The Influence of MSMEs and Halal Tourism on Economic Growth in Central Java Province (2019–2023): The Moderating Role of Labor

Abstract

This study aimed to examine the effects of Micro, Small, and Medium Enterprises (MSMEs) and halal tourism on economic growth in Central Java Province during the period 2019–2023, with labor as a moderating variable. A quantitative approach was employed using secondary panel data obtained from the Central Statistics Agency (BPS) and the Regional Tourism Office. The data were analyzed using multiple linear regression and Moderated Regression Analysis (MRA) with EViews 12 software. The results indicated that the number of MSMEs had a significant positive effect on economic growth, and halal tourism also contributed positively to economic growth. Furthermore, the MRA results revealed that labor significantly moderated the relationship between MSMEs and economic growth, as well as between halal tourism and economic growth. These findings highlight the strategic role of labor in strengthening the contribution of MSMEs and halal tourism to regional economic growth