A phenomenological conception of private sector responsibility in socioeconomic development

Purpose – Aims to methodologically explain a phenomenological model with empirical contents for modelling ethics in socioeconomic development. Addresses a circular causality between state variables and policy variables for the case of socioeconomic development of Indonesia with ethics and values as important focus required for the private sector role. Design/methodology/approach – This is a methodological paper with good empirical content prescribing policy recommendations for the role of ethics and values in the private sector in Indonesian socioeconomic development. Philosophy of science heads off the methodological part. This is combined with contextual elements of Islamic development financing instruments to highlight the need for ethics and values in the development of Indonesia, the largest Muslim nation. Findings – The paper highlights how the Indonesia private sector and the Government need to corroborate the focus of ethics and values in the national development plan. This is a novel approach to modelling ethics and values and estimating it by circular causation system of regression equations answering the theme of social wellbeing through socioeconomic development. Research limitations/implications – The true empirical work would have used complexity methods. In the paper the simple approach has been maintained by using the system of circular causation related regression equations. This is part of an on‐going research project on unity of knowledge and its empirical application to specific problems of science and society including the social economy. Thus, the project presents challenging field of academic investigation for many. Practical implications – Provides policy recommendations on how ethics and values ought to be incorporated in the socioeconomic development plan through private sector participation in Indonesia. The need for the role of private sector ethical consciousness in Socioeconomic development of Indonesia is highlighted. Original/value – This is an original contribution in the area of phenomenological investigation on ethics and how it can be modelled and applied in specific circumstances (Indonesia private sector development within her development plan). The paper brings forth a challenging concept along lines of a scientific research program that looks at the methodology of unity of knowledge as the phenomenological basis of development planning and then empirically investigates this methodological conception through modelling of ethics and values.