Journal of Economics, Entrepreneurship, Management Business and Accounting
Vol 4 No 5 (2026): Volume 4, Issue 5, September 2026

The Impact of Migration and Inflation on Youth Unemployment in Indonesia: An ARDL Approach

Misdawita (Universitas Riau)
Cahya Puspita Rahmadhini (Universitas Riau)
Yulia Anggun Sari Br Sembiring (Universitas Riau)
Tuty Susanty L Toruan (Universitas Riau)



Article Info

Publish Date
01 Sep 2026

Abstract

Purpose - This study examines migration and inflation in relation to youth unemployment in Indonesia. It covers the period 2000-2024. The outcome concerns people aged 15-24. The focus is the transition from school to work. The analysis distinguishes long-run associations from short-run dynamics. Design/methodology/approach – Annual BPS-based series are analysed using an autoregressive distributed lag (ARDL) model. Youth unemployment covers ages 15-24. Migration uses the five-year retrospective risen-migration concept. Its annual provenance remains unverified, making migration estimates provisional. ARDL accommodates I(0) and I(1) variables and distinguishes long-run relationships from short-run changes. Finding/Results – The results provide mixed evidence of a long-run equilibrium relationship. The finite-sample bounds test points to cointegration, but the asymptotic test is inconclusive and the insignificant error-correction term indicates that adjustment toward equilibrium is not statistically reliable. In the long run, migration is negatively associated with youth unemployment, whereas inflation is positively associated with it. The short-run effects are not statistically robust and therefore require cautious interpretation. Originality/Value – This study examines migration, inflation, and youth unemployment jointly in Indonesia. Its focus is youth labour-market dynamics. It considers mobility alongside macroeconomic price pressure. The results inform discussion of labour matching and price stability. The contribution remains conditional on the model and data limitations.

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Journal Info

Abbrev

JEEMBA

Publisher

Subject

Economics, Econometrics & Finance

Description

Journal of Economics, Entreprenurship, Management Business and Accounting (JEEMBA) mencakup bidang ekonomi dan keuangan, manajemen bisnis dan akuntansi khususnya bidang akuntansi, manajemen, pasar modal, hukum bisnis, perpajakan, sistem informasi, serta bidang ekonomi dan keuangan lainnya. JEEMBA ...