THE IMPACTS OF TECHNOLOGICAL PROGRESS ON HUMAN DEVELOPMENT: EVIDENCE FROM INDONESIA

Muchdie, Muchdie (2016) THE IMPACTS OF TECHNOLOGICAL PROGRESS ON HUMAN DEVELOPMENT: EVIDENCE FROM INDONESIA. International Journal of Economics and Research, 7 (5). pp. 14-28. ISSN 2229-6158

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Abstract

The research reported in this paper aimed to analyse the impacts of technological progress on human development, directly and indirectly, using Indonesian data 2004-2013. This period of investigation coincided with the two periods of Yudhoyono adminstration. Technological progress was mesured by Total Factor Productivity growth (%), Economic growth was measured by GDP growth (%), Poverty reduction was measured by percentage of poor people (%), and Human development was measured by human development index. Except data on total factor productivity growth, all data were collected from National Statistic Agency.A path model analysis was empolyed to examine direct and indirect impacts. There were four paths (Path-1 to Path-4) to be analysed. Four hypothesis had been tested.The results showed that the impact of technological progress on human development varied depend on the path. Firstly, on Path-1, technological progress had direct negative impact on human development. This direct impact was statistically significant. Secondly, on Path-2,technological progress indirectly had negative impact on human development, through poverty reduction. This indirect impact was statistically significant. Thirdly, on Path-3,technological progress had positive impact on human development, through poverty reduction and economic growth. This indirect impact was statistically significant. Finally, on Path-4, technological progress indirectly had positive impact on human development, through economic development.

Item Type: Article
Subjects: H Social Sciences > HB Economic Theory
Depositing User: admin repository uhamka
Date Deposited: 25 Nov 2016 10:52
Last Modified: 25 Nov 2016 10:52
URI: http://repository.uhamka.ac.id/id/eprint/130

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