Proceedings of the 7th Sriwijaya Economics, Accounting, and Business Conference (SEABC 2021)

Effect of Unemployment Rate, Inequality and Investment Against Economic Growth on The Island of Sumatra

Authors
Dikko Alrakhman1, *, Didik Susetyo2, Taufiq3, Azwardi4
1Doctoral Program of Economic Departement of Sriwijaya University
2,3,4Faculty of Economics, Sriwijaya University, Indonesia
Corresponding Author
Dikko Alrakhman
Available Online 8 March 2022.
DOI
10.2991/aebmr.k.220304.007How to use a DOI?
Keywords
Economic growth; unemployment rate; Sumatra Island
Abstract

This study aims to analyze and empirically prove the effect of unemployment rate, inequality, and investment on economic growth on the island of Sumatra in a recently half of decade. Using panel dataset among N=154 districts/cities as entities on the island of Sumatra in the span period of six years (2015-2020), this study utilizes econometric panel model of multiple linear regression. This research suggests that the variables of unemployment rate and inequality density have a significantly negative correlation with economic growth on the island of Sumatra. Meanwhile, investment rate has positively significantly correlated with economic growth on the island of Sumatra. However, this study also has several limitation such follow: firstly, this study only uses three independent variables (unemployment, inequality, and investment) meanwhile not afford other factors or variables outside the model which may also affect the dependent variable (economic growth). Despite several limitations, this research contributes as equal as an input and evaluation for stakeholders in making policies (Government and Regional Government) so that they can produce more targeted policies in an effort to increase economic growth, especially for Regional Governments on the Island of Sumatra.

Copyright
© 2022 The Authors. Published by Atlantis Press International B.V.
Open Access
This is an open access article under the CC BY-NC license.

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Volume Title
Proceedings of the 7th Sriwijaya Economics, Accounting, and Business Conference (SEABC 2021)
Series
Advances in Economics, Business and Management Research
Publication Date
8 March 2022
ISBN
10.2991/aebmr.k.220304.007
ISSN
2352-5428
DOI
10.2991/aebmr.k.220304.007How to use a DOI?
Copyright
© 2022 The Authors. Published by Atlantis Press International B.V.
Open Access
This is an open access article under the CC BY-NC license.

Cite this article

TY  - CONF
AU  - Dikko Alrakhman
AU  - Didik Susetyo
AU  - Taufiq
AU  - Azwardi
PY  - 2022
DA  - 2022/03/08
TI  - Effect of Unemployment Rate, Inequality and Investment Against Economic Growth on The Island of Sumatra
BT  - Proceedings of the 7th Sriwijaya Economics, Accounting, and Business Conference (SEABC 2021)
PB  - Atlantis Press
SP  - 48
EP  - 56
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.220304.007
DO  - 10.2991/aebmr.k.220304.007
ID  - Alrakhman2022
ER  -