Socio-economic and demographic factors that influence the choice of employment in Southern Sumatera, Indonesia
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Date
2007
Authors
Abdul Madjid Sariman, Tatang
Journal Title
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Abstract
The decision of a respondent to either choose to work or not to work will be
determined by socio-economic and demographic characteristics where the
respective respondent lives. The study aims to identify the factors that contribute to
decision making of the respondents with regard to work. This research utilized the
2000 Indonesia’s National Socio-Economic Survey data (SUSENAS 2000) and
secondary data and STATA (Statistics Data Analysis) version 7.0 software in
identifying socio-economic and demographic variables which affect the
respondents’ decision making.
This study selected nine important socio-economic and demographic variables
towards ascertaining their respective correlation to the choice to work. The study
shows that eight out of the nine variables such as education, place of residence,
economic sector, health cost, work status, number of children, married status and
migration status have positive correlation; while health facilities is not significant.
The study finds that work status and residence are the most important variables for
the decision making.
In addition, the intermediate variables which have positive correlations to
decision to work are: marriage status, duration of married, wage, allowance (non
monetary), work hours, and seeking for a job. The study shows that married status
and selecting for jobs are the most strongest.
This study shows that the respondent’s probability to work is small for those
respondents without any certificate of qualifications. The probability is high for
those not been seeking for jobs or otherwise.
According to both the full and the simple model, the amount of wages in the
urban areas is four times higher than in the rural areas. This fact can encourage
more people to migrate to urban areas to seek jobs.
The most valuable outcome of the research is that “the curve of probability to
work” highly correlates with the age of the first marriage. This curve is referred to
as “tams curve”. The most dominant variables to influence the choice of
employment are: residence, married status, migration status, seeking jobs,
education, and age of the first marriage. Other variables which are also important
but of less significance are health facilities, health cost and allowance.
Description
PhD
Keywords
Humanities , Socio-economic , Employment