International Journal of Health, Economics, and Social Sciences (IJHESS)
Vol. 8 No. 2: April 2026

The Effect of Human Development Index, Domestic Investment (PMDN), and Foreign Direct Investment (PMA) on Labor Absorption in the Sulawesi Region, 2016–2024

Muhammad Muntazhar Sulaiman (Unknown)
Patta Tope (Unknown)
Kalvin A. Parinding (Unknown)
Laendatu Pembonan (Unknown)
Mohamad Ichwan (Unknown)
Muh. Afief Mubayyin (Unknown)



Article Info

Publish Date
04 May 2026

Abstract

This study aims to analyze the influence of the Human Development Index (HDI), Domestic Investment (PMDN), and Foreign Investment (PMA) on labor absorption in the Sulawesi region during 2016–2024, This study uses a quantitative approach with secondary data obtained from the Central Statistics Agency (BPS) and analyzed using panel data regression. Based on the results of the model selection regression test through the Chow test and the Hausman test, it was obtained that the Fixed Effect Model (FEM) is the most appropriate model. The results of the study show that simultaneously HDI, PMDN, and PMA have a significant effect on labor absorption, with the F Test (Simultaneous) producing a probability value of 0.00000 (< 0.05). Partially, HDI and PMDN have a significant effect. Showing that improving the quality of human resources and domestic investment have an important role in optimizing labor absorption Meanwhile, FDI has no significant effect, indicating that foreign investment has not been able to absorb labor optimally.

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Journal Info

Abbrev

IJHESS

Publisher

Subject

Economics, Econometrics & Finance Public Health Social Sciences

Description

nternational Journal of Health, Economics, and Social Sciences (IJHESS) is a peer-reviewed electronic international journal. This statement clarifies ethical behaviour of all parties involved in the act of publishing an article in this journal, including the author, the chief editor, the Editorial ...