The Influence of Islamic Capital Market Capitalization and Labor Force on the Economic Growth of Indonesia

Sharia capital and labor markets play an important role in driving the economy of a country, including Indonesia. Sharia capital market capitalization is a key indicator of organized economic activity and has a significant impact on the allocation of resources to economic sectors with potential for...

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Bibliographic Details
Main Authors: Deky Candra Saputra, Muhammad Ikhsan
Format: Article
Language:English
Published: Fakultas Ekonomi dan Bisnis Islam IAIN Purwokerto 2024-11-01
Series:El-Jizya: Jurnal Ekonomi Islam
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Online Access:https://ejournal.uinsaizu.ac.id/index.php/eljizya/article/view/10381
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Summary:Sharia capital and labor markets play an important role in driving the economy of a country, including Indonesia. Sharia capital market capitalization is a key indicator of organized economic activity and has a significant impact on the allocation of resources to economic sectors with potential for growth. On the other hand, labor is the main asset in realizing economic potential through their productivity and contribution to development. This study examines the impact of Islamic Capital Market Capitalization and Labor on Indonesia's Economic Growth. It utilizes secondary data in the form of time series data from the Central Bureau of Statistics and the Financial Services Authority for the period 2014-2022. The analysis method employed is quantitative analysis, and the Error Correction Model (ECM) is used for the analysis. The study findings indicate that:(a) The sukuk variable has a positive and significant effect on Indonesia's economic growth. (b) The Sharia mutual fund variable also has a positive and significant effect on Indonesia's economic growth. (c) The labor variable positively and significantly influences Indonesia's economic growth.
ISSN:2354-905X
2579-6208