Journal of Indonesian Economy and Business

Addressing Cyberloafing through Gamification Strategy to Increase Productivity in the Digital Era

2026-05-26T20:47:16+07:00

Introduction/Main Objectives: The digital era has led to cyberloafing behavior in the process of digital transformation, thereby reducing productivity. Background Problems: The increasing prevalence of cyberloafing behavior in the digital era presents a challenge. While it may alleviate boredom and stress, it can also lead to decreased workplace productivity if not appropriately managed. Novelty: The use of gamification strategies will be tested on cyberloafing factors towards increasing productivity. Research Methods: This study uses a quantitative approach. Data are collected using a questionnaire administered to a sample recruited using a purposive sampling technique. The total sample comprises 170 respondents who are employees in the micro, small and medium enterprise (MSME) business sector. The data is processed using SEM with the assistance of AMOS 24 software. Findings/Results: The findings in this study indicate positive and significant relationships between all variables and indicators. Conclusion: Cyberloafing behavior can be directed in a positive direction by increasing productivity through gamification strategies. This is because gamification addresses the psychological tendency of humans to become bored by creating a more pleasant work environment through interesting activities and experiences while still maintaining a focus on managerial goals through game design.

Yield Spread as a Predictor of Recession in Asia-Pacific: The Role of Monetary Policy Objectives

2026-05-26T18:34:33+07:00

Introduction/Main Objectives: This research examines the predictive power and stability of yield spread in relation to recession for five Asia-Pacific Countries, with monetary policy as the control variable. Background Problems: Yield spread has been extensively studied in industrial countries, but its impact on the real economy in developing regions remains underexplored. Moreover, the informational content underlying the yield spread is still unclear. Novelty: This research incorporates the role of monetary policy objectives in influencing the informational content and stability of the predictive power of yield spread. Research Methods: The research utilizes a fixed effects panel probit approach to conduct in-sample forecasting using monthly secondary data from October 2004 to May 2022. To test parameter stability, Likelihood Ratio Tests were also used. Findings/Results: The yield spread outperforms money supply and stock index for predicting recessions, with an optimal lag of three months. Monetary policy plays a crucial role as every inversion of the yield curve is associated with an interest rate hike, but the model performs better when central bank have prioritized output stabilization and the relationship between interest rate and output is not disturbed. Conclusion: Yield spread is a reliable predictor of recession in Asia-Pacific, but its predictive power depends on the interest rate–output relationship. Therefore, central banks shouldn't use the yield spread during zero lower bound or supply shock conditions.

Dynamic Linkages Between Key Macroeconomic Variables and Economic Growth

2026-05-26T18:34:33+07:00

Introduction/Main Objectives: This study investigates the dynamic linkages between Malaysia’s economic growth and the key macroeconomic variables of foreign direct investment (FDI), inflation, interest rates, and exchange rates, using annual time series data from 1990 to 2019. Background Problems: Malaysia’s economic progress is closely tied to macroeconomic stability and external financial flows, yet fluctuations in inflation, interest rates, and exchange rates often create uncertainty that may weaken the effectiveness of FDI as a catalyst for growth. Novelty: This study offers a comprehensive empirical assessment by integrating long-run cointegration analysis with short-run causality testing, providing new insights into the dominant role of FDI within Malaysia’s macroeconomic framework. Research Methods: Time series econometric techniques, including cointegration tests and Granger causality analyses, are applied to annual data covering 1990–2019 to capture equilibrium relationships and directional causality among the variables. Findings/Results: The findings confirm a long-run equilibrium relationship between economic growth, FDI, inflation, interest rates, and exchange rates, with Granger causality results indicating a unidirectional causal flow from FDI to other macroeconomic indicators. Conclusion: FDI emerges as a key driver of Malaysia’s economic growth, underscoring the importance of strategic investment policies and macroeconomic stability for sustaining long-term development.

The Digital Economy and Green Economic Growth in Indonesia: Spatial Spillover and Nonlinear Effects

2026-05-26T18:34:34+07:00

Introduction/Main Objectives: This study aims to investigate the digital economy and its spatial effects on green economic growth in Indonesia. It also explores nonlinear or U-shaped effects of the digital economy. Background Problem: The research addresses the background problem of balancing economic growth and environmental sustainability, emphasizing the spatial interdependencies in the digital economy's impact on green economic growth. Understanding these spatial effects is crucial for designing effective regional policies. Novelty: The novelty of this study lies in its examination of the impact of the digital economy on green economic growth using an aggregate index constructed using the Entropy value method. Furthermore, spatial effects are incorporated to account for interdependencies among regions. Research Methods: Spatial analysis using the spatial Durbin model with random-effects models is employed to analyze the data. Findings/Results: Empirical findings from this study indicate a negative impact of the digital economy on green economic growth in Indonesia. Moreover, the study confirms the presence of a nonlinear relationship, specifically a U-shaped effect between the digital economy and the environment-economy index. The coefficients of spatial effects, encompassing both the digital economy and green economic growth, demonstrate significant influences on this relationship. Conclusion: Currently, Indonesia finds itself in the early evolutionary stage of digitalization, which has potential to improve the green economy in the longer term. Optimizing the digital economy is imperative to mitigating unsustainable outputs and inputs in the manufacturing process. Furthermore, achieving a sustainable economy necessitates considering the effects of other regions on local green economies, emphasizing the importance of understanding spatial interdependencies.

G20 Presidency and the Economic Symbiosis of India and Indonesia Based on the Stock Market, Exchange Rate, and Foreign Trade

2026-05-26T18:34:34+07:00

Introduction/Main Objectives: The primary aim of the research is to assess the long-run and short-run dynamic interaction of the stock market, exchange rate and foreign trade between India and Indonesia during the period covered by their successive G20 presidencies. Background Problems: Given the economic significance of India and Indonesia, it is important to examine the performance of their stock market, exchange rate and foreign trade, and explore any connections between them, with the two-year period covered by their recent G20 presidencies providing an interesting window. Novelty: Despite India and Indonesia being emerging economic powerhouses, there are no studies exploring their economic nexus in the context of their successive G20 presidencies This period is chosen because under the G20 framework, both countries intensified their economic and climate collaboration, in turn enhancing their interdependence to make it pivotal. Research Methods: This study examines the empirical relationship between exchange rates, foreign trade, and the stock market indices of India and Indonesia during their G20 presidencies. It analyses historical data from December 2021 to November 2023 using econometric methods to understand the dynamic interactions among these variables. Finding/Results: Over the two years analysed, all economic variables are non-stationary and integrated at level one. Johansen's cointegration test shows long-run equilibrium between the chosen variables. The VECM suggests that short-run deviations in the JKSE are corrected by other variables. The OLS regression finds that changes in the JKSE are significantly explained by Indonesia's net trade. Additionally, the study confirms short-run interaction between the selected economic variables. Conclusion:The study uncovers connections between India and Indonesia's key economic variables, empowering both countries to make informed decisions on bilateral trade, currency policies, and economic cooperation. This understanding of short-term dynamics and long-term associations also assists investors in shaping investment strategies and managing risks effectively.

UTAUT 2 Modifications in Relation to External Stimuli and Customer Engagement: Evidence of Online Shopping Activity in Indonesia

2026-05-26T18:34:35+07:00

Introduction/Main Objectives: This study examines external stimuli and customer engagement within a modified Unified Theory of Acceptance and Use of Technology 2 (UTAUT2) framework. Background Problems: During the pandemic, online shopping applications gained rapid popularity, signaling the maturation of e-commerce as a retail channel and causing substantial shifts in consumer purchasing patterns. This study provides empirical evidence that UTAUT2 can explain how technological features influence customer engagement and, in turn, stimulate impulsive buying behavior. Novelty: This study extends UTAUT2 by analyzing how external stimuli and customer engagement interact to explain impulsive purchasing in online shopping applications, particularly in the context of a developing economy. Research Methods: Data were collected through a web-based survey of 246 active online shoppers. Hypotheses were tested using structural equation modeling (SEM). Finding/Results: The results show that external stimuli significantly affect customer engagement, which subsequently drives impulsive purchasing. Customer engagement acts as a mediating mechanism that links technological features with consumer behavior. Conclusion: This study advances the theoretical development of UTAUT2 by proposing a customer engagement model that explains impulsive buying in e-commerce. The findings also provide practical insights into online platforms on how to design features that enhance engagement and strategically encourage impulsive purchases.

Counterfeit Craze: Why Gen Z is Buying Fake Products?

2026-05-26T18:34:36+07:00

‘Authentic’ and ‘fake’ are two adjectives that both luxury brands and policymakers need to pay attention to every day, especially in the age of technology, where purchasing and producing goods become increasingly convenient, leading to more complex problems. Therefore, this research aims to empirically investigate factors driving purchase intention of counterfeit luxury goods among Gen Z, who are redefining the market trends. Data was collected via survey questionnaires from 250 Gen Z consumers in Vietnam, an emerging market with contextual similarities to Indonesia. PLS-SEM was applied to examine the predictive research model, following a two-step approach to validate measurement models and assess the hypothesized structural model. Results indicated that value consciousness, integrity, and information susceptibility significantly influence attitudes towards luxury counterfeits, whereas ethical consciousness and materialism are not significant predictors. Furthermore, value consciousness and attitudes towards luxury counterfeits significantly impact purchase intention, with the mediating role of attitudes also being emphasized. These findings offer insights for emerging Southeast Asian markets including Indonesia, where the growing Gen Z demographic and rising counterfeit activities pose similar challenges. The study recommends that marketers of authentic brands and government entities develop regional strategies to raise consumer awareness, encourage boycotts of counterfeit products, and empower luxury brands to reinforce their value propositions against counterfeits.