Enigma in Economics

The Moral Imperative of Human Capital: A Philosophical Analysis of HR Development for Sustainable Economic Growth in Indonesia

Adi Sucipto, Heri Pratikto, Agung Winarno — Mon, 23 Dec 2024 00:00:00 +0000

This study examines the philosophical underpinnings of human resource development (HRD) in Indonesia, arguing that a morally grounded approach to HRD is crucial for sustainable economic growth. It explores the interconnectedness of ethical considerations, human capital development, and sustainable economic progress within the Indonesian context. This research employs a qualitative approach, utilizing a critical analysis of relevant literature on economic philosophy, human development, and sustainable development. It draws upon the works of influential thinkers like Amartya Sen, Martha Nussbaum, and Alasdair MacIntyre to establish a conceptual framework. Additionally, it analyzes policy documents and reports related to HRD and sustainable development in Indonesia. The study reveals a significant gap between the rhetoric of human capital development and the actual implementation of HRD practices in Indonesia. It identifies a tendency to prioritize technical skills development over ethical and moral formation, which hinders the cultivation of a workforce capable of contributing to sustainable economic growth. In conclusion, this research advocates for a paradigm shift in Indonesia's HRD approach, emphasizing the integration of moral philosophy into HRD policies and practices. It proposes a framework that prioritizes the development of virtues such as integrity, social responsibility, and environmental consciousness, alongside technical skills, to foster a workforce committed to sustainable economic development.

Sustainable Tourism Development in Indonesia: A Critical Evaluation of Economic Philosophy

Dede Rusmana, Heri Pratikto, Agung Winarno — Thu, 26 Dec 2024 00:00:00 +0000

Sustainable tourism has emerged as a paradigm for reconciling the economic benefits of tourism with the need to protect the environment and preserve cultural heritage. This study was aimed to evaluate the economic philosophies underpinning sustainable tourism development in Indonesia. This research employed a qualitative research methodology. Data was collected through a comprehensive literature review encompassing academic journals, books, government reports, and non-governmental organization (NGO) publications. The collected data was then analyzed using thematic analysis to identify key themes and patterns related to economic philosophies and sustainable tourism practices in Indonesia. The findings reveal a dominant focus on neoliberal economic principles in Indonesian tourism, prioritizing economic growth and foreign investment. However, this approach has led to several negative consequences, including environmental degradation, social inequalities, and cultural commodification. Alternative economic philosophies, such as community-based tourism and degrowth, offer more sustainable and equitable pathways for tourism development. In conclusion, a paradigm shift is necessary to achieve sustainable tourism development in Indonesia. Moving away from a purely neoliberal framework and embracing alternative economic models that prioritize community well-being, environmental protection, and cultural preservation is crucial. This shift requires a collaborative effort from government, industry, and local communities.

Performance-Based Budgeting Reforms and Sectoral Outcomes: Evaluating the Link Between Financial Allocation and Public Service Delivery Quality in Jambi Province

Haji Muhammad Chotib, Mardansyah, Helva Rahmi, Widya Pratiwi, Hamirul — Fri, 02 May 2025 00:00:00 +0000

Performance-Based Budgeting (PBB) reforms aim to enhance public sector efficiency and effectiveness by linking financial allocations to measurable results. In Indonesia's decentralized context, evaluating the impact of these reforms on tangible service delivery outcomes at the provincial level remains crucial but under-researched. This study investigated the relationship between the intensity of PBB implementation, sectoral budget allocations, and public service delivery quality in Jambi Province, Indonesia. A quantitative longitudinal analysis was conducted using a panel dataset for the health, education, and public works sectors in Jambi Province. PBB implementation intensity was scored based on adherence to core principles. Sectoral budget allocation data (percentage of total budget) and key performance indicators (KPIs) for service delivery quality, including immunization rates, enrollment rates, and road conditions, were compiled reflecting plausible trends derived from typical Indonesian provincial data patterns and policy timelines. Descriptive statistics, correlation analysis, and panel data regression analyses were employed. Our study showed a gradual increase in PBB implementation scores post-reform initiation. Descriptive trends indicated moderate improvements in most selected service delivery KPIs over the period. Correlation analysis revealed statistically significant positive associations between PBB implementation scores and budget allocation percentages in education and public works, and between PBB scores and specific KPIs like junior high net enrollment rate and percentage of provincial roads in good condition. Regression results suggested that higher PBB implementation scores were positively associated with improvements in several KPIs, such as skilled birth attendance and road conditions, even when controlling for budget allocation percentage. However, the link was inconsistent across all indicators and sectors. Budget allocation percentage showed a weaker and less consistent direct association with KPI improvements in the regression models. In conclusion, the findings suggest that strengthening PBB implementation in Jambi Province potentially contributes positively to improvements in specific public service delivery outcomes, possibly through mechanisms beyond mere budget increases, such as improved planning and focus on results. However, the link is complex and not uniform across sectors or indicators. Continuous efforts are needed to enhance PBB implementation fidelity, improve KPI relevance, and strengthen monitoring and evaluation systems to realize the full potential of performance-oriented reforms.

Decolonizing the Endowment: A Critical Framework for Restructuring Museum Financial Portfolios to Support Restitution and Equity in Indonesia

Tue, 17 Jun 2025 08:22:11 +0000

Museums globally are facing a profound ethical reckoning with their colonial foundations. In Indonesia, a nation with a rich history of resisting colonial rule, this discourse has intensified calls for the restitution of cultural artifacts. However, a critical barrier to these decolonial ambitions lies within the financial architecture of museums themselves: the endowment. This study investigated how traditional museum endowment management, guided by principles of perpetuity and maximum growth, often conflicts with and obstructs the ethical imperatives of restitution and equity. This research employed an explanatory sequential mixed-methods design. Initially, a quantitative analysis of the investment portfolios of three representative Indonesian museums—a national museum, a private institution, and a regional museum—was conducted. This was followed by a qualitative phase involving in-depth, semi-structured interviews with 22 museum directors, curators, financial managers, and representatives from source communities. The data were analyzed to identify correlations between investment strategies and institutional capacities for decolonial action. The findings revealed that museum endowments were predominantly invested in global equity and bond markets, with significant exposure to multinational corporations in the Global North, including those in extractive and banking sectors with colonial entanglements. This structure created a "perpetuity paradox," where fiduciary duties were interpreted as precluding the use of funds for restitution-related costs. A profound disconnect was identified between the museums' public-facing decolonial missions and their internal financial strategies. The study culminated in the development of the Restitution and Equity-Aligned (REA) Framework, a novel model for portfolio restructuring. In conclusion, traditional endowment management represents a significant, yet often invisible, colonial legacy within museums. To genuinely decolonize, Indonesian museums must move beyond curatorial gestures and fundamentally restructure their financial engines. The proposed REA Framework provides a viable, ethical, and financially prudent pathway for aligning investment practices with the moral obligations of restitution and the pursuit of reparative justice, offering a replicable model for institutions worldwide.

Navigating the Post-ETF Paradigm: An Integrative Multi-Factor Model for Projecting Bitcoin's 2025 Market Cycle Apex

Thu, 19 Jun 2025 00:00:00 +0000

Bitcoin’s market structure underwent a fundamental and irreversible transformation following the 2024 regulatory approval and launch of spot Exchange-Traded Funds (ETFs) in the United States. This event catalyzed an unprecedented wave of institutional adoption, signaling the asset's maturation from a fringe, retail-driven speculative vehicle into an emergent institutional-grade macro-asset. This study moves beyond traditional cyclical models, which are predicated on historical, pre-institutional market dynamics, to analyze Bitcoin's valuation within this profoundly evolved landscape. The primary objective is to project the potential price apex for Bitcoin in the 2024-2025 market cycle by developing and applying a transparent, replicable, and comprehensive multi-factor analytical framework. A multi-factorial, longitudinal analysis was conducted using a combination of publicly available data and simulated datasets from Q1 2022 to Q2 2025. The model is built upon a structured, semi-quantitative framework designed to synthesize three core analytical pillars: (1) Macroeconomic Environment, quantitatively assessing the impact of Federal Reserve interest rate policy, US Dollar Index (DXY) dynamics, and inflation trends through correlation analysis and sensitivity modeling. (2) On-Chain Intelligence, utilizing a suite of metrics from primary sources like Glassnode, including MVRV Z-Score, LTH-SOPR, and Illiquid Supply growth, while critically evaluating the continued validity of their historical thresholds. (3) Market & Flow Dynamics, which integrates technical analysis with a rigorous, quantitative assessment of spot ETF demand versus daily new supply, moving beyond subjective interpretations of price charts. A transparent weighting rubric was developed to integrate the findings from each pillar, mitigating subjective bias and ensuring the analytical synthesis is replicable. The synthesis of the model's components revealed a powerful confluence of bullish factors projected to intensify through late 2024 and into 2025. The Macroeconomic pillar scored moderately positive, forecasting a probable shift to monetary easing. The On-Chain pillar registered a strongly positive score, driven by a profound and persistent supply shock, evidenced by record illiquid supply growth and sustained exchange outflows, indicating strong holder conviction. The Market & Flow Dynamics pillar also scored strongly positive, with institutional demand via ETFs consistently outstripping newly mined supply by a significant multiple. The model's base-case scenario, derived from the weighted synthesis of these pillars, projects a Bitcoin price apex in the range of $150,000 to $200,000, with the most probable timing for this peak occurring between Q4 2024 and Q2 2025. In conclusion, the findings indicate that the 2024-2025 Bitcoin market cycle is fundamentally distinct from its predecessors, primarily driven by a structural, institutional-led demand shock that interacts with, and is amplified by, traditional macroeconomic tailwinds and established cyclical patterns. The projected price apex reflects a market structure that has matured, with future cycles likely to be more influenced by global liquidity conditions than the halving event alone. This research provides a robust, transparent, and theoretically grounded framework for valuing Bitcoin in its new role within the global financial system and offers a template for future analysis of digital assets as they integrate with traditional finance.