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This research addresses a paradoxical phenomenon in Lampung Province's Micro and Small Industry (MSI) sector (2018-2022), where high technology adoption is accompanied by declining business units and income inequality. The objective is to evaluate technical efficiency and productivity changes across 15 regencies/cities using the Variable Returns to Scale (VRS) Data Envelopment Analysis (DEA) model and the Malmquist Productivity Index (MPI). Results show an average technical efficiency of 0.838, indicating a 16.2% room for output improvement. Mesuji Regency serves as the benchmark with perfect efficiency. The main inefficiency stems from labor slack (averaging 3,458 people per region), reflecting disguised unemployment. The Malmquist index records an asymmetric productivity growth of 2.1% annually, entirely driven by technological progress (3.5%), while internal managerial efficiency contracted (-1.4%). Consequently, technology adoption requires structural intervention; regional governments must prioritize vocational training and basic managerial strengthening to reduce labor slack and break the MSI inefficiency cycle.

This study aims to critically examine the concept of economic justice proposed by Abu Ubaid al-Qasim bin Sallam in his work Al-Amwal and to evaluate its relevance to contemporary economic dynamics. The research applies a qualitative approach using a library research method, in which Al-Amwal serves as the primary source, supported by various secondary references related to Islamic economics and theories of distributive justice. The data were analyzed through content analysis to identify Abu Ubaid’s core ideas, followed by a comparative approach to relate his framework to modern economic principles and practices. The findings reveal that Abu Ubaid’s concept of economic justice is both distributive and structural in nature. It not only emphasizes equitable wealth distribution but also highlights the importance of systemic regulation and public policy oriented toward social welfare. Zakat is positioned as a central instrument for wealth redistribution aimed at reducing social inequality and alleviating poverty. Furthermore, the state plays a strategic role in managing public resources transparently and fairly to ensure collective prosperity. Ethical values are also fundamental in economic activities to prevent exploitation, injustice, and imbalance. Overall, Abu Ubaid’s economic thought remains highly relevant in addressing modern challenges, particularly issues of income inequality, social justice, and sustainable development in today’s global economic system.

The purpose of this study was to determine and analyze the effect of wage levels, economic growth, and the Human Development Index (HDI) on income inequality through labor absorption in the Districts/Cities of Jambi Province from 2020-2024. The research method used is a quantitative descriptive analysis using panel data regression with the Fixed Effect Model approach.  The analysis method used Eviews 12. The results showed of that partially, income inequality in the Districts/Cities of Jambi Province is significant positive influenced by the wage level variable, while economic growth does not have a significant effect on income inequality. In addition, the Human Development Index (HDI) has a significant negative effect on income inequality. This implies that wage increases are actually followed by in income inequality. Meanwhile, economic growth has not been able to provide a broad income redistribution effect. Conversely, improving the quality of human development proves to be the most effective factor, as it is capable of significant reducing inequalirt levels. Simultaneously, the results show that the variables of wage levels, economic growth, and the Human Development Index (HDI) collectively have a significant influence on income inequality in Districts/Cities of Jambi Province.

This study examines the influence of income inequality and poverty on the prevalence of stunting in ten provinces across Sumatra Island during the 2016–2024 period. Using a panel dataset of 90 observations and applying a Fixed Effect Model, the results indicate that both income inequality—measured by the Gini Ratio—and poverty have a positive and significant effect on stunting. The Gini Ratio shows a coefficient of 1.46 (p = 0.0002), while poverty records a coefficient of 6.28 (p = 0.0140), jointly explaining 52% of the variation in stunting prevalence. Spatial analysis further supports these findings, with Moran’s I values exceeding 0.40, suggesting strong spatial autocorrelation and clustering of high-stunting regions. High-risk clusters—Aceh, Jambi, and Bengkulu—are characterized by Gini Ratios above 0.33 and poverty levels exceeding 12%, reinforcing the existence of an intergenerational poverty–stunting trap, particularly influenced by urban–rural disparities (rural 53.3% vs urban 34.9%). The study highlights that specific nutrition interventions such as supplementary feeding, micronutrient programs, and breastfeeding promotion are insufficient without accompanying structural reforms addressing economic inequality. Therefore, multisectoral convergence strategies are required, including expanded conditional cash transfers, progressive local taxation reforms, nutrition-focused social assistance, and universal basic infrastructure to accelerate stunting reduction toward the 14.2% target by 2029.

Income inequality and poverty continue to be major challenges in Indonesia's industrial areas, especially in DKI Jakarta, West Java, and Banten, although minimum wage policies continue to be developed as a form of protection for low-income workers. These policies theoretically serve as an instrument for income redistribution and improvement of labor welfare, but their effectiveness in reducing inequality and reducing poverty rates is still questionable, especially in areas with highly industrialized economic structures. This study aims to analyze the influence of income inequality, poverty rate, economic growth, and unemployment rate on the dynamics of the provincial minimum wage in the 2016–2023 period. The study used secondary data obtained from the Central Statistics Agency and analyzed using panel data regression to obtain a comprehensive empirical picture of the factors determining the minimum wage. The test results show that the Fixed Effect Model is the most suitable model for capturing variations between provinces and between times. Key findings reveal that poverty levels and economic growth have a significant influence on changes in the minimum wage, while income inequality and unemployment rates have no significant influence. The conclusion of the study emphasizes that the minimum wage policy is not effective enough in reducing income inequality and reducing poverty without the expansion of the formal sector, improving the quality of the workforce, and distributing economic growth more evenly between industrial areas.

Poverty is still a major problem in regional economic development in Jambi Province, although economic growth has been relatively stable in recent years. This condition shows that economic growth has not been fully followed by an equitable distribution of development results. This study aims to analyze the influence of economic growth and income inequality on the poverty rate in Jambi Province. The research uses a quantitative approach with district/city panel data for the 2015–2024 period sourced from the Central Statistics Agency. The analysis was carried out using the panel data regression method to test the relationship between economic growth variables, income inequality, and poverty levels. The results of the study show that economic growth measured through the growth rate of Gross Regional Domestic Product (GDP) has a negative effect on the poverty rate, meaning that increasing economic growth can reduce the number of poor people. On the other hand, income inequality measured by the Gini Ratio has a positive effect on poverty levels, which means that the higher the income inequality, the greater the poverty rate. These findings indicate that poverty reduction strategies not only require sustainable economic growth, but must also be accompanied by income equity policies so that the benefits of development can be felt more inclusively by all levels of society.

The purpose of this study is to evaluate income inequality and poverty as key indicators of uneven economic development in North Sumatra Province in 2024. This study analyzed various secondary sources, including BPS reports, SINTA-indexed national journals, and regional economic policy publications. The results show that regencies in the west coast and mountainous regions of North Sumatra tend to be lagging behind, while urban areas such as Medan and Deli Serdang have the highest concentration of economic growth, meaning that income inequality remains at a moderate-high level. The finding that economic progress remains uneven is reinforced by the fact that the poverty rate remains higher than the national average. From the results of this study, not only economic factors influence inequality and poverty, but also structural factors such as infrastructure access, human labor quality, and regional fiscal inequality. Therefore, more inclusive and integrated policies are needed to address inequality and improve welfare across all provinces.

Poverty in the Special Region of Yogyakarta (DIY) remains a significant issue despite a decline in poverty rates in recent years. This study aims to identify the factors influencing poverty in DIY from social, economic, and structural perspectives, as well as to evaluate policies that can address this issue. The method used in this research is a literature review through a Systematic Literature Review (SLR), examining various relevant sources on poverty in DIY and the poverty alleviation policies implemented in the region. The results of the study indicate that poverty in DIY is caused by several main factors, such as income inequality, low-quality education, low skill levels among the population, and limited access to business capital and productive resources. One policy that has proven effective in reducing poverty is the provision of access to capital and productive resources through microcredit schemes and agrarian reform. These programs not only provide capital but also enhance the ability of the poor to manage their businesses. These findings offer important insights into understanding poverty in DIY and suggest that policies supporting the empowerment of the poor through education, skills, and economic access can be an effective solution to reduce poverty in the long term..

This study explores the significant role of digital infrastructure investments in driving both economic growth and social inclusion in emerging economies. With the rapid advancements in digital technologies such as broadband, mobile subscriptions, and ICT infrastructure, these investments are reshaping economies by fostering innovation, improving business efficiency, and reducing poverty. The research employs a quantitative cross-country panel data approach, examining the impact of digital infrastructure across various regions over a ten-year period. The findings reveal a strong positive correlation between digital infrastructure investments and GDP growth, highlighting the substantial effect these investments have on national economic performance. Additionally, the study demonstrates that digital infrastructure plays a pivotal role in enhancing social inclusion, particularly through improved access to financial services, education, and healthcare, which in turn reduces income inequalities and promotes social mobility. The paper also compares the impact of digital infrastructure with that of traditional investments in physical infrastructure, such as transportation, revealing that digital infrastructure offers higher returns in terms of both economic outcomes and social benefits. This research emphasizes the importance of policy interventions, including targeted subsidies and inclusive digital policies, to foster equitable growth. Finally, it proposes several directions for future research, including sector-specific impacts of digital infrastructure, regional disparities, and the long-term effects on social well-being.

This research investigates the relationship between fiscal decentralization, economic growth, and income inequality (measured by the Gini ratio) on the Human Development Index (HDI) in regencies and cities within Bali Province during the 2013–2023 period. Human development is a crucial indicator of regional welfare, and understanding the factors that shape HDI is essential for designing effective regional development policies. A quantitative approach was employed through panel data regression, utilizing secondary data sourced from the Central Bureau of Statistics (BPS). The findings indicate that fiscal decentralization has a positive and significant effect on HDI, suggesting that greater regional fiscal authority can improve public service delivery and social welfare. Conversely, economic growth demonstrates a significant negative relationship with HDI, which implies that growth alone does not automatically translate into improved human development, particularly when it is unevenly distributed. In addition, income inequality shows a negative and significant effect on HDI, confirming that disparities in income hinder broader improvements in welfare. Collectively, these variables significantly explain variations in HDI across regencies and cities in Bali. The policy implications emphasize the need to strengthen regional fiscal capacity, reduce income inequality, and encourage inclusive economic growth to ensure that economic progress contributes effectively to enhancing human development.

This study aims to analyze the effectiveness of zakat in reducing income inequality in Indonesia. The data used is secondary data from the National Amil Zakat Agency (BAZNAS) and the Central Statistics Agency (BPS) for the 2015–2024 period. The research method used multiple linear regression with the Ordinary Least Squares (OLS) approach. The results showed that the distribution of zakat had a significant positive effect on the Gini Index (β = 0.0013511; p = 0.002), while the Gross Domestic Product (GDP) per capita had a significant negative effect (β = –0.0000198; p = 0.000). An Adjusted R² value of 0.91 indicates that the model has a very strong ability to explain variations in income inequality. These findings show that although the collection and distribution of zakat has increased from year to year, its impact on reducing inequality has not been optimal. This can be caused by the limited amount of zakat funds collected compared to the real needs of the community and the distribution that is not fully on target. On the other hand, economic growth reflected in the increase in GDP per capita has proven to be still the dominant factor in reducing income inequality in Indonesia. The implications of this study emphasize the importance of optimizing zakat management so that it not only functions as a philanthropic instrument, but also as a sustainable economic instrument. BAZNAS and related institutions are expected to be able to strengthen the zakat distribution system through productive economic empowerment programs, so that zakat can make a real contribution in reducing inequality and supporting more inclusive development in Indonesia.

This study aims to analyze the impact of monetary policy on income inequality in Indonesia over a certain period of time. Monetary policy implemented by Bank Indonesia plays an important role in maintaining macroeconomic stability through instruments such as interest rates, inflation, and the amount of money in circulation. However, the implementation of this policy also has an impact on the distribution of community income. This study uses a quantitative approach with secondary data in the form of time series analyzed using econometric regression methods to measure the effect of monetary policy variables on the income inequality index (Gini Ratio). The results of the study show that variables such as the benchmark interest rate and inflation have a significant relationship to income inequality. When inflation increases, the purchasing power of the lower middle class decreases more sharply than the upper class, thus widening the gap in inequality. Conversely, controlling inflation through appropriate interest rates can help reduce economic disparities. This study provides important meaning for policy makers to pay more attention to the distribution aspect in determining monetary policy so that economic growth can be more inclusive and equitable.

This study aims to analyze the influence of investment and development expenditure on poverty levels in Balikpapan City, considering the mediating role of income inequality. The research employs a quantitative approach using path analysis to examine both direct and indirect relationships among variables. The data used are secondary data from 2013 to 2023, including investment, development spending, the Gini index, and poverty rates. The results show that investment and development expenditure have a direct impact on both income inequality and poverty. Moreover, income inequality mediates the influence of investment and development expenditure on poverty. This study provides important implications for local government in formulating more effective and equitable development policies to reduce inequality and alleviate poverty in urban areas.  

This article discusses the effect of tax policy on income distribution in developing countries. Tax is a fiscal instrument that is not only used to finance state expenditure, but also as a tool to reduce economic inequality. This study analyzes how progressive tax system, income tax collection, and consumption tax impact income redistribution in several developing countries. The secondary data used comes from World Bank, IMF, and other scholarly publications. The analysis shows that fair and progressive tax policies can help reduce income inequality. However, many developing countries face challenges in implementing effective tax systems, including low compliance and regressive tax structures. Therefore, comprehensive fiscal policy reforms are needed so that taxes can truly serve as an effective income distribution tool.  

This study analyzes the patterns and dynamics of income inequality across districts and municipalities in Aceh Province during the 2022–2024 period using data from the National Socio-Economic Survey (Susenas) published by Statistics Indonesia (BPS). A descriptive-comparative approach was employed with the Gini Ratio as the main indicator to examine spatial variations and inequality trends between urban and rural areas. The results show that Aceh’s Gini Ratio declined from 0.296 in 2022 to 0.294 in 2024, indicating a modest improvement in income distribution. The reduction in inequality mainly occurred in rural areas, while urban regions experienced a slight increase due to the concentration of economic activities among higher-income groups. Banda Aceh and Lhokseumawe recorded the highest inequality levels, whereas Aceh Tengah and Bireuen demonstrated relatively strong income equality. Overall, Aceh remains one of the provinces with low-income inequality in Indonesia but still faces challenges of structural disparities across regions. The findings highlight the need to shift policy orientation from redistributive equality toward productivity-based equality through regional economic integration, empowerment of micro and small enterprises, and the development of inclusive economic sectors to achieve equitable and sustainable growth..

This study aims to analyze the effect of Agricultural GDP, Gini Ratio, and Education in influencing poverty in western Indonesia. A panel data model with Fixed Effect Model estimation was used for data of 17 provinces from 2019 to 2023. The results showed that partially the Agricultural sector GRDP had a significant negative effect, inequality with the Gini Ratio indicator had a significant positive effect, while education with the average years of schooling indicator had a negative but insignificant effect. These findings indicate that an increase in agricultural output and education can reduce poverty, while high income inequality can worsen poverty conditions in rural areas.

The research analyzes the impact of technology on Indonesia's national economy, focusing on GoTo's contribution as a leading technology company. GoTo, born from the merger of Gojek and Tokopedia, has created an innovative business model that connects consumers and businesses through an efficient digital platform. Secondary data analysis from LPEM FEB UI (2023), Aji (2023), Jerry (2023) SMERU Research Institute (2022), and other relevant sources, shows that GoTo makes a significant contribution to Indonesia's GDP, estimated at Rp349 trillion to Rp428 trillion in 2022, equivalent to 1.8% to 2.2% of total GDP. In addition, GoTo has empowered MSMEs by increasing average incomes by 30% for those in its ecosystem, created approximately 1.7 million jobs, and contributed to reducing income inequality by lowering the Gini coefficient by 4.43% in its operating regions. The research also underscores the importance of GoTo in facilitating increased value addition and business efficiency. Nonetheless, challenges such as the digital divide and the need for increased digital literacy remain a concern. By optimally utilizing the potential of the digital ecosystem and addressing existing challenges, Indonesia can achieve sustainable, inclusive, and equitable economic growth through the strategic role of technology companies like GoTo.

This study analyzes the level of economic development disparity among regions in East Java Province during the period 2009–2023 using the Klassen Typology approach. The study aims to map the classification of regions based on economic growth rates and per capita GRDP to identify spatial disparities among the 38 districts/cities in the province. The analysis results indicate significant inequality, with regions such as Surabaya, Sidoarjo, and Gresik consistently categorized as advanced and rapidly growing areas (Quadrant I), while regions such as Sampang, Pamekasan, and Bondowoso fall into the underdeveloped category (Quadrant IV). This phenomenon shows that the economic spillover effect from growth centers to surrounding regions remains suboptimal and suggests the need for spatially-based policy interventions. This study provides important implications for formulating more inclusive regional development policies and recommends further quantitative analysis to identify the determinants of inequality in greater depth.

This study seeks to examine and assess the influence of Zakat, Infaq, and Sedekah (ZIS), corruption, and education on income inequality in Indonesia. The research uses a saturated sampling method, collecting data from the National Zakat Amil Agency (BAZNAS), Transparency International, the Central Statistics Agency (BPS), and the World Bank. The analysis uses quantitative time-series data from 2011 to 2022, processed with Stata 15, and employs multiple linear regression as the analytical method. The results indicate that ZIS has a significant negative effect on income inequality, while corruption also significantly reduces income inequality. On the other hand, education shows a positive but statistically insignificant effect. The coefficient of determination test reveals that 93.06% of the variation in income inequality can be explained by ZIS, corruption, and education, with the remaining 6.94% attributed to other factors not included in the study. Additionally, the findings suggest that ZIS and corruption together have a notable influence on income inequality.

This study aims to analyze the impact of economic development policies on income inequality and the welfare of the community in Medan City. Using a qualitative method, this research examines how the economic development policies implemented by the local government affect income distribution and social welfare among the city’s residents. The data used in this study were obtained from 10 interviews with respondents consisting of community members, community leaders, and relevant local government officials, as well as regional economic statistical data. The analysis identifies the relationship between the implemented economic policies and changes in income inequality and quality of life, and explores the factors influencing the success or failure of these policies. The findings indicate that, although there has been progress in economic development, income inequality remains significant, with many of the less fortunate citizens still not fully benefiting from the development policies. Therefore, this study provides recommendations for the local government to formulate more inclusive and equitable policies to reduce economic disparities and improve the welfare of the community more effectively. This research is expected to contribute to the formulation of more targeted policies aimed at addressing social and economic disparities in the future.