%D 2016 %T THE IMPACT OF TECHNOLOGICAL CHANGE ON POVERTY ALLEVIATION IN INDONESIA %A Muchdie Muchdie %X This paper examined the impact of technological change on poverty alleviation, with unemployment rate and economic growth as moderating variables, in Indonesia during the period of 10 years (2004-2013). This period was coincided with the two period of Yudhoyono Administration. Technological change was measured by total factor productivity (TFP) growth, unemployment was measured by open unemployment rate, economic growth was measured by the growth of Gross Domestic Product based on the year of 2000 constant price, and poverty alleviation was measured by the percentage of poor people. Impact analysis was conducted using SEM-Path Analysis techniques. Most data were directly gathered from the National Statistics Agency, except data on TFP growth. The results showed that first, technological change,directly, had a not significant positive impact on poverty alleviation (Path-1). Second, technological change, indirectly, had a positive significant impact on poverty alleviation (Path2). Third, technological change, indirectly, had a positive significant impact on poverty alleviation (Path-3). Fourth, technological change, indirectly, had positive significant impact on poverty alleviation (Path-4). %L repository131