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Strategies to Strengthen Rural Local Economies in the Context of In-creasing the Human Development Index and Reducing Regional Disparities Nur Ela
Journal of Economic Development and Village Building Vol. 4 No. 1 (2026): Journal of Economic Development and Village Building
Publisher : Politeknik Siber Cerdika Internasional

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.59261/jedvb.v4i1.60

Abstract

This study aims to analyze the strategy of strengthening the rural local economy in increasing the Human Development Index (HDI) and reducing regional disparities. The background of this study is based on the still high development disparity between urban and rural areas, which is characterized by low access to public services, limited human resources, and weak local economic capacity. The study uses a quantitative approach with a cross-sectional design through data collection using questionnaires and structured interviews with respondents in rural areas. Data analysis techniques include descriptive and inferential statistics using multiple linear regression with the help of SPSS software. The results of the study show that local economic strengthening is the most dominant predictor of HDI improvement (B=0.356; t=3.845; sig=0.000), followed by human resource quality (B=0.298; sig=0.004) and access to public services (B=0.214; sig=0.037). The F-test confirms simultaneous significance (F=6.732; sig=0.001). The variables of local economic strengthening are the dominant factors in encouraging the improvement of community welfare. In addition, improving the quality of education and access to health services also contributes to improving the quality of life of rural communities. These findings confirm the importance of an integrated development approach between economic, social, and public service aspects. This research implies that rural development policies need to be focused on local economic empowerment, human resource capacity building, and expansion of inclusive and sustainable access to public services.