The Effects of Economic Growth, the Human Development Index, and the Open Unemployment Rate on Poverty in Regencies and Cities of Lampung Province
DOI:
https://doi.org/10.24252/best.v6i3.72360Keywords:
Poverty, Economic Growth, Human Development Index , Open UnemploymentAbstract
Lampung Province has a higher poverty rate than the national average. This study aims to analyze the effects of Economic Growth (EG), the Human Development Index (HDI), and the Open Unemployment Rate (UNEMP) on poverty rates in 15 regencies/cities in Lampung Province for the period 2018–2024, using panel data from the Central Statistics Agency (BPS) of Lampung Province, analyzed via panel data regression using the Common Effects Model (CEM), Fixed Effects Model (FEM), and Random Effects Model (REM). Based on the Chow and Hausman tests, the REM was selected as the best model. The results show that, simultaneously, all three variables have a significant effect on poverty; whereas, when analyzed partially, PE and HDI have a negative and significant effect with HDI being the most dominant variable while UNEMP has a positive and significant effect on poverty. Therefore, it is concluded that poverty alleviation in Lampung Province requires comprehensive policies through improvements in human capital, inclusive economic growth, and the expansion of employment opportunities.
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