INTERNATIONAL JOURNAL OF SCIENTIFIC & TECHNOLOGY RESEARCH VOLUME 9, ISSUE 05, MAY 2020 ISSN 2277-8616

The Effect Of Economic Literacy And Parents

Socio-Economic Status On Entrepreneurial
Intention In Economic Education Student
Universitas Negeri Makassar
Andi Naila Quin Azisah Alisyahbana, Muhammad Hasan, Muhammad Dinar, Thamrin Tahir, M. Ihsan Said Ahmad

Abstract: This study aims to determine the effect of economic literacy and parents' socioeconomic status on entrepreneurial intention in Department of
Economics Education, Faculty of Economics, Universitas Negeri Makassar. This research uses a quantitative research approach. Data collection
techniques carried out by observation, interviews, documentation and questionnaires. The population in this study was 362 students of the Department
of Economics Education class of 2016 - 2018, with a total sample of 66 students. The data analysis technique used is multiple linear regression. The
results showed that partially, economic literacy had a positive and significant effect on entrepreneurial intention and parents' socioeconomic status had a
positive and significant effect on entrepreneurial intention in students of the Department of Economics Education, Faculty of Economics, Universitas
Negeri Makassar, while simultaneously economic literacy and parental socioeconomic status influenced positive and significant interest in
entrepreneurial intention in students of the Department of Economics Education, Faculty of Economics, Universitas Negeri Makassar.

Index Terms: Economic Literacy, Parents Socio Status, Parents Economic Status, Entrepreneurial Intention, Collage Student, Makassar City.
——————————  ——————————

1 INTRODUCTION The socioeconomic situation of the family certainly influences

After graduating from college a bachelor is required to have the development of children, with an adequate economy, the
competitive abilities in all fields such as forming high material environment faced by children in the wider family, he
motivation and creativity. Basically, everyone is born in the gets wider opportunities to develop various skills that cannot be
world with creative potential (Karwowski et al., 2016). With the developed if there is no infrastructure (Zellweger et al., 2011).
number of graduates becoming matters rather than creating Parents can devote deeper attention to the future of their
jobs, the number of entrepreneurs in Indonesia has not children if they are not burdened with problems of primary
increased significantly. Students find it difficult to start needs in family life. The phenomenon that occurs in students of
entrepreneurship because they are not taught and are the Economic Education Study Program at Makassar State
stimulated to try on their own (Lee et al., 2011). This is also University who have programmed courses related to
supported by the cultural environment of the community and entrepreneurship, most of the students are interested and want
family since long time ago always wanted to be an employee, to open a business. The obstacle they face is that the capital
on the other hand most parents do not have good that will be used to open a business is very minimal because
entrepreneurial knowledge and experience. Another factor is their parents' socioeconomic status varies, some are from able
the difficulty of getting capital to start a business. The families and some are from poor families. The phenomenon
government is currently working with the university to shows that there are some students who have entered the
overcome problems related to the lack of entrepreneurial business world because they already have basic knowledge
knowledge by entering one of the entrepreneurship courses in about managing a business, but even so they are still doubtful
semester 3 such as Makassar State University. about the risk of failure in the future because they still lack
Entrepreneurship learning in college will educate students in experience and knowledge. The socioeconomic status of
making economic decisions as well as ways of thinking or parents both in terms of science, wealth and respect for
knowing economic concepts so that it is expected to be able to students varies, but most students tend to have an interest in
create economic literacy (Roudaki, 2009; Zhou & Xu, 2012; entrepreneurship. Factors affecting a person's economic status
Lackeus, 2015; Hasan et al., 2019; Hasan et al., 2019). are; Education, employment, economic conditions, cultural
background, and income (Friedman, 2004). Smart economic
_______________________________________
decisions are indicated from the ability to mix the resources they
have to create benefits. For the creation of value formed in
• Andi Naila Quin Azisah Alisyahbana, Student of Department of behavior economic literacy is needed. Mathews (1999) states
Economics Education, Faculty of Economics, Universitas Negeri that economic literacy is the ability of individuals to recognize
Makassar. E-mail: nailaquinn@gmail.com and use economic concepts and ways of thinking economically
• Muhammad Hasan, Assistant Professor at Department of
to improve and obtain prosperity. Based on the explanation
Economics Education, Faculty of Economics, Universitas Negeri
Makassar. E-mail: m.hasan@unm.ac.id above, the interest in entrepreneurship is influenced by parents'
• Muhammad Dinar, Associate Professor at Department of socioeconomic status and economic literacy. The
Economics Education, Faculty of Economics, Universitas Negeri socioeconomic status of parents relates to the role of the family
Makassar. E-mail: m.dinar5908@unm.ac.id environment being able to teach and stimulate a student to work
• Thamrin Tahir, Professor at Department of Economics Education, alone, while economic literacy is related to making intelligent
Faculty of Economics, Universitas Negeri Makassar. E-mail:
thamrin@unm.ac.id economic decisions from a choice. Based on this, the focus of
• M. Ihsan Said Ahmad, Assistant Professor at Department of this article study is related to the effect of economic literacy on
Economics Education, Faculty of Economics, Universitas Negeri the entrepreneurial interest of students of the Makassar State
Makassar. E-mail: m.ihsansaid@unm.ac.id University Economic Education Study Program and the
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 INTERNATIONAL JOURNAL OF SCIENTIFIC & TECHNOLOGY RESEARCH VOLUME 9, ISSUE 05, MAY 2020 ISSN 2277-8616

influence of parents' socioeconomic status on the strengthening the interest in entrepreneurship for students.
entrepreneurial interest of students of the Makassar State The socioeconomic status is the position or position of a
University Economic Education Study Program. person in society, it is also the condition of a person or a
community in terms of the level of education, income and
2 LITERATURE REVIEW employment that is closely related to entrepreneurial interest
(Zellweger et al., 2011). Thus, the hypothesis proposes is:
2.1 Economy Literacy and Entrepreneurial Intention
McEachern (2001) defines economics as the study of the H2: Parents' socioeconomic status has a positive and
behavior of individuals and society in making choices about significant effect on entrepreneurial interest.
scarce resources in an effort to improve their quality of life.
Thus, the emergence of economics is based on a limited 3 RESEARCH METHODOLOGY
amount of resources with unlimited needs and desires. In The approach used in this study is a quantitative approach
principle, economic literacy is a tool to achieve goals, it's just that uses in-depth data analysis in the form of numbers. The
that in reality not everyone has high economic literacy so that subjects in this study were active students in the Economic
pursing opportunities for prosperity. One indicator is to be an Education Study Program at the Faculty of Economics,
intelligent person in managing economic resources in order to Makassar State University 2016-2018 who had graduated in
achieve prosperity. More details will be seen from surgery entrepreneurship courses. In this study, the independent
using perspectives such as building assets, managing debt, variable is economic literacy and parents' socioeconomic
saving and so on (Jappelli, 2010; Hasan, 2018). Pandey and status, while the dependent variable is entrepreneurial
Bhattacharya (2012) suggested that economic literacy is the interest. Measurement of variables in this study was measured
ability to use economic concepts to make decisions about using a Likert scale. The population in this study were active
income, savings, spending and allocating money. Economic students of the Economic Education Study Program at the
literacy is the ability to use basic economic concepts and Faculty of Economics, Makassar State University in the 2016-
critical thinking in economic decision making. Economic 2018 class of 362 students. The sampling technique in this
literacy can make a person smart in managing economic study is using probability sampling technique, with a total
resources to achieve prosperity by applying the economic sample of 66 students. Testing the hypothesis in this study
concept. In addition, economic literacy becomes very using the t test and F test with multiple regression analysis
important to open knowledge about the costs or benefits of an techniques using the help of SPSS Version 21 program.
item in economic activity. Lewin (2011) states that one of the
most important areas of literacy in the information age is 4 RESULT AND DISCUSSION
economic literacy, because with the awareness and Based on the results of data processing through the SPSS
understanding of a good economy, it can make people survive 21.0 program, the regression equation for this study is
and develop a variety of businesses in the midst of difficult Y = 8,265 + 0,499X1 + 0,029X2 + e
economic life so it is hoped that later it can increase one's (1)
level of creativity and in the end also be able to develop
entrepreneurial interests. Thus, the hypothesis proposed is: Based on these equations, it is seen that both economic
literacy, as well as the socioeconomic status of parents have a
H1: Economic literacy has a positive and significant effect on
positive effect on entrepreneurial interest. The results of
entrepreneurial interest. testing the hypothesis, both simultaneously and partially can
be seen in the following table.
2.2 Parents Socio – Economy Status and Entrepreneurial
Intention
TABLE 1
Socio-economic status is one's position in a series of SIMULTANEOUS HYPOTHESIS TESTING
hierarchical structured strata which is a weighted unity in F F table Conclusion
matters that become values in society that are usually known
as privileges in the form of wealth, as well as income and Simultaneous H0 rejected
35,162 3,14
prestige in the form of status, lifestyle and power. High and low Test H1 accepted
socioeconomic status of a person is determined by education,
employment, and income (Chrisman, 2002; Musa & Hasan, TABLE 2
2018). Parents or family environment lay the foundation for PARTIAL HYPOTHESIS TESTING
children's preparation so that in the future to become effective Variabel t T table Sig. Conclusion
workers, in educating children, parents must teach their H0 rejected
Economic Literacy 8,314 1,998 0,01
children to motivate themselves to work hard, given the H1accepted
opportunity to be responsible for what they do. Parent's Social Parents Socio – H0 rejected
2,592 1,998 0,03
Economic Status is the position or position of a family in a Economy Status H1accepted
human group that is determined by the type of economic
activity, income, level of education, type of residence and From the results of simultaneous testing, the calculated F
position in the organization or can be said to be the position of value was 35,162 with a significance value of 0,000. This
the family group in the community with regard to others in the significance value is smaller than the α value of 0,05, with an F
sense of social environment. , his achievements, and rights table value of 3,14, so it can be concluded that economic
and obligations in relation to resources (Chrisman, 2002; literacy and parental socioeconomic status simultaneously
Hasan, 2018).Support from parents is needed in supporting have a significant effect on student entrepreneurial interest.
entrepreneurship education and certainly has the effect of These findings indicate that economic literacy and social and
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 INTERNATIONAL JOURNAL OF SCIENTIFIC & TECHNOLOGY RESEARCH VOLUME 9, ISSUE 05, MAY 2020 ISSN 2277-8616

economic status of parents influence the entrepreneurial M. (2019). Entrepreneurship education, family capital,
interest of students of Economic Education, Faculty of and family business performance in Makassar, South
Economics, Makassar State University simultaneously or Sulawesi, Indonesia. International Journal of Science &
together. Based on the results of data processing, the value of Engineering Development Research, 4(6), 269-272.
t arithmetic for the economic literacy variable is 8.314 with a [4]. Hasan, M., Hatidja, St., Nurjanna, Guampe, F.A.,
significance of 0.001, because the significance value is Gempita, & Ma’ruf, M.I. (2019). Entrepreneurship
smaller than 0.05 and the value of t > t table (8,314 > 1,998), it learning, positive psychological capital and
can be concluded that economic literacy has a positive and entrepreneur competence of students: a research
significant effect on student entrepreneurial interest. This study. Entrepreneurship and Sustainability Issues, 7(1),
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socioeconomic status of parents is equal to 2,592 with a organizational and individual factors. Journal of
significance of 0,03, because the significance value is smaller Business Venturing, 26(1), 124-136.
than 0,05 and the value of t > t table (2.592 > 1.998), it can be [8]. Lewin, K. (2011). Action Research and Minority
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6 ACKNOWLEDGMENT entrepreneurship education for college students in
The authors thank the Chair of the Economic Education Study China. Administrative Sciences, 2, 82-98.
Program, Dean of the Faculty of Economics, Rector of
Makassar State University, and reviewers for their support in
this research.

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