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Urban Poverty (Case Study of East Java from 2018-2022) Alfinta Lestianpuri; Muhammad Arif
Indonesian Interdisciplinary Journal of Sharia Economics (IIJSE) Vol 8 No 1 (2025): Sharia Economics
Publisher : Universitas KH. Abdul Chalim Mojokerto

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31538/iijse.v8i2.6022

This study seeks to assess how average years of schooling, job opportunities, population density, and local revenue affect poverty in nine cities within East Java Province from 2018 to 2022. The research utilizes secondary data and adopts a quantitative approach. A panel data regression method using a Fixed Effect Model (FEM) is employed. Findings indicate that average years of schooling, employment opportunities, and population density all have a significant negative impact on urban poverty. In contrast, Regional Original Income does not significantly affect urban poverty. It is crucial for the government to effectively manage local revenue to ensure equitable distribution among the population, particularly benefiting the poor.

Determinants of Female Labor Force Participation Rate in 2019-2023 in 34 Provinces of Indonesia Avista Nur Aini; Muhammad Arif
Indonesian Interdisciplinary Journal of Sharia Economics (IIJSE) Vol 8 No 1 (2025): Sharia Economics
Publisher : Universitas KH. Abdul Chalim Mojokerto

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31538/iijse.v8i1.6309

This study examines the determinants of the Female Labor Force Participation Rate (FLFPR) across 34 provinces in Indonesia from 2019 to 2023, utilizing secondary panel data from the Indonesian Statistics Agency (BPS). Guided by relevant labor economics theories and prior empirical studies, this research considers key socioeconomic factors, including Female Labor Force Participation Rate (FLFPR), Average Years of Schooling (AYS), Life Expectancy of Women, Marital Status of Women, and Adjusted Per Capita Expenditure. Panel data regression analysis is conducted using the Common Effect Model (CEM), Fixed Effect Model (FEM), and Random Effect Model (REM), with model selection based on Chow and Hausman tests. Diagnostic tests are applied to address potential issues such as autocorrelation and heteroskedasticity, ensuring the robustness of results. Findings indicate that the FEM is the most suitable model, explaining 98.05% of the variation in FLFPR. Women's education, life expectancy, and per capita expenditure significantly influence FLFPR, while the marital status of women aged 20-24 does not show a significant impact. This unexpected result suggests the need for further exploration of regional and cultural differences in marriage and labor participation. Policy recommendations emphasize expanding educational access, improving healthcare services, and promoting women's economic independence. Future research should incorporate additional explanatory variables and alternative econometric approaches for a more comprehensive analysis.

Analysis of the Impact of MSMEs, Wage Levels, Population Size, and Education Levels on Unemployment in East Java Province Marisa Kurniawati; Muhammad Arif
Indonesian Interdisciplinary Journal of Sharia Economics (IIJSE) Vol 8 No 2 (2025): Sharia Economics
Publisher : Universitas KH. Abdul Chalim Mojokerto

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31538/iijse.v8i2.6483

Unemployment remains a significant socioeconomic concern, diminishing both productivity and income while potentially triggering broader societal issues. This study investigates how Micro, Small, and Medium Enterprises (MSMEs), wage levels, population size, and education levels affect unemployment rates across districts and cities in East Java Province from 2019 to 2023. Utilizing secondary data sourced from the Central Bureau of Statistics (BPS), this research applies panel data analysis, integrating time series data from 2019 to 2023 with cross-sectional data from 39 districts and cities. Three regression models Common Effect Model (CEM), Fixed Effect Model (FEM), and Random Effect Model (REM) were examined, with the Fixed Effect Model (FEM) determined as the most suitable approach. Findings reveal that the independent variables collectively influence unemployment rates, as evidenced by an F-statistic of 10.87244 and a p-value of 0.000000, signifying strong statistical relevance. Further analysis reveals that wage levels negatively affect unemployment, implying that higher wages reduce unemployment rates. Meanwhile, population size and education levels positively influence unemployment, suggesting that an increasing population and higher education levels do not necessarily lead to lower unemployment. Interestingly, the study finds that MSMEs do not significantly impact unemployment rates in East Java.

Analysis of Income Inequality Between Rural And Urban Areas in West Java Province 2018 – 2022 Yuni Astuti; Muhammad Arif
Majapahit Journal of Islamic Finance and Management Vol. 6 No. 1 (2026): Islamic Finance and Management
Publisher : Universitas KH. Abdul Chalim Mojokerto

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31538/mjifm.v6i1.776

This research is a quantitative study with an associative-causal (causal-comparative) approach, which aims to analyze the effect of income inequality on the Human Development Index (HDI), Labor Force Participation Rate (TPAK), and fiscal independence in West Java Province during the 2018–2022 period. The data used in this study are quantitative, with a focus on measuring income inequality, the Human Development Index (HDI), the Labor Force Participation Rate (TPAK), and fiscal independence. The type of data used is secondary data that describes the economic and social conditions of a region during a certain period. The data collection technique in this study uses the documentation method, considering that the research is quantitative with secondary data. Based on the goodness-of-fit model test in Cities and Regencies in West Java province, it is proven that the determinant coefficient (R2) value in Regencies is 27.39 percent while the determinant coefficient value (R2) value in Cities is 87.78 percent. Therefore, it can be concluded that the determinant coefficient value (R2) in cities is higher than the determinant coefficient value in regencies. Based on the t-test, it can be seen that the labor force participation rate in both cities and regencies has a negative and significant effect on income inequality. While the labor force participation rate itself has a significant impact on income inequality in regencies and cities, fiscal independence is not sufficient to influence income inequality in regencies and cities in West Java Province. The results of the goodness-of-fit model (F-test) for regencies and cities indicate that simultaneously, the human development index, labor force participation rate, and fiscal independence influence income inequality in regencies and cities in West Java Province.

Analysis of Income Inequality Between Rural And Urban Areas in West Java Province 2018 – 2022 Yuni Astuti; Muhammad Arif
Majapahit Journal of Islamic Finance and Management Vol. 6 No. 1 (2026): Islamic Finance and Management
Publisher : Universitas KH. Abdul Chalim Mojokerto

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31538/mjifm.v6i1.776

This research is a quantitative study with an associative-causal (causal-comparative) approach, which aims to analyze the effect of income inequality on the Human Development Index (HDI), Labor Force Participation Rate (TPAK), and fiscal independence in West Java Province during the 2018–2022 period. The data used in this study are quantitative, with a focus on measuring income inequality, the Human Development Index (HDI), the Labor Force Participation Rate (TPAK), and fiscal independence. The type of data used is secondary data that describes the economic and social conditions of a region during a certain period. The data collection technique in this study uses the documentation method, considering that the research is quantitative with secondary data. Based on the goodness-of-fit model test in Cities and Regencies in West Java province, it is proven that the determinant coefficient (R2) value in Regencies is 27.39 percent while the determinant coefficient value (R2) value in Cities is 87.78 percent. Therefore, it can be concluded that the determinant coefficient value (R2) in cities is higher than the determinant coefficient value in regencies. Based on the t-test, it can be seen that the labor force participation rate in both cities and regencies has a negative and significant effect on income inequality. While the labor force participation rate itself has a significant impact on income inequality in regencies and cities, fiscal independence is not sufficient to influence income inequality in regencies and cities in West Java Province. The results of the goodness-of-fit model (F-test) for regencies and cities indicate that simultaneously, the human development index, labor force participation rate, and fiscal independence influence income inequality in regencies and cities in West Java Province.

Analysis Determinants of GRDP in East Java: Aprroach Investment and Employment Fahri Ardiansyah Andhi Hisyam; Muhammad Arif
Danadyaksa: Post Modern Economy Journal Vol. 4 No. 1 (2026): Post Modern Economy Journal
Publisher : Yayasan Pendidikan Islam Bustanul Ulum Mojokerto

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.69965/danadyaksa.v4i1.289

This study aims to analyze the influence of investment, employment, human development, unemployment, poverty, and minimum wages on Gross Regional Domestic Product (GRDP) of districts/cities in East Java using a panel data regression approach with the best Fixed Effect Model (FEM) based on the Hausman test. The results show that the Human Development Index (HDI) and district minimum wages (Wage) have a positive and significant effect on GRDP, which means that improving the quality of education, health, and living standards as well as increasing community income can increase productivity and consumption, thereby encouraging regional economic growth. Conversely, the open unemployment rate (Unemp) and the number of poor people (Pov) have a negative and significant effect, which indicates that high unemployment reduces people's income and purchasing power, while poverty suppresses aggregate demand and economic participation, thus hampering growth. Meanwhile, foreign direct investment (FDI) and the labor force participation rate (Lab) do not have a significant effect on GRDP, which indicates that uneven foreign investment and low quality and absorption of labor cause these two variables to be unable to provide a real contribution to economic output. This research contributes to filling the gap in previous research by integrating various economic variables in a comprehensive model based on panel data in 38 districts/cities in East Java, so that it can provide a more comprehensive picture of the determinants of GRDP and become the basis for formulating more targeted regional economic development policies.

OUT-MIGRATION IN INDONESIA AND ITS DETERMINING FACTORS Farit Firdaus Lutfiantara; Muhammad Arif
Indonesian Interdisciplinary Journal of Sharia Economics (IIJSE) Vol 9 No 2 (2026): Sharia Economics
Publisher : Universitas KH. Abdul Chalim Mojokerto

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31538/iijse.v9i2.10111

This study aims to analyze the influence of economic factors on out-migration in Indonesia, with a focus on poverty, wage levels, labor force participation, and unemployment rates. The research utilizes panel data from 34 provinces across three observation periods—2010, 2015, and 2020—employing a quantitative approach through panel data regression. The Fixed Effects Model (FEM) is determined as the most appropriate model based on the Chow and Hausman tests. The estimation results indicate that poverty and labor force size have a positive effect on out-migration. Meanwhile, wage levels and unemployment rates do not show a significant impact. These findings suggest that regional economic disparities and labor market pressures drive population mobility to other areas. Therefore, policies focusing on reducing regional inequality, expanding employment opportunities, and strengthening local economic bases are needed. This study contributes to migration research through the use of nationally scaled panel data, which enables a more structured explanation of the spatial and temporal dynamics of out-migration in Indonesia.

The Effects of Inward Investment, Education, Internet Access, and ICT Index on Unemployment in Indonesia Muhammad Rizky Karunia Putra; Muhammad Arif
Journal of Enterprise and Development (JED) Vol. 8 No. 2 (2026)
Publisher : Faculty of Islamic Economics and Business of Universitas Islam Negeri Mataram

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.20414/jed.v8i2.15356

Purpose: This study examines the effects of inward investment, education level, internet access, and the Information and Communication Technology (ICT) Index on the unemployment rate in Indonesia.Method: This study applies a quantitative approach using panel data regression across 34 Indonesian provinces from 2019 to 2023, yielding 170 observations. The data were obtained from Statistics Indonesia (BPS) and the Ministry of Communication and Digital Affairs (Komdigi). Model selection was conducted using the Chow and Hausman tests, which confirmed the Fixed Effects Model as the most appropriate estimation method.Result: The findings show that inward investment and internet access negatively affect unemployment. This indicates that higher inward investment and broader internet access are associated with lower unemployment rates. Conversely, education level and the ICT Index positively affect unemployment, suggesting that improvements in education and ICT development have not yet been fully matched by labor market absorption across provinces.Practical Implications for Economic Growth and Development: The study highlights the need to improve the quality of investment by directing it toward job creation. It also emphasizes the importance of strengthening vocational education, aligning educational outcomes with labor market demand, and improving workforce digital skills to support inclusive and sustainable economic development.Originality/Value: This study integrates inward investment, education, internet access, and the ICT Index into a single analytical framework. Using provincial-level panel data, it offers a comprehensive perspective on unemployment dynamics, digital transformation, and regional labor market disparities in Indonesia.

Integrating Financial Market Indicators and Macroeconomic Fundamentals in Explaining Exchange Rate Dynamics: Evidence from ASEAN Countries Daniel Lutfi Izza Zudien; Muhammad Arif
Journal of Enterprise and Development (JED) Vol. 8 No. 2 (2026)
Publisher : Faculty of Islamic Economics and Business of Universitas Islam Negeri Mataram

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.20414/jed.v8i2.15357

Purpose: This study aims to examine the effects of stock indices, trade balance, and economic growth on exchange rates in ASEAN countries.Method: This study adopts a quantitative approach using panel data from ten ASEAN member countries during the 2013–2022 period. The data were obtained from official publications of the World Bank and Investing.com. Panel data regression was employed as the analytical method. Based on the results of the Chow and Hausman tests, the Fixed Effects Model (FEM) was selected as the most appropriate model for estimating the relationships among the variables.Result: The results found that stock indices and trade balance have a positive effect on exchange rates. Meanwhile, economic growth has a negative effect on exchange rates in ASEAN countries.Practical Implications for Economic Growth and Development: The findings highlight the importance of maintaining financial market stability, improving international trade performance, and promoting sustainable economic growth to support exchange rate stability. These factors are essential for strengthening regional economic resilience in ASEAN.Originality/Value: This study incorporates financial market indicators and macroeconomic fundamentals within a cross-country panel data framework. By focusing on ASEAN countries during the 2013–2022 period, this study provides a more comprehensive understanding of the determinants of exchange rates in developing economies.

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