This study aims to determine how the influence of labor and government spending on investment in Indonesia. The type of research used is quantitative with secondary data, using the OLS (Ordinary Least Square) analysis method in order to see the effect of the independent variable, namely investment with the dependent variable on labor and government spending. The results show that the variable labor and government have a significant effect on a significant investment. The estimation results of the variables of labor and government expenditure are significant and have a positive impact on investment in Indonesia. Estimated results for government expenditure variables have a significant and positive impact on investment that will affect economic growth in Indonesia.
Information and Communication Technology (ICT) provides a new perspective on the development of economic transactions in digital era. Economic transactions are becoming more efficient, faster, and cheaper [1]. The use of ICT and the internet encourages online transactions to be more accountable than those of conventional transactions. In digital era, entrepreneurs must be able to develop their abilities towards skills in knowledge, ICT, and the internet [2]. Meanwhile, entrepreneurs in Indonesia who are mostly SMEs have weaknesses, one of which is a lack of technological capability. Therefore, the problems were formulated as follows: (a) How these SMEs are able to take advantage of the opportunities and challenges in this digital era; and (b) What strategies should be implemented by SMEs to compete in digital era whereas the use of ICT is massive. The results of the analysis show that in digital era, ICT and IoT can accelerate business development. So, SMEs that do not implement it, will get disrupted.
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