Title Page
Abstract
Contents
CHAPTER I. INTRODUCTION 8
1.1. Background of Study 8
1.2. Research Objectives and Significances. 14
CHAPTER II. Theoretical Background and Literature Review 16
2.1. Foreign Direct Investment and Domestic Direct Investment 16
2.2. Tax Revenue 19
2.3. Human Capital Investment. 22
2.4. State Capital Participation 26
2.5. Unemployment rate 28
2.6. Number of SMEs. 30
CHAPTER III. RESEARCH MODEL 41
CHAPTER IV. RESEARCH METHODOLOGY 46
4.1. Operational of Variable. 46
4.1.1. Dependent Variable 46
4.1.2. Independent Variable 46
4.2. Research Design 47
4.2.1. Goals of Study 47
4.2.2. Unit of Analysis 47
4.2.3. Time Horizno 47
4.2.4. Measurement of Variable 47
4.3. Data types and Sources 48
4.4. Reliability and Validity 48
4.5. Descriptive Statistic Analysis 49
4.6. Approaches in Panel Data Regression 50
4.6.1. Common-constant method (pooled ordinary least square/PLS) 50
4.6.2. Fixed Effect Model/FEM 51
4.6.3. Random effect Model 51
4.7. Selection of Panel Data Regression Model 51
4.7.1. Chow Test 52
4.7.2. Hausman Test 52
4.7.3. Multicollinearity test 53
4.8. Hypothesis Testing 53
CHAPTER V. RESULTS 54
5.1. Data Analysis Method 54
5.2. Data Analysis Result 55
5.2.1. Common effect model 56
5.2.1. Fixed effect model 57
5.2.2. Random effect model 57
5.2.3. Selection of Panel Data Regression Model 58
5.2.4. Chow test (Common effect model vs Fixed effect model) 58
5.2.5. Hausman Test (Fixed Effect Model vs Random Effect Model) 59
5.3. Multicolinearity test 60
5.4. Hypothesis Testing 62
CHAPTER VI. DISCUSSION AND CONCLUSION 66
6.1. Discussion 66
6.1.1. Human Capital Investment effect on the number of SMEs. 66
6.1.2. Unemployment rate effect on the number of SMEs. 71
6.1.3. Domestic and Foreign Direct Investment effect on the number of SMEs. 74
6.1.4. State Capital Participation effect on the number of SMEs. 77
6.1.5. Tax Revenue effect on the number of SMEs. 78
6.1.6. Policy Recommendation 79
6.2. Conclusion 81
References 83
요약 111
〈Table 1-1〉 Development of MSMEs in Indonesia 10
〈Table 2-1〉 Definition of MSMEs in Indonesia. 32
〈Table 2-3〉 Previous Research 36
〈Table 5-1〉 Descriptive Statistic 54
〈Table 5-2〉 Common, Fixed and Random effect test 56
〈Table 5-3〉 Chow test 58
〈Table 5-4〉 Hausman test 59
〈Table 5-5〉 Multicolinearity test 61
〈Table 5-6〉 Multiple Regression Results 63
〈Table 5-7〉 Hypothesis Results 64
〈Figure 1-1〉 Average productivity per employee 25
〈Figure 1-2〉 Average Investments per employee 26
〈Figure 2-3〉 formality number of employess 35
〈Figure 2-4〉 Formality by annual formalization 35
〈Figure 3-1〉 Research Model 42
〈Figure 4-1〉 Selection of Regression Model 52
〈Figure 6-1〉 SMEs absorb 97% Indonesian workers. 66
〈Figure 6-2〉 Indonesian People who are working in informal and formal sector. 68
〈Figure 6-3〉 Number of Indonesian Unemployment based on Education 71
〈Figure 6-4〉 Domestic and Foreign Direct Investment of Indonesia 74