Does the Covid-19 Outbreak Impacts On Economic Growth? An Evidence from Indonesia

Hilda Aprina, M. Sabri Abd. Majid, Vivi Silvia

Abstract


This study aims to analyze the effectS of the COVID-19 pandemic, labor, domestic direct investment (DDI), AND foreign direct investment (FDI) on economic growth in Indonesia. The type of data used in this study is panel data, which is a combination of cross-section and THE time series data (Silvia, 2020). The cross-section data involves 34 provinces and time-series data covers the period from the first quarter of 2018 to the second quarter of 2021. The result found out that the regression coefficient of labor has a positive and significant effect at the 5 percent level, which means that if the number of workers increases by 1 percent, economic growth will increase by 0.03 percent. Furthermore, the FDI variable also has a significant and positive effect on economic growth in Indonesia. We can see in table 3.2 that the FDI variable is significant at the 5 percent level with a regression coefficient of 0.012, this means that an increase in FDI by 1 percent will accelerate economic growth by 0.012 percent. From the results of data processing obtained by the author, it can be seen that the DDI variable has a positive but not significant effect on economic growth in Indonesia, this can be seen from the p-value which is greater than 5 percent. The regression coefficient of -0.001 proves that the COVID-19 pandemic has a negative impact on economic growth in Indonesia. When the COVID-19 pandemic reached the territory of Indonesia, economic growth slowed by 0.001 percent.

Keywords


Keywords: COVID-19, economic growth, FDI, DDI, labor 1. Int

Full Text:

PDF

References


Aditia, D., Nasution, D., Sains, F. S., Pembangunan, U., Budi, P., & Utara, U. S. (2020). Aditia, 2020. Jurnal Benefita, 5(2), 212–224.

AG, M., Syechalad, M. N., & Silvia, V. (2018). The Effect of Government Expenditures, Private Investment and Labor on Economic Growth in Pidie District. Sriwijaya International Journal of Dynamic Economics and Business, 1(4), 357. https://doi.org/10.29259/sijdeb.v1i4.357-374

Arsyad, L. (1992). Ekonomi Pembangunan (2nd ed.). STIE YKPN

Badan Pusat Statistik. (2019). Keadaan Angkatan Kerja Indonesia. BPS

.

Burki, T. (2020). The origin of SARS-CoV-2. The Lancet. Infectious Diseases, 20(9), 1018–1019. https://doi.org/10.1016/S1473-3099(20)30641-1

Fahrika, A. I., & Roy, J. (2020). Dampak pandemi covid 19 terhadap perkembangan makro ekonomi di indonesia dan respon kebijakan yang ditempuh. Inovasi, 16(2), 206–213.

Huang, C., Wang, Y., Li, X., Ren, L., Zhao, J., Hu, Y., Zhang, L., Fan, G., Xu, J., Gu, X., Cheng, Z., Yu, T., Xia, J., Wei, Y., Wu, W., Xie, X., Yin, W., Li, H., Liu, M., … Cao, B. (2020). Clinical features of patients infected with 2019 novel coronavirus in Wuhan, China. The Lancet, 395(10223), 497–506. https://doi.org/10.1016/S0140-6736(20)30183-5

Iamsiraroj, S. (2016) “The Foreign Direct Investment-Economic Growth Nexusâ€, International Review of Economics and Finance 42, pp 116-133, http://dx.doi.org/10.1016/j.iref.2015.10.044.

Isma, Andika. 2015. Pengaruh Investasi dan Tenaga Kerja terhadap Pertumbuhan Ekonomi di

Provinsi Aceh. Jurnal Magister Ilmu Ekonomi. Vol.2. No. 4.

Juliansyah, Romi, M.A, Nazamuddin, & Faisal. 2018. The Influence of Investment, Government Expenditure and Labors on Economic Growth In Aceh Province. Jurnal Ekonomi dan Kebijakan Publik Indonesia, 5(2), 184-199.

Kambono, Herman & Marpaung, Elyzabet Indrawati. (2020). Pengaruh Investasi Asing dan Investasi Dalam Negeri terhadap Pertumbuhan Ekonomi Indonesia. Jurnal Akuntansi, 12(1), 137-145.

Lean, H.H., & Tan, B.W. (2011). “Linkages between Foreign Direct Investment and Economic Growth in Malaysiaâ€, Journal of Economic Cooperation and Development 32, 4, pp 75-96

LIPI, Kemnaker, & FEB UI. (2020). Dampak Darurat Virus Corona Terhadap Tenaga Kerja di Indonesia. https://www.feb.ui.ac.id/blog/2020/05/26/inilah-hasil-kolaborasi-riset-antara-lipi-kemnaker-dan-lembaga-demografi-feb-ui/

Ozili, P. K., & Arun, T. (2020). Spillover of COVID-19: Impact on the Global Economy. SSRN Electronic Journal, March. https://doi.org/10.2139/ssrn.3562570

Pearson, M., Colombo, F., Cecchini, M., & Scarpetta, S. (2020). Flattening the covid-19 peak : Containment and mitigation policies Flattening the COVID-19 peak : Containment and mitigation policies. In The Organisation for Economic Co-operation and Development (Issue March). https://read.oecd-ilibrary.org/view/?ref=124_124999-yt5ggxirhc&title=Flattening_the_COVID-19_peak-Containment_and_mitigation_policies

Purwanto, N.P., & Mangeswari, D.R. (2011) “Pengaruh Investasi Asing dan Hutang Luar Negeri Terhadap Pertumbuhan Ekonomi Indonesiaâ€, Jurnal Ekonomi & Kebijakan Publik, Vol.2, No.2, 681-705.

Rahman, S., & Bahar, T. (2020). COVID-19: The New Threat. International Journal of Infection, 7(1), 1–6. https://doi.org/10.5812/iji.102184

Salhab, A., Soedjono, L. (2012). Pengaruh Inflasi, Jumlah Tenaga Kerja, dan Pengeluaran Pemerintah Terhadap Pertumbuhan Ekonomi Bali. Jurnal Ekonomi Pembangunan,3(4): 114-123.

Sari, Mutia, Syechalad, Mohd. Nur, & Majid, Sabri Abd. (2016). Pengaruh Investasi, Tenaga Kerja Dan Pengeluaran Pemerintah Terhadap Pertumbuhan Ekonomi di Indonesia. Jurnal Ekonomi dan Kenijakan Publik, 3(2), 109-115.

Silvia, V. (2020). Statistika Deskriptif (1st ed.). Penerbit Andi.

Sukirno, S. (2008). Makroekonomi : Teori Pengantar. PT. Raja Grafindo Persada.

Todaro, M. (2000). Pembangunan Ekonomi Dunia Ketiga Jilid I. Erlangga.

Sawada, Y., & Sumulong, L. R. (2021). Macroeconomic Impact of COVID-19 in Developing Asia. 1251. https://www.adb.org/publications/macroeconomic-impact-covid-19-developing-asia%0D

Todaro, M. (2000). Pembangunan Ekonomi Dunia Ketiga Jilid I. Erlangga.

Tran, H.T.T.,& Hoang, H.T. (2019) “An Investigation into the Impacts of FDI, Domestic Investment Capital, Human Resourcesm and Trained Workers on Economic Growth in Vietnamâ€, International Econometric Conference of Vietnam-Springer.

Trisnu, C.I.S.R., & Purbadharmaja, I.B.P. (2014) “Pengaruh PMDN dan PMA Terhadap PDRB di Provinsi Baliâ€,EJurnal Ekonomi Pembangunan Universitas Udayana, Volume 3, Nomor 3, hal 88-95, ISSN 2303-0178.

UU Nomor 25 Tahun 2007, Pub. L. No. 25

WHO. (2021a). Global Covid Overview. https://covid19.who.int/table




DOI: https://doi.org/10.47194/ijgor.v2i3.111

Article Metrics

Abstract view : 300 times
PDF - 248 times

Refbacks

  • There are currently no refbacks.


Copyright (c) 2021 International Journal of Global Operations Research

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.

Published By: 

Iora Journal
Jl. Merkuri Timur VI No. 1, RT. 007, RW. 004, Manjahlega, Rancasari, Kota Bandung, Jawa Barat, INDONESIA Phone: +62 85841953112; +62 811


IJGOR Indexed By: 

width=width=width=  width= width=width=  

 

 

Creative Commons License This work is licensed under a Creative Commons Attribution 4.0 International License.

View My Stats