Sustainable Regional Economic Development through Cultural and Human Capital: Evidence from Indonesia

Arasy Panji Wibisono (Faculty Economic and Business, Universitas Sebelas Maret)
Sarjiyanto Sarjiyanto (Universitas Sebelas Maret)

Signifikan : Jurnal Ilmu Ekonomi
Vol. 15 No. 2 (2026)

Research Originality: This study offers novel insights by examining the mediating role of human capital in the relationship between cultural capital and regional economic development in Indonesia. Research Objectives: This study aims to examine the effect of cultural capital on Regional economic development and to investigate the mediating role of human capital in the relationship between cultural capital and regional economic development. Research Methods: This study employs panel data regression analysis using the Fixed Effects Model (FEM) and path analysis across 34 Indonesian provinces over the period 2019–2023. Empirical Results: The findings indicate that cultural capital positively affects regional economic development. Cultural tourist attractions and intangible cultural heritage do not have a significant effect on regional economic development. Furthermore, human capital plays a significant moderating role in the relationship between cultural capital and regional economic development, suggesting that cultural capital contributes more effectively to regional development. Implications: This study suggests that policymakers should continue to preserve and strengthen existing cultural capital across regions to improve access to public services and enhance living conditions. Ultimately, such an approach can support sustainable economic development. JEL Classification: C23, R11, O10, O15, Z10 How to Cite:Wibisono, A. P., & Sarjiyanto. (2026). Sustainable Regional Economic Development through Cultural and Human Capital: Evidence from Indonesia. Signifikan: Jurnal Ilmu Ekonomi, 15(2), 487-500. https://doi.org/10.15408/sjie.v15i2.50459.