Do Amenities and Economic Factors Affect Migration? Empirical Evidence from Indonesian Cities

Abstract

Indonesia is one of the developing countries with a distinct migration pattern because it is still concentrated in certain areas due to uneven development. The literature informs that not only economic factors influence migration but also amenities. The article examines the role of amenities and economic factors on Indonesia’s cities migration. The results reveal that cities in Java have higher amenities and are still the most popular migration destinations, while migrants can consider cities outside Java if they are included in the high amenities category and the provincial capital. Migrants are also interested in cities with abundant amenities, even if the economic compensation is not high. Our results found that amenities, minimum wages, gross regional domestic product, tertiary sector and growth contributed to migration. The study confirms that amenities other than economic factors influence Indonesian city’s migration. We suggest that the city government prioritize the provision of quality amenities and the creation of a better city economy.