Uncovering Key Economic Drivers in MSMEs through Economic Base Model
Keywords:
leading sector, economic base model, laborAbstract
The importance of leading sectors can contribute to the development of the national economy. The economic advantages of a region serve as a mobilized tool for economic growth and are crucial in creating new business opportunities that can absorb labor. The objective of this research is to determine the leading sector for micro small and medium enterprises as well as the effects of the multiplier effect in Surakarta City in 2022. The method used Location Quotient, Base Employment, and Base Multiplier as a combination of the Economic Base Model. The findings of this study indicate that in the city of Surakarta, there are three leading sectors, namely the service sector, trade, and non-agricultural production. The highest base multiplier and base employment are in the trade sector. Both are likely to be concentrated in the southeast of Surakarta City. These findings imply that the development of leading sectors in Surakarta, such as services, trade, and non-agricultural production, should be focused on increasing efficiency and innovation, not just on increasing the number of workers. In addition, economic policy must consider that, despite the high number of workers, the economic impact may be limited if it is not accompanied by a significant multiplier effect.
References
Ajuwon, O. S., Ikhide, S., & Akotey, J. O. (2017). MSMEs and Employment Generation in Nigeria. The Journal of Developing Areas, 51(3), 229–249. https://doi.org/https://doi.org/10.1353/jda.2017.0070
Aprizal, A., & Nurdiansyah, N. (2023). Pengaruh Perkembangan UMKM Terhadap Pertumbuhan Ekonomi di Kab. Jeneponto. AkMen JURNAL ILMIAH, 20(1), 63–72. https://doi.org/10.37476/akmen.v20i1.3518
Arsyad, L. (2010). Ekonomi Pembangunan. STIM YKPN.
Basorudin, M., Afifah, N., Rizqi, A., Yusuf, M., Humairo, N., & Nugraheni, L. M. S. (2021). Analisis Location Quotient dan Shift Share Sektor Pariwisata Sebagai Indikator Leading Sector di Indonesia. Ecobisma (Jurnal Ekonomi, Bisnis Dan Manajemen), 8(1), 89–101. https://doi.org/10.36987/ecobi.v8i1.1855
Dinc, M. (2002). Regional and Local Economic Analysis Tools. Prepared for the Public Finance, Decentralization, and Poverty Reduction Program. World Bank Institute Washington DC.
Gkouzos, A., & Christofakis, M. (2018). Multiplier effects under a disaggregate economic base model. Journal of Economic Studies, 45(2), 383–400. https://doi.org/https://doi.org/10.1108/JES-12-2016-0259
Hakim, R. M. A. (2021). Pemetaan Potensi UMKM di Desa Panenjoan, Kabupaten Bandung, Jawa Barat. Dharmakarya, 10(3), 193. https://doi.org/10.24198/dharmakarya.v10i3.26490
Jauhari, A. (2020). Pemanfaatan SIG untuk Pemetaan Kawasan Produksi Komoditas Unggulan Tanaman Pangan di Kabupaten Pacitan. Journal of Regional and Rural Development Planning, 4(3), 154–171. https://doi.org/10.29244/jp2wd.2020.4.3.154-171
Jumiyanti, K. (2018). Analisis Location Quotient dalam Penentuan Sektor Basis dan Non Basis di Kabupaten Gorontalo. Gorontalo Development Review, 1(1), 29. https://doi.org/10.32662/golder.v1i1.112
Mayangsari, Y., & Sunartomo, A. F. (2021). Analisis Perwilayahan Komoditas Semangka di Kabupaten Banyuwangi. JSEP (Journal of Social and Agricultural Economics), 14(2), 180. https://doi.org/10.19184/jsep.v14i2.22577
Noor Salim, M., Susilastuti, D., & Wildan Rafiqah, I. (2020). Determinant of MSMEs Performance and its Impact on Province GRDP in Indonesia. International Journal of Business, Economics and Management, 7(1), 1–13. https://doi.org/10.18488/journal.62.2020.71.1.13
Padawangi, R. (2019). Progressive City Surakarta Learning from Community Based Initiatives in Urban Indonesia. Springer, Singapore, 233–249. https://doi.org/10.1007/978-981-13-0209-1_14
Panjawa, J. L., Safitri, N. A., & Nurhayati, W. M. (2022). Pemetaan Lapangan Usaha Unggulan dan Potensi Pengembangan pada Sektor Usaha Mikro dan Kecil Perkotaan. 292–304.
Panjawa, J. L., Sugiharti, R. R., Prakoso, J. A., & Rahayu, R. M. P. (2021). Spatial Pattern of Potential of Leading Sector of Micro and Small Enterpries in Patuk Subdistrict, Gunungkidul. Jurnal Pemikiran Dan Penelitian Administrasi Bisnis Dan Kewirausahaan, 6(3), 311–328.
Perry, J. (2019). Economic Base in Emerging Economies: Estimating Regional Multipliers in Ecuador. Utah State University. https://doi.org/https://doi.org/https://doi.org/10.26076/b40a-8d5d
Prakoso, J. A., Giovanni, A., & Panjawa, J. L. (2021). Spatial Patterns, Opportunities and Determinants of MSMEs Employment in Township. Jejak, 14(1), 77–92. https://doi.org/10.15294/jejak.v14i1.26406
Prodjo, W. A. (2022). Surakarta Disebut Punya Potensi Ekonomi UMKM yang Tinggi, Ini Pesan Deputi Mikro KemenKopUKM. Kompas.Com. https://umkm.kompas.com/read/2022/09/27/070000583/surakarta-disebut-punya-potensi-ekonomi-umkm-yang-tinggi-ini-pesan-deputi-mikro
Rizani, A. (2019). Analisis Sektor Potensi Unggulan Guna Perencanaan Pembangunan Ekonomi Kota Bandung. Jieb : Jurnal Ilmiah Ekonomi Bisnis, 5(03), 423–434. http://ejournal.stiepancasetia.ac.id/index.php/jieb
Setyadharma, A., Wijayanti, R., Fauzin, K. A. N., & Febryansyah, M. L. (2018). Prioritas Pengembangan Usaha Mikro, Kecil dan Menengah (UMKM) Sektor Non-Unggulan Provinsi Jawa Tengah. JFRES: Journal of Fiscal and Regional Economy Studies, 1(1), 109–118. https://doi.org/10.36883/jfres.v1i1.12
Sugianto, S., & Permadhy, Y. T. (2020). Perencanaan Pembangunan Inklusif Melalui Peran Partisipatif Pemerintah Daerah. EcceS (Economics, Social, and Development Studies), 7(1), 87. https://doi.org/10.24252/ecc.v7i1.13565
Suyatno, S., & Suryani, D. A. (2022). Pengembangan Potensi UMKM Berbasis Lokal Dalam Mendorong Perekonomian di Desa Girikerto Sleman. Jurnal Studi Manajemen Dan Bisnis, 9(2), 108–118. https://doi.org/10.21107/jsmb.v9i2.16821
Utomo, M. N., Kaujan, K., & Cahyaningrum, W. (2022). Improving Competitiveness of Small and Medium Enterprises Based on Local Leading Products in Tarakan City, Indonesia. Acta Logistica, 9(1), 63–74. https://doi.org/10.22306/al.v9i1.271
Wibowo, G. A., & Sulistyawati, A. (2024). Terus Tumbuh, 13.203 UMKM di Solo Serap 16.348 Tenaga Kerja. SOLOPOS Bisnis. https://bisnis.solopos.com/terus-tumbuh-13-203-umkm-di-solo-serap-16-348-tenaga-kerja-1836888
Wulandari, D. A. R., & Tistogondo, J. (2022). Pemetaan Potensi UMKM Dalam Rencana Peningkatkan Pemasaran Produk Masyarakat Desa Ngingas Sidoarjo. Jurnal Pengabdian Masyarakat IPTEKS, 8(2), 172–178.
Zuhannisa, M. R., & Baroroh, D. K. (2022). Pemetaan Sektor Basis UMKM Kota Yogyakarta Dengan Pendekatan Location Quotient (LQ). Kaizen : Management Systems & Industrial Engineering Journal, 5(1), 1–7.
Aprizal, A., & Nurdiansyah, N. (2023). Pengaruh Perkembangan UMKM Terhadap Pertumbuhan Ekonomi di Kab. Jeneponto. AkMen JURNAL ILMIAH, 20(1), 63–72. https://doi.org/10.37476/akmen.v20i1.3518
Arsyad, L. (2010). Ekonomi Pembangunan. STIM YKPN.
Basorudin, M., Afifah, N., Rizqi, A., Yusuf, M., Humairo, N., & Nugraheni, L. M. S. (2021). Analisis Location Quotient dan Shift Share Sektor Pariwisata Sebagai Indikator Leading Sector di Indonesia. Ecobisma (Jurnal Ekonomi, Bisnis Dan Manajemen), 8(1), 89–101. https://doi.org/10.36987/ecobi.v8i1.1855
Dinc, M. (2002). Regional and Local Economic Analysis Tools. Prepared for the Public Finance, Decentralization, and Poverty Reduction Program. World Bank Institute Washington DC.
Gkouzos, A., & Christofakis, M. (2018). Multiplier effects under a disaggregate economic base model. Journal of Economic Studies, 45(2), 383–400. https://doi.org/https://doi.org/10.1108/JES-12-2016-0259
Hakim, R. M. A. (2021). Pemetaan Potensi UMKM di Desa Panenjoan, Kabupaten Bandung, Jawa Barat. Dharmakarya, 10(3), 193. https://doi.org/10.24198/dharmakarya.v10i3.26490
Jauhari, A. (2020). Pemanfaatan SIG untuk Pemetaan Kawasan Produksi Komoditas Unggulan Tanaman Pangan di Kabupaten Pacitan. Journal of Regional and Rural Development Planning, 4(3), 154–171. https://doi.org/10.29244/jp2wd.2020.4.3.154-171
Jumiyanti, K. (2018). Analisis Location Quotient dalam Penentuan Sektor Basis dan Non Basis di Kabupaten Gorontalo. Gorontalo Development Review, 1(1), 29. https://doi.org/10.32662/golder.v1i1.112
Mayangsari, Y., & Sunartomo, A. F. (2021). Analisis Perwilayahan Komoditas Semangka di Kabupaten Banyuwangi. JSEP (Journal of Social and Agricultural Economics), 14(2), 180. https://doi.org/10.19184/jsep.v14i2.22577
Noor Salim, M., Susilastuti, D., & Wildan Rafiqah, I. (2020). Determinant of MSMEs Performance and its Impact on Province GRDP in Indonesia. International Journal of Business, Economics and Management, 7(1), 1–13. https://doi.org/10.18488/journal.62.2020.71.1.13
Padawangi, R. (2019). Progressive City Surakarta Learning from Community Based Initiatives in Urban Indonesia. Springer, Singapore, 233–249. https://doi.org/10.1007/978-981-13-0209-1_14
Panjawa, J. L., Safitri, N. A., & Nurhayati, W. M. (2022). Pemetaan Lapangan Usaha Unggulan dan Potensi Pengembangan pada Sektor Usaha Mikro dan Kecil Perkotaan. 292–304.
Panjawa, J. L., Sugiharti, R. R., Prakoso, J. A., & Rahayu, R. M. P. (2021). Spatial Pattern of Potential of Leading Sector of Micro and Small Enterpries in Patuk Subdistrict, Gunungkidul. Jurnal Pemikiran Dan Penelitian Administrasi Bisnis Dan Kewirausahaan, 6(3), 311–328.
Perry, J. (2019). Economic Base in Emerging Economies: Estimating Regional Multipliers in Ecuador. Utah State University. https://doi.org/https://doi.org/https://doi.org/10.26076/b40a-8d5d
Prakoso, J. A., Giovanni, A., & Panjawa, J. L. (2021). Spatial Patterns, Opportunities and Determinants of MSMEs Employment in Township. Jejak, 14(1), 77–92. https://doi.org/10.15294/jejak.v14i1.26406
Prodjo, W. A. (2022). Surakarta Disebut Punya Potensi Ekonomi UMKM yang Tinggi, Ini Pesan Deputi Mikro KemenKopUKM. Kompas.Com. https://umkm.kompas.com/read/2022/09/27/070000583/surakarta-disebut-punya-potensi-ekonomi-umkm-yang-tinggi-ini-pesan-deputi-mikro
Rizani, A. (2019). Analisis Sektor Potensi Unggulan Guna Perencanaan Pembangunan Ekonomi Kota Bandung. Jieb : Jurnal Ilmiah Ekonomi Bisnis, 5(03), 423–434. http://ejournal.stiepancasetia.ac.id/index.php/jieb
Setyadharma, A., Wijayanti, R., Fauzin, K. A. N., & Febryansyah, M. L. (2018). Prioritas Pengembangan Usaha Mikro, Kecil dan Menengah (UMKM) Sektor Non-Unggulan Provinsi Jawa Tengah. JFRES: Journal of Fiscal and Regional Economy Studies, 1(1), 109–118. https://doi.org/10.36883/jfres.v1i1.12
Sugianto, S., & Permadhy, Y. T. (2020). Perencanaan Pembangunan Inklusif Melalui Peran Partisipatif Pemerintah Daerah. EcceS (Economics, Social, and Development Studies), 7(1), 87. https://doi.org/10.24252/ecc.v7i1.13565
Suyatno, S., & Suryani, D. A. (2022). Pengembangan Potensi UMKM Berbasis Lokal Dalam Mendorong Perekonomian di Desa Girikerto Sleman. Jurnal Studi Manajemen Dan Bisnis, 9(2), 108–118. https://doi.org/10.21107/jsmb.v9i2.16821
Utomo, M. N., Kaujan, K., & Cahyaningrum, W. (2022). Improving Competitiveness of Small and Medium Enterprises Based on Local Leading Products in Tarakan City, Indonesia. Acta Logistica, 9(1), 63–74. https://doi.org/10.22306/al.v9i1.271
Wibowo, G. A., & Sulistyawati, A. (2024). Terus Tumbuh, 13.203 UMKM di Solo Serap 16.348 Tenaga Kerja. SOLOPOS Bisnis. https://bisnis.solopos.com/terus-tumbuh-13-203-umkm-di-solo-serap-16-348-tenaga-kerja-1836888
Wulandari, D. A. R., & Tistogondo, J. (2022). Pemetaan Potensi UMKM Dalam Rencana Peningkatkan Pemasaran Produk Masyarakat Desa Ngingas Sidoarjo. Jurnal Pengabdian Masyarakat IPTEKS, 8(2), 172–178.
Zuhannisa, M. R., & Baroroh, D. K. (2022). Pemetaan Sektor Basis UMKM Kota Yogyakarta Dengan Pendekatan Location Quotient (LQ). Kaizen : Management Systems & Industrial Engineering Journal, 5(1), 1–7.
Downloads
Published
2024-12-01
How to Cite
Novitasari, D. (2024). Uncovering Key Economic Drivers in MSMEs through Economic Base Model. International Student Conference on Business, Education, Economics, Accounting, and Management (ISC-BEAM), 2(1), 273–293. Retrieved from https://journal.unj.ac.id/unj/index.php/isc-beam/article/view/46600
