Research Paper
Year: 2020 | Month: December | Volume: 7 | Issue: 12 | Pages: 526-533
Factors Affecting Poverty in North Sumatra
Lora Ekana Nainggolan1, Lenny Dermawan Sembiring2, Nana Triapnita Nainggolan3
1Accounting Study Program, Sultan Agung College of Economics, Pematangsiantar
2,3Management Study Program, Sultan Agung School of Economics, Pematangsiantar
Corresponding Author: Lora Ekana Nainggolan
ABSTRACT
An issue that often becomes the spotlight in a country and becomes a problem in the country's development is poverty. All countries in the world face poverty, both developed and developing countries, including Indonesia; however, each country's issues have different levels. Poverty is a condition in which a person is unable to meet his daily needs. Indonesia is a developing country that has experienced poverty for a long time. This study aims to see the effect of economic growth, the human development index (HDI), education, and unemployment on North Sumatra Province's poverty levels. This research was conducted in North Sumatra Province using secondary data sourced from BPS North Sumatra. The data of this research used poverty level, economic growth rate, human development index, education (net participation rate), and unemployment rate data, with cross-section data of North Sumatra, 2019 and processed using Eviews Version 10. This study indicates that economic growth and education do not have a significant effect on poverty in North Sumatra Province. The human development index and unemployment have a significant negative and positive impact on poverty.
Keywords: Economic Growth, Human Development Index, Education, Unemployment, Poverty.
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