INTRODUCTION TO THE LABOR ECONOMIC

Abstract

Introduction to the Labor Economic is an academic textbook that explores the foundational principles and contemporary issues of labor economics, with a contextual focus on Indonesia. Divided into six comprehensive chapters, the book introduces readers to the core theories of labor supply and demand, market equilibrium, and human capital, while also addressing real-world labor issues.

The book begins by outlining the basic concepts and models of labor economics, distinguishing between positive and normative approaches. It then examines the determinants and behaviors of labor demand and supply, including short- and long-run factors, wage formation, and country-specific dynamics. The text further investigates labor market equilibrium and the crucial role of human capital in economic development. The final chapter is devoted to analyzing labor market issues specific to Indonesia, offering insights into policy challenges and socioeconomic implications.

This book is intended for undergraduate students, educators, and practitioners in economics, labor studies, and public policy. Through its accessible structure, relevant examples, and focus on both theory and practice, the book serves as a vital guide to understanding how labor markets function and evolve in the modern economy.