Panel data regression reveals impacts of labor force and human development on economic growth in Central Java, suggesting policy improvements.
Key Points
Investment showed no significant effect on economic growth in Central Java over the study period, indicating the need for a better investment climate.
The labor force and fiscal autonomy ratio both showed a negative and significant impact on economic growth, highlighting workforce and fiscal management issues.
The Fixed Effect Model was employed to analyze the effects of multiple factors across 35 districts, using data from the Central Statistics Agency.
Human Development Index positively affected economic growth, suggesting a prioritization of human development initiatives is essential.