Asian Journal of Management Analytics
Vol. 3 No. 3 (2024): July 2024

Economic Growth, Wages and Education Levels on Labor Absorption in Districts/Cities in South Sulawesi Province

Hamka, Hamka (Unknown)
Fitrianti, Retno (Unknown)
Yakub, Andryirawan (Unknown)
Sopian, Andi (Unknown)
Sapanang, A. Baso Aditya (Unknown)
Fitrianti, A. Nur (Unknown)



Article Info

Publish Date
29 Jul 2024

Abstract

An analysis of the impact of economic growth, wages, and education levelsĀ  on workforce absorption in the regencies and cities of South Sulawesi. The objective of this study is to examine the impact of economic growth, wages, and education level on workforce absorption in regions with low unemployment rates. Additionally, it aims to investigate the influence of economic growth, wages, and education level on employment absorption in regions with high unemployment rates. Furthermore, the study will analyze the sectoral elasticity of the workforce in both low and high unemployment regional groups. This study employs a Panel Regression of Random Effect Model with a Generalized Least Square (GLS) Approach and Elasticity using a five-year panel data from 24 regencies and cities in South Sulawesi. The findings indicate that in the regional group with low unemployment, wages have a positive and significant impact on workforce absorption, while the level of education has a negative and significant impact. In the regional group with high unemployment, both economic growth and educational level have a positive and significant impact on workforce absorption. Additionally, the agricultural sector exhibits the highest workforce elasticity in the regional group with low unemployment, while the trade sector shows high elasticity in the regional group with high unemployment.

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Journal Info

Abbrev

ajma

Publisher

Subject

Decision Sciences, Operations Research & Management

Description

The Asian Journal of Management Analytics (AJMA) is a journal focused on the theory and application of data analytics and its applications in contemporary business, economics, and management disciplines. These disciplines include accounting, finance, management, marketing, economics ...