<![CDATA[This study aims to analyze the determinants of the development of Small and Medium Industries (SMIs) in relation to labor absorption in Medan City. The dependent variable in this study is labor, while the independent variables include economic growth, wages, investment, production, productivity, the open unemployment rate, and the Human Development Index (HDI). This study uses secondary data obtained through data searches and collection from the official website of Statistics Indonesia (BPS). The data are analyzed using Confirmatory Factor Analysis (CFA) and multiple linear regression to identify the factors influencing labor absorption in Medan City. The results show that economic growth, investment, and the Human Development Index have significant effects on labor absorption in Medan City. These findings highlight the importance of promoting economic growth, increasing investment, and improving human resource quality to support labor absorption and encourage the development of Small and Medium Industries in Medan City.]]>
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