEL Classification:  D63; I24; O10
From employees to entrepreneurs: Does migration matter in blue-collar workers’ transition? Natalia, Christiayu; Pratomo, Devanto Shasta; Syafitri, Wildan
JOURNAL OF SOCIOECONOMICS AND DEVELOPMENT Vol 7 No 2 (2024): October
Publisher : Publisher of Widyagama University of Malang (UWG Press)

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31328/jsed.v7i2.6152

Abstract

Transitioning into entrepreneurship can offer a viable path for former blue-collar workers to reenter the workforce following widespread job losses during the COVID-19 pandemic. This study investigates the critical roles of adaptability and resilience in facilitating this transition, with particular attention to how migration status influences success in becoming either formal or informal entrepreneurs. Utilizing detailed microdata from the August 2021 Labor Force Survey (Survei Angkatan Kerja Nasional - SAKERNAS), the study applies a multinomial logistic regression model to examine the transition patterns of these former workers. The findings indicate that former migrant blue-collar workers are more inclined to shift towards formal entrepreneurship rather than informal ventures. This suggests the importance of implementing supportive policies aimed at fostering entrepreneurial initiatives among blue-collar workers. Such policies could mitigate the risks associated with job losses, particularly in times of crisis, and provide a safety net by encouraging entrepreneurship. By facilitating entrepreneurial activity, these policies would not only bolster economic resilience but also offer alternative routes for workforce recovery, ultimately contributing to job security, financial stability, and long-term economic sustainability in the face of ongoing uncertainties.JEL Classification C25; J24; J63