The Role of Micro, Small and Medium Enterprises (MSMEs) in Alleviating Poverty Caused by Unemployment

Ilahi, Yuwan Ferdiana, Abidin, Munirul and Ekowati, Vivin Maharani ORCID: https://orcid.org/0000-0001-6013-0630 (2024) The Role of Micro, Small and Medium Enterprises (MSMEs) in Alleviating Poverty Caused by Unemployment. Jurnal Ekonomi Pembangunan, 21 (2). pp. 98-114. ISSN 2527-4023

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Abstract

he purpose is To examine the role of MSMEs in overcoming
poverty caused by unemployment in West Java. The data used
is secondary data taken from the Central Bureau of
Statistics (BPS). The analytical method used is Partial Least
Square (PLS). The sample selection in this study was
determined using the census method. The census method is
a method that takes a sample of all districts and cities in
West Java. The sample data used are districts and towns in
East Java, namely 27 districts/cities. The results of the R-
Square test show that the independent variable
(unemployment) affects poverty by 68%, while other factors
outside the model influence the additional 32%. The
unemployment variable can increase MSMEs by 30%, while
other factors outside the research model influence the other
70%. The MSME variable can reduce poverty by 67%,
while other factors outside the model affect the additional
33%; the results of the significance level test show that
unemployment has a direct and significant positive
relationship with poverty. Unemployment has a direct and
consequential positive relationship with MSMEs. MSMEs
have a direct and consequential positive relationship to
poverty. Moreover, MSMEs can moderate the relationship
between unemployment and poverty

Item Type:	Journal Article
Keywords:	Unemployment; Poverty; MSMEs
Subjects:	15 COMMERCE, MANAGEMENT, TOURISM AND SERVICES > 1503 Business and Management > 150304 Entrepreneurship 15 COMMERCE, MANAGEMENT, TOURISM AND SERVICES > 1503 Business and Management > 150314 Small Business Management
Divisions:	Faculty of Economics > Department of Management
Depositing User:	Vivin Maharani Ekowati
Date Deposited:	05 Mar 2024 09:16

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