The Impact of Wages, Population Growth, Investment, and Inflation on Unemployment Rates in ASEAN-5
Abstract
This study aims to analyze the impact of minimum wage, population growth, foreign direct investment (FDI), and inflation on the unemployment rate in five ASEAN countries during the period 2016-2023. The data used in this research is secondary data obtained from the World Bank and the International Labour Organization, covering five ASEAN countries (Indonesia, Malaysia, Thailand, Philippines and Vietnam) over eight years. The method employed is panel data regression using a fixed effect model (FEM), with result showing that minimum wages, population growth, and inflation have a significant negative effect on the unemployment rate, while foreign direct investment (FDI) significantly has a positive effect on the unemployment rate in ASEAN from 2016-2023. These findings suggest the importance of integrated policies in managing labor market dynamics in the ASEAN region.
Downloads
References
Economic Military and Geographically Business Review, 2(1). https://doi.org/10.61511/emagrap.v2i1.2024.872
Ramos-Herrera, M. (2023). The effects of minimum wage on unemployment for OECD countries: a dynamic fixed effects panel threshold model perspective. Economic Research-Ekonomska Istrazivanja , 36(3). https://doi.org/10.1080/1331677X.2023.2217880
Santoso, I. H., & Kristiyanto, S. (2021). The Effect of Inflation and Wages on Unemployment in East Java Province. INTERNATIONAL JOURNAL OF ECONOMICS AND FINANCE STUDIES, 13(2), 65–81. https://doi.org/10.34109/ijefs
Silalahi, E. Y., & Nasution, S. I. G. (2025). The Effect of Economic Globalization on Unemployment Rate in Six ASEAN Countries The Effect of Economic Globalization on Unemployment Rate in Six ASEAN Countries. TALENTA Conference Series: Local Wisdom, Social, and Arts. https://doi.org/10.32734/lwsa.v8i1.2417
Todaro, M. P., & Smith, S. C. (2020). Economic development. Pearson.
Widia, E. (2020). Pengaruh Foreign Direct Investment (Fdi) Terhadap Tingkat Pengangguran Di Asean 5. Universitas Andalas Padang.
Zuha Musnida, A., & Nur Asiyah, B. (2024). Pengaruh Foreign Direct Investmet, Produk Domestik Bruto dan Indeks Pembangunan Manusia terhadap Tingkat Pengangguran dengan Inflasi Sebagai Variabel Moderating. Al-Kharaj: Jurnal Ekonomi, Keuangan & Bisnis Syariah, 6(5), 3666–3675. https://doi.org/10.47467/alkharaj.v6i5.1168
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2025 Mochammad Fikri Firmansyah, Gigih Pratomo
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
