Econetica
Vol 5 No 1 (2023): Mei 2023

Infrastructure Development and Population Dynamics as Determinants of Regional Economic Growth

Septriani, Septriani (Unknown)
Azizurrohman, Muhammad (Unknown)



Article Info

Publish Date
02 Nov 2025

Abstract

This study investigates the impact of infrastructure development and population growth onregional economic performance across the provinces of Java Island, Indonesia. Using panel datacovering the period from 2016 to 2021 obtained from the Ministry of Finance and the CentralBureau of Statistics, the study applies a Random Effect Model to assess the contribution of roadinfrastructure, electricity infrastructure, and population to provincial Gross Regional DomesticProduct (GRDP). The empirical results reveal that road and electricity infrastructure exertpositive and statistically significant effects on GRDP, indicating that improvements intransportation networks and energy supply directly enhance regional productivity and economicactivity. In contrast, population growth shows no significant effect, suggesting that demographicexpansion alone does not guarantee economic advancement without correspondingemployment opportunities and infrastructure quality. The model explains 84.14 percent of thevariation in GRDP, confirming the strong explanatory power of infrastructure variables. Thesefindings highlight the importance of sustained investment in physical infrastructure to promoteinclusive and balanced economic growth across regions

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Journal Info

Abbrev

econetica

Publisher

Subject

Economics, Econometrics & Finance Social Sciences

Description

Jurnal Econetica merupakan publikasi Ilmiah terkait Sosial, Ekonomi dan Bisnis merupakan hasil kajian pustaka, kajian isu, dan hasil penelitian yang berkembang dimasyarakat. Jurnal ini menggunakan Bahasa Indonesia. Terbit 2 kali setiap ...