Question
3. There are many factors that influence the growth and development of business enterprises in a country, one of which is economic growth (economic growth
3. There are many factors that influence the growth and development of business enterprises in a country, one of which is economic growth (economic growth rate), one of which is very significant. High economic growth will provide bigger jobs so that people's purchasing power will increase. One of the indicators of investment productivity related to economic growth is ICOR (Incremental Capital-Output Ratio).
A country with a population of 260 million people and a per capita income of $ 4,200 per year is facing an unemployment problem that is reported to be 10% of the workforce, which is 65% of the population. One of the economic development targets programmed by the government is to reduce the unemployment rate by an average of 1% per year. Data in the last 5 years illustrates that every 1% of economic growth will create employment of 350,000 people. In the same period the results provide an aggregate ICOR number data of 4.5.
Questions; How much investment in aggregate for the first and second years should the government strive to achieve the above targets?
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