The study carry out to examines whether the manufacturing sector is still an engine of growth, and examines the communication sector whether it could be the other growth engine through the linkages and spillover effects in several sectoral activities, using time series data on employment levels in Indonesia. The results showed that, the growth of the nine tested sectors was strongly influenced by the manufacturing. The communication sector with growing productivity, shows it can be a future alternative agent as it’s also has strong links to growth. While the infrastructure sector has a smaller thrust influence since its charcteristic having very large economies of scale, non linear impact, and its effect on productivity and growth will only after the investment threshold reached. Research also captures manufacturing productivity tend to weakened, showing that Indonesia is trapped in product specialization with low labor productivity. To be more developed, Indonesia needs to diversify its economy focus on manufacturing and economic activities with high added value and more productive production processes.
CITATION STYLE
Yunar, Y. (2021). Meninjau Peran Sektor Manufaktur dan Komunikasi Sebagai Mesin Pertumbuhan Ekonomi Indonesia. Kajian Ekonomi Dan Keuangan, 4(2), 183–205. https://doi.org/10.31685/kek.v4i2.505
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