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Research Paper | Economics | Indonesia | Volume 5 Issue 2, February 2016

GDP, Labor and Investment Towards Employment In West Java

Yuyus Yudistria

Abstract: Absorption of worker is an important thing in the national and regional development. Worker can be become a benchmark of successful the development of the area, it means absorbing worker supports the successful of whole national development. The objective of the research is to know how to influence GDP, labor and investment towards employment in West Java Method of This study uses secondary data from pooled data which is a combination of time series data and the cross section data in 24 regencies / cities in West Java. Based on the results obtained that, GDP, wage and investment get together influence significantly on absorption of worker in West Java. Then partially, GDP variable has a positive effect to the employment. Wage factor has a significant negative effect to the employment, while the investment factor has a positive effect but insignificant effect to the employment. This research suggests local government is expected to further encourage and push even spur economic growth, especially growth in every sector. Local governments need to overcome wages problems so that can improve the welfare of the workers without compromising the interests of employers. Investment in West Java province which has no significant effect on employment indicate that as long as these investors tend to impose a system of capital-intensive rather than labor-intensive, so that local governments should be more selective in granting licenses to investors associated with employment needs.

Keywords: Employment, wage, investment

Edition: Volume 5 Issue 2, February 2016,

Pages: 1933 - 1939

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