DETERMINANTS OF COMPETITIVENESS IN REGENCIES/CITIES IN CENTRAL JAVA PROVINCE IN 2018-2023

This study examines the effect of independent variables consisting of number of working population aged 15 years and over, road length, percentage of population with BPJS health insurance, and GRDP at constant 2010 prices on the Regional Competitiveness Index in Central Java Province. The purpose of this study is to determine the simultaneous and partial effects of the four independent variables on the Regional Competitiveness Index in Central Java Province. The study employed quantitative research methods, utilizing secondary data collected from 34 regencies and cities in Central Java Province for the period 2018-2023. Panel data regression analysis is the primary analytical technique. Based on the findings of the study, it can be seen that the working population aged 15 years and over, road length, percentage of individuals with BPJS health insurance, and GRDP at constant 2010 prices simultaneously have an effect on the competitiveness index of regencies/cities in Central Java Province. Partially, the variable percentage of individuals with BPJS health insurance has a negative and significant effect on the competitiveness index of regencies/cities in Central Java Province. The variables of the number of working population aged 15 years and over, road length, and GRDP at constant 2010 prices have no significant effect on the regional competitiveness index. The findings of this study suggest several key implications for the Central Java Province. First, the Central Java Provincial government should prioritize community-focused initiatives to enhance understanding of appropriate health insurance options, as the variable of the percentage of population with BPJS health insurance has a significant effect on the Regional Competitiveness Index in Central Java Province. Second, the government must enhance the quality of BPJS services, specifically by reducing patient waiting times, ensuring adequate facility availability, and promoting the professionalism of healthcare personnel. Third, local governments should focus on skills training aligned with local labor market demands to enhance productivity, rather than solely focusing on increasing the labor force size. Fourth, the government should enhance the quality of road infrastructure, encompassing both paved roads and key economic corridors, to facilitate improved interregional connectivity. Fifth, the government needs to ensure that the increase in GRDP is not concentrated only in certain regions.