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Determinants of Time to Look for Work and Time to Prepare a Business in Indonesia

Determinants of Time to Look for Work and Time to Prepare a Business in Indonesia

Title: Determinants of Job Search Time and Business Preparation Time in Indonesia

Author: Hendri Cahyo Dwi Safitri

Affiliations : Master of Economics Program, Faculty of Economics and Business, Universitas Airlangga Surabaya, Indonesia

Publisher: Universitas Airlangga

Abstract

This study aims to analyze the influence of education level, job training, work experience, marital status, age, gender, and residential classification on the duration of job search and business preparation in Indonesia. The total analysis unit used was 50,724 individuals from the August 2018 National Labor Force Survey (Sakernas) data collected by the Central Statistics Agency (BPS). The analysis method used was Survival Analysis with Cox Regression. The characteristics of individuals in the workforce who are looking for work are dominated by high school graduates, have never participated in job training, have no work experience, are single, male, aged 15-29 years, and live in urban areas. On the other hand, the characteristics of individuals in the workforce who are preparing for business are dominated by high school graduates, have never participated in job training, have work experience, are married, female, aged ≥30 years, and live in urban areas. The survival rate results show that preparing for business tends to be more effective in changing one's status (from unemployed to employed) compared to looking for work. Cox regression testing shows that education level, work experience, marital status, gender, age, and residential classification significantly influence the length of time it takes to find work in Indonesia. Furthermore, education level, marital status, gender, and residential classification significantly influence the length of time it takes to prepare a business in Indonesia.

Keywords: Unemployment, Length of Job Search, Length of Business Preparation, Cox Regression, Survival Analysis

 

Sources: http://repository.unair.ac.id/id/eprint/103904