Keizai
Vol 7, No 1 (2026): Maret-Agustus

The Impact of Government Expenditure, Investment, and Unemployment on Indonesia's Growth: Islamic Economic Perspective

Nurjannah Anggraini (UIN RADEN INTAN LAMPUNG)
Ridwansyah Ridwansyah (UIN RADEN INTAN LAMPUNG)
Ujang Hanief Musthofa (UIN RADEN INTAN LAMPUNG)



Article Info

Publish Date
30 Jun 2026

Abstract

This study aims to analyze the influence of government expenditure, investment, and the open unemployment rate on economic growth across 34 provinces in Indonesia during the 2020–2024 period. A quantitative approach using panel data methodology was applied, utilizing secondary data sourced from the Central Bureau of Statistics (BPS) and the Directorate General of Fiscal Balance (DJPK). Data analysis was conducted through panel data regression using EViews 9 software, with the Fixed Effect Model (FEM) selected as the best-fit model. The results indicate that, partially, government expenditure has no significant effect on economic growth. Conversely, investment has a positive and significant impact, while the open unemployment rate has a negative and significant effect on economic growth. From an Islamic economic perspective, economic growth should not be oriented solely toward increasing material output but must also encompass the creation of justice, balance, and general welfare (maslahah) for the entire society

Copyrights © 2026






Journal Info

Abbrev

KEIZAI

Publisher

Subject

Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Social Sciences

Description

KEIZAI: Jurnal Kajian Ekonomi, Manajemen, dan Akuntansi mengundang para praktisi, peneliti, dan mahasiswa untuk memberikan temuan kajian-kajian di lingkup ekonomi, manajemen, dan akuntansi sebagai berikut: (1) Ekonomi perilaku, Studi ekonomi spasial (wilayah, perkotaan, pedesaaan, dsb), Perencanaan ...