Journal of Indonesian Economy and Business https://journal.ugm.ac.id/v3/jieb <p style="text-align: justify;"><img style="display: block; margin-left: auto; margin-right: auto;" src="/v3/public/site/images/jieb/homepageImage_en_US_(1).jpg" width="331" height="455"></p> <p style="text-align: justify;">Journal of Indonesian Economy and Business (JIEB), with registered number print ISSN&nbsp;<strong><a title="ISSN" href="https://portal.issn.org/?q=api/search&amp;search[]=MUST=issnl=0215-2487&amp;currentpage=1&amp;size=10" target="_blank" rel="noopener">2085-8272</a></strong>; online ISSN&nbsp;<a title="Check ISSN" href="https://portal.issn.org/?q=api/search&amp;search[]=MUST=issnl=0215-2487&amp;currentpage=1&amp;size=10" target="_blank" rel="noopener"><strong>2338-5847</strong>, </a>is open access, peer-reviewed journal whose objectives is to publish original research papers related to the <strong>Indonesian economy and business issues</strong>. This journal is also dedicated to disseminating the published articles freely for international academicians, researchers, practitioners, regulators, and public societies.</p> <p style="text-align: justify;">The journal welcomes authors from any institutional backgrounds and accepts rigorous empirical research papers with any methods or approach that is relevant to the Indonesian economy and business context or content, as long as the research fits one of three salient disciplines: economics, business, or accounting.&nbsp;</p> <p style="text-align: justify;">The JIEB is Internationally indexed in <a href="https://suggestor.step.scopus.com/progressTracker/?trackingID=4757C04E2013D948" target="_blank" rel="noopener">SCOPUS</a>, EBSCOHost (<a href="https://www.ebscohost.com/titleLists/plh-journals.htm">Business Source Corporate Plus</a>&nbsp;and&nbsp;<a href="http://web.a.ebscohost.com/ehost/command/detail?vid=1&amp;sid=d9b01640-fc29-4180-b733-0ef52c7990ab%40sessionmgr4006&amp;bdata=JnNpdGU9ZWhvc3QtbGl2ZQ%3d%3d#db=bth&amp;jid=BL33">Business Source Complete</a>),&nbsp;<a href="https://www.aeaweb.org/econlit/journal_list.php">EconLit</a>,&nbsp;<a href="https://search.proquest.com/publication/publications_2029354?accountid=13771">ProQuest</a>,&nbsp;<a href="https://scholar.google.com/citations?hl=en&amp;user=9VyQpCoAAAAJ&amp;view">Google Scholar</a>,&nbsp;<a href="https://doaj.org/toc/2338-5847?source=%7B%22query%22%3A%7B%22filtered%22%3A%7B%22filter%22%3A%7B%22bool%22%3A%7B%22must%22%3A%5B%7B%22term%22%3A%7B%22index.issn.exact%22%3A%222338-5847%22%7D%7D%2C%7B%22term%22%3A%7B%22_type%22%3A%22article%22%7D%7D%5D%7D%7D%2C%22query%22%3A%7B%22match_all%22%3A%7B%7D%7D%7D%7D%2C%22from%22%3A0%2C%22size%22%3A100%7D">DOAJ</a>,&nbsp;<a href="https://academic.microsoft.com/#/detail/2736975137">Microsoft Academic Search</a>, and ACI (<a title="ACI" href="http://www.asean-cites.org/index.php?r=journal%2Fpublic-view&amp;id=634">ASEAN Citation Index</a>). &nbsp;Furthermore, this journal has been nationally accredited by the Directorate-General for Research Strengthening and Development, the Ministry of Research and Technology for Higher Education, Republic of Indonesia (Decree No. 148/M/KPT/2020) in <a href="https://sinta.kemdikbud.go.id">SINTA 2 (Indonesian Science &amp; Technology Index).</a></p> <p style="text-align: justify;"><img style="display: block; margin-left: auto; margin-right: auto;" src="/v3/public/site/images/jieb/Akreditasi_JIEB.JPG" width="522" height="346"></p> Faculty of Economics and Business, Universitas Gadjah Mada en-US Journal of Indonesian Economy and Business 2085-8272 <p><strong>Copyright</strong></p> <p>Upon acceptance of an article, authors transfer copyright to the JIEB as part of a journal publishing agreement, but authors still have the right to share their article for personal use, internal institutional use, and for any use permitted under the CC BY-SA license</p> <div> <p><strong>Open Access</strong></p> </div> <p>Articles are freely available to the public without any subscription with permitted reuse. For open access articles, permitted third party (re)use is defined by the following Creative Commons user licenses:&nbsp;<em><strong>Creative Commons Attribution (CC BY-SA)</strong>.</em></p> Income Inequality in Indonesia: Which Aspects Cause the Most? https://journal.ugm.ac.id/v3/jieb/article/view/2015 <p><strong>Introduction/Main Objectives: </strong>This study discusses the three main aspects of inequality: the level of education attained, urban-rural area, and gender. <strong>Background Problems:</strong> Inequality is one of the fundamental economic problems in Indonesia that has the potential to cause the non-optimal distribution of resources, economic instability, and may even lead to an economic crisis. <strong>Novelty:</strong> This study provide a new perspective on the differences in findings for the aspects of gender, education, and geographic factors on income inequality <strong>Research Methods: </strong>This study uses the Theil index for decomposition analysis and quantile regression analysis to analyze each class of income, particularly in the context of income inequality factors. <strong>Finding/Results:</strong> The findings show that, male workers in the lower class have a greater income than female workers. In addition, workers with an elementary school level experience higher inequality than workers with other levels of education do. Moreover, higher inequality occurs for urban workers in both the upper and lower classes, compared to workers in rural areas. From quantile regression analysis, the results show that, income inequality between men and women is reducing. The number of completed years has less influence compared to that in earlier periods, because more and more people enter education to increase their income. Lastly, urban workers have different incomes from rural workers, though the gap is reducing. It means both urban and rural workers have greater opportunities to earn a better income. <strong>Conclusion: </strong>Gender plays an important role in income inequality. The length of education has constantly affected income inequality as well. In the context of the area, urban workers normally have higher incomes.</p> Eny Sulistyaningrum Alexander Michael Tjahjadi Copyright (c) 2022-09-27 2022-09-27 37 3 299 253 10.22146/jieb.v37i3.2015 The Psychological Aspects of Virtual Office at Home for Employees and Employers During The COVID-19 Pandemic https://journal.ugm.ac.id/v3/jieb/article/view/2746 <p><strong>Introduction/Main Objectives:</strong> The COVID-19 pandemic has made changes to all aspects of life. Work must be done at home or somewhere outside the office. Although a virtual office is mostly done from one’s home, it can be done anywhere. The aim of this paper is to describe the positive and negative psychological aspects when implementing virtual offices at home for employees and employers during the COVID-19 pandemic. <strong>Background Problems:</strong> A virtual office has commonly been used during the pandemic condition. Many psychological aspects of a virtual office can affect the employee and his/her family. The impacts can be both positive and negative. <strong>Research problem: </strong>There are negative impacts, from a psychological aspect, of creating a virtual office at home besides the positive values.<strong> Novelty:</strong> This paper highlights the psycho­logical aspects when implementing a virtual office at home. People often think that working from home has no challenges at all; it is considered to be more flexible and comfortable. On the other hand, working from home has many aspects that should be considered from the employees’ and employers’ views. <strong>Research Methods:</strong> This is a narrative literature review. Various types of literature were taken from the Science Direct and Google Scholar databases. Inclusion criteria were research and review articles. Exclusion criteria were un peer-reviewed articles and unavailable full texts. To maintain the quality of the paper, all the articles were read twice. The articles were categorized in a table, summarized, and then narrated. <strong>Finding/Results:</strong> The positive psychological impacts are flexibility, creativity, and independence. A worker can creatively manage his/her time accordingly, to create a life balance between work and family. The negative psychological impacts are life-work conflicts, burnout, and the autonomy-paradox. <strong>Conclusion:</strong> The essential keys for a virtual office’s implementation are resilience, creativity, flexibility, and adaptation. The use of a virtual office may continue, due to time and financial efficiencies, despite the COVID-19 pandemic ending.</p> Yuliana Yuliana Copyright (c) 2022-09-28 2022-09-28 37 3 254 267 10.22146/jieb.v37i3.2746 The Impact of Directive Leadership on Innovative Work Behavior: The Mediation Role of Continuance Commitment https://journal.ugm.ac.id/v3/jieb/article/view/3377 <p><strong>Introduction/Main Objectives:</strong> The aim of this study is to test the effect of directive leadership and continuance commitment on innovative work behavior while also explaining the mediating role of continuance commit­ment and the effect of directive leadership on innovative work behavior. <strong>Background Problems:</strong> Managing innovative employee behavior is an integral component of sustainable organizational development. Innova­tive work behavior (IWB) is very important for improving organizational performance. Many studies have identified the antecedent factors of IWB. <strong>Novelty:</strong> The novelty of this research is finding a new concept of innova­tive work behavior, through the combination of the mediation construct of continuance commitment, further established under the terms of "The Improvement Model of Innovative Work Behavior based on Directive Leadership through Integration Strategy by Continuance Commitment." <strong>Research Methods: </strong>This research’s design is hypothesis testing research and the type of research design it uses is survey research (non-experi­men­tal). This study uses the indicators from only one dimension of leadership and one organizational commitment category, so there are some empirical gaps between this and the results of previous studies. The sample in this study was 120 civil servants from PPPPTK TK and PLB Bandung. In assessing the empirical model this study used partial least square structural equation modeling (PLS-SEM) analysis. <strong>Finding/ Results:</strong> The results of this study show that directive leadership has a positive and significant impact on continuance commitment, and conti­nuance commitment has a positive and significant influence on innova­tive work behavior. The effect of directed leadership on innovative work behavior is fully mediated by the continuance commitment, which is positively associated with innova­tive work behavior, but it is not signi­ficant. The influence of directive leadership on innovative work behavior is more favorable and significant as a result of the continuance commit­ment. <strong>Conclusion:</strong> This study concludes that directing leadership has an indirect effect on innovative work behavior through the mediating varia­ble of continuance commit­ment, implying that directive leadership might indirectly promote inno­vative behavior through the continuance commit­ment. The assumption is that if a leader is effective at directing staff, there will be an increase in employees’ continuance commitment, and if commitment improves, there will be an increase in innovative work behavior.</p> Dhyah Mutmainnah Tjutju Yuniarsih Disman Disman Janah Sojanah Muji Rahayu Iman Sidik Nusannas Copyright (c) 2022-09-28 2022-09-28 37 3 268 286 10.22146/jieb.v37i3.3377 Does the Costless Identification of Contributors Affect the Intuitiveness of Prosocial Behavior? https://journal.ugm.ac.id/v3/jieb/article/view/4523 <p style="font-weight: 400;"><strong>Introduction/ Main Objectives</strong>: This study investigates whether relaxing the assumption of the non-anonymity of participants in an experiment of a finitely repeated public-good game with randomly matched players affects the intuitiveness of prosocial behavior. <strong>Background Problems</strong>: Various studies show that, in general, participants of social dilemma game experiments tend to be intuitive in choosing prosocial behaviour, whereas non-cooperative behavior tends to be slow. Other studies show that experiments which induced the non-anonymity of participants promote prosocial behavior, however, these studies did not impose non-anonymity on the participants. <strong>Novelty</strong>: This study aims to fill the literature gap on whether introducing non-anonymity of participants in a social dilemma game experiment may affect the intuitiveness of prosocial behavior. <strong>Research Methods</strong>: This study used a laboratory experiment of finitely repeated public-good games with randomly matched players in each stage. The main difference between the control and the treatment groups lay in the anonymity of participants in the interaction, where participants in treatment group are exposed to the photo of their opponent. <strong>Finding/Results</strong>: The results show that relaxing the anonymity setting improved the participants’ contributions to the public-good game; however, their prosocial behavior became less intuitive than non-cooperative behavior. <strong>Conclusion</strong>: This paper demonstrated an attempt to fill the gap in the literature between the intuitiveness of prosocial behaviour and the role of identity in prosocial behavior.</p> Rimawan Pradiptyo Putu Sanjiwacika Wibisana Copyright (c) 2022-09-27 2022-09-27 37 3 287 310 10.22146/jieb.v37i3.4523 Role of Profitability, Business Risk, and Intellectual Capital in Increasing Firm Value https://journal.ugm.ac.id/v3/jieb/article/view/3564 <p><strong>Introduction/Main Objectives: </strong>This research illustrates the importance of firm value, both to investors and companies. Investors assess that an increase in the value of a company indicates a positive view of the company's performance, which leads to an investment decision. Besides that, an increase in the value of the company can indicate that the company is getting closer to achieving its goal, namely increasing the welfare of its stakeholders. <strong>Background Issues:</strong> In recent years, there has been a decline in the value of firms in the mining sector due to various factors that have affected it, which has resulted in a decrease in the value of the shares in several of the sub-sectors, especially the coal mining and petroleum sub-sectors. <strong>Novelty:</strong> This study examines the business risk and intellectual capital that are typical of firms in the mining industry with the generalized moments’ methods. <strong>Research Methods: </strong>This research is a quantitative study that uses the generalized moments methods, where the robust least square test determines which model is more suitable for use in the research. The variables in this study consist of profitability, intellectual capital, and business risk, with variable controls being the gold price, exchange rate, and petroleum price. This study uses annual financial statements from mining companies that are listed on the Indonesia Stock Exchange. These statements include balance sheets and income statements. <strong>Finding/Results: </strong>These findings reveal that profita­bility, intellectual capital, and business risk affect the value of a company. Macro­economic factors as the variable controls, namely gold prices, exchange rates, and petroleum prices, also affect the value of a company. Therefore, based on the research’s results, management must pay attention to internal factors or company micro factors (profitability, intellectual capital, and business risks) and macroeco­nomic factors (gold prices, exchange rates, and petroleum prices) to increase company value. This is because investors use these factors when making decisions to invest in the mining sector. <strong>Conclusion: </strong>There are several important factors that, in principle, increase the value of a company. These factors come from internal and external factors (macroeconomics). This article successfully demonstrates the importance of profitability, intellectual capital, and business risk in supporting firm value. The results also showed that the gold price, exchange rate, and the price of oil have an effect on the price of mining stocks, which are used to measure changes in the economy</p> Dewi Pangestuti Ali Muktiyanto Ira Geraldina Darmawan Darmawan Copyright (c) 2022-09-27 2022-09-27 37 3 311 338 10.22146/jieb.v37i3.3564