Internet User and Income Consumption in an Effort to Empower MSMEs in Indonesia

English

Abstract

This study examines behavior data among internet users, consumption, and total employment. This study
aims to determine the impact of increasing internet users and consumption on total employment using
the quantitative threshold autoregressive model.All data are secondary data from world banks with
annually period 2000 to 2019. We found that internet users in Indonesia are indicated that the majority
use the internet for economic non-productive activities. This has an impact on pressure on the
productivity of the population economically as indicated in total employment, which indicates
employment absorption or total labor participation in Indonesia. So that the increase in internet users in
Indonesia does not guarantee a boost to economic growth in Indonesia during this research period,
namely 2000 to 2019.