ESC
Web of Science
Entrepreneurship and Sustainability Issues Open Access Q1
Scopus - coverage starting with 2017 material
Received: 2019-07-16  |  Accepted: 2020-02-15  |  Published: 2020-06-30

Title

Human capital, institutional economics and entrepreneurship as a driver for quality & sustainable economic growth


Abstract

The Indonesian government policy in encouraging sustainable economic growth to reduce unemployment, poverty and inequality is threatened to fail, because economic growth does not reach targets and is not of quality. The purpose of this research is to explain the four pillars of growth and development namely; human capital, social capital, institutional economics and entrepreneurship as the main drivers of quality and sustainable economic growth. This research method used primary data on entrepreneurship and SMEs in the provinces of Central Java and Yogyakarta. The correlational form of recursive model path analysis was used as analytical method. The research results show the very strong role of human capital as the main key in driving economic growth both directly and indirectly. The existence of human capital and social capital will further encourage new economic institutions, furthermore new economic institutions will encourage the competitiveness of productive entrepreneurship and high, quality, and sustainable regional economic growth. The policy implication is that high, quality, and fundamentally sustainable economic growth must be built on the four main pillars basis namely; human capital, social capital, institutional and entrepreneurship in order to be more successful in reducing development problems; unemployment, poverty and income inequality.


Keywords

human capital, social capital, institutional, entrepreneurship, economic growth


JEL classifications

J24 , L31 , O47


URI

http://jssidoi.org/jesi/article/540


DOI


Pages

2575-2589


Funding

This research was supported and funded by the Decentralization PDUPT scheme research program from the Directorate General of Higher Education, the Ministry of Research and Higher Education, Republic of Indonesia with Contract Letter: 192 / SP2h / LT / DRPM / 2019

This is an open access issue and all published articles are licensed under a
Creative Commons Attribution 4.0 International License

Authors

Prasetyo, P. Eko
Semarang State University, Semarang, Indonesia https://unnes.ac.id
Articles by this author in: CrossRef |  Google Scholar

Kistanti, N. Rahayu
Semarang State University, Semarang, Indonesia https://unnes.ac.id
Articles by this author in: CrossRef |  Google Scholar

Journal title

Entrepreneurship and Sustainability Issues

Volume

7


Number

4


Issue date

June 2020


Issue DOI


ISSN

ISSN 2345-0282 (online)


Publisher

VšĮ Entrepreneurship and Sustainability Center, Vilnius, Lithuania

Cited

Google Scholar

Article views & downloads

HTML views: 389  |  PDF downloads: 260

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