Proceedings of the International Conference on Islamic and Muhammadiyah Studies (ICIMS 2023)

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Analysis of Factors Affecting the Output of Manufacturing Industry Sector in Central Java

Authors
Oktavia Puteri Kusumaningsih1, *
1Faculty of Economics and Business, Universitas Muhammadiyah Surakarta, Surakarta, Indonesia
*Corresponding author. Email: octhavhiea78@gmail.com
Corresponding Author
Oktavia Puteri Kusumaningsih
Available Online 28 September 2023.
DOI
10.2991/978-2-38476-102-9_21How to use a DOI?
Keywords
City Minimum Wage; Labor; Number of Business Units
Abstract

This study aims to analyze the influence of the District Minimum Wage, Labor, and Number of Business Units on the GRDP of the industrial sector in Central Java in 2014–2018. The data used is panel data consisting of time series data for 2014–2018 and cross-sections of 35 districts and cities in Central Java. The analytical tool used is panel data regression, namely the Fixed Effect Model (FEM). The study results show that the number of business units had a negative and significant effect on the GRDP of the industrial sector in the region of Central Java in 2014–2018. Meanwhile, labor force and city minimum wages had a positive and significant effect on the GRDP of the industrial sector in Central Java in 2014–2018. With this research, it is hoped that the regional government will facilitate the process of managing a business license because it will encourage entrepreneurs to establish industrial units. The number of industrial units will increase production volume and ultimately increase the GRDP of the manufacturing industry sector. It will eventually absorb labor in the sector.

Copyright
© 2024 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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Volume Title
Proceedings of the International Conference on Islamic and Muhammadiyah Studies (ICIMS 2023)
Series
Advances in Social Science, Education and Humanities Research
Publication Date
28 September 2023
ISBN
978-2-38476-102-9
ISSN
2352-5398
DOI
10.2991/978-2-38476-102-9_21How to use a DOI?
Copyright
© 2024 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Cite this article

risenwbib
TY  - CONF
AU  - Oktavia Puteri Kusumaningsih
PY  - 2023
DA  - 2023/09/28
TI  - Analysis of Factors Affecting the Output of Manufacturing Industry Sector in Central Java
BT  - Proceedings of the International Conference on Islamic and Muhammadiyah Studies (ICIMS 2023)
PB  - Atlantis Press
SP  - 229
EP  - 238
SN  - 2352-5398
UR  - https://doi.org/10.2991/978-2-38476-102-9_21
DO  - 10.2991/978-2-38476-102-9_21
ID  - Kusumaningsih2023
ER  -