Work

Impact of Minimum Wage on Unemployment and Worker Welfare Via Economic Growth in West Java (2010-2021)

Year: 2024

Type: article

Abstract: This study examines the impact of minimum wage policies on unemployment and worker welfare in West Java from 2010 to 2021, with a particular focus on the role of economic growth as a mediating variable. Utilizing a time series econometric approach, we analyze data from various economic indicators to understand the dynamics between these variables. The findings indicate that while minimum wage increases are associated with a reduction in unemployment, the effect is significantly mediated by economic growth, which also enhances worker welfare. This study contributes to the literature by providing empirical evidence from a developing country context and offering practical insights for policymakers aiming to balance wage growth with employment and economic stability.

Source: Jurnal Ilmu Ekonomi dan Pembangunan

DOI: 10.20961/jiep.v24i1.64769

Authors: Abib Audit, Nunik Kadarwati, Goro Binardjo

Institution: Jenderal Soedirman University

Language: English

Topic: Labor market dynamics and wage inequality

Subfield: Economics and Econometrics

Field: Economics, Econometrics and Finance

Domain: Social Sciences

SDGs: Decent work and economic growth, No poverty, Reduced inequalities

Open Access status: diamond

OpenAlex ID: W4402012486

FWCI:

Cites: 7

Cited by:

Related to: 10