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Regional spillover effect to Gross Regional Development Product (GRDP) in The Special Region of Yogyakarta, Indonesia

Author

Listed:
  • Nur Feriyantoa

    (Islamic University of Indonesia, Indonesia)

  • Muafi

    (Islamic University of Indonesia, Indonesia)

  • Dityawarman El Aiyubbic

    (Islamic University of Indonesia, Indonesia)

Abstract

This study aims at investigating the relationship between investment, employment, electricity consumption, GRDP of Purworejo Regency, GRDP of Magelang Regency, and GRDP of Klaten Regency to GRDP of the Special Region of Yogyakarta (DIY Province). For this purpose, this research uses time series model for the period of 2000-2016. The results show that Foreign Direct Investment (FDI), Domestic Investment (DI), Electricity Consumption (EC), GRDP of Purworejo Regency, and GRDP of Klaten Regency have significant and positive effects on GRDP of DIY Province. Also Employment has significant negative on GRDP of DIY Province. On the other hand, GRDP of Magelang Regency has no significant effect on GRDP of DIY Province. Conducive climate preparation policies for increased regional investment, productive sector mapping of the economy for labor usage, as well as good supply and distribution of electricity consumption to communities and business units are of major concerns to GRDP of DIY Province development.

Suggested Citation

  • Nur Feriyantoa & Muafi & Dityawarman El Aiyubbic, 2019. "Regional spillover effect to Gross Regional Development Product (GRDP) in The Special Region of Yogyakarta, Indonesia," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 6(3), pages 1318-1334, March.
    • Handle: RePEc:ssi:jouesi:v:6:y:2019:i:3:p:1318-1334
    DOI: 10.9770/jesi.2019.6.3(19)
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    References listed on IDEAS

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    More about this item

    Keywords

    GRDP; Foreign Direct Investment; Domestic Investment; employment; Electricity Consumption;
    All these keywords.

    JEL classification:

    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • O21 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Planning Models; Planning Policy

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