Purpose: This study aims to examine the impact of Research and Development (R&D) investment, e-commerce company workforce, and e-commerce transaction volume on Indonesia's economic growth from 2010Q1 to 2020Q4.
Methods: The study employs Ordinary Least Squares (OLS) regression with time-series data, using quarterly data from 2010 to 2020. The analysis was performed using E-views 9 software, following normality, autocorrelation, heteroscedasticity, and multicollinearity tests to ensure the validity of the results.
Results: The study found that R&D investment, e-commerce workforce, and transaction volume significantly impact Indonesia’s economic growth, both individually and collectively. R&D investment showed a positive effect, with an increase in R&D contributing 0.615% to economic growth, while e-commerce workforce and transaction volume also had positive effects on growth.
Conclusion: The results indicate that increasing R&D investment, e-commerce employment, and transaction volume can significantly boost Indonesia's economic growth, demonstrating the importance of these factors in driving digital economy growth.
Limitations: This research is limited by the scope of its focus on R&D investment, e-commerce workforce, and transaction volume, and it is confined to data from Indonesia alone. Further research could explore comparative studies across different countries.
Contribution: The findings provide valuable insights for policymakers and stakeholders aiming to enhance economic digitization in Indonesia, offering a data-driven approach to adjusting policies for sustainable economic growth.