Determinants of Poverty Levels on Sumatera Island
DOI:
https://doi.org/10.5281/Keywords:
Poverty Rate, Economic Growth, Unemployment Rate , Human Development IndexAbstract
Poverty occurs when a person or group of people do not have sufficient resources, such as income, education, health, housing, or access to basic services. Strong economic growth can reduce poverty rates by creating new jobs, increasing incomes, and providing more people with economic opportunities. High unemployment rates tend to be positively correlated with poverty rates. Poverty can increase when people lose their jobs or opportunities to work. The HDI includes indicators of living standards, health, and education. An increase in HDI can indicate an improvement in people's welfare, which can help reduce poverty. This study aims to determine the factors that affect the poverty rate. The sample used in the study was all provinces on the island of Sumatra in 2008-2022. The testing process uses multiple regression analysis on the E-Views 12 software program. The results show that economic growth and unemployment rate affect the poverty rate, while the human development index has no effect on the poverty rate in all provinces on the island of Sumatra
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