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All Journal International Journal of Social and Education (INJOSEDU)
Husna Wati
Politeknik Negeri Lhokseumawe

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THE INFLUENCE OF LOCALLY-GENERATED REVENUE AND REVENUE-SHARING FUNDS ON ECONOMIC GROWTH IN ACEH PROVINCE, WITH CAPITAL EXPENDITURE AS A MEDIATING VARIABLE Husna Wati; Indra Wijaya; Yeni Irawan
INJOSEDU: International Journal of Social and Education Vol. 3 No. 6 (2026): International Journal of Social and Education (INJOSEDU)
Publisher : Adisam Publisher

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.5281/zenodo.22268289

Abstract

This study examines the effect of Local Own-Source Revenue (PAD) and Revenue Sharing Funds (DBH) on Economic Growth with Capital Expenditure as a mediating variable in Aceh Province during 2015–2024. The study employs a quantitative approach using secondary time-series. Data were analyzed using multiple linear regression, classical assumption tests, coefficient of determination, t-test, F-test, path analysis, and the Sobel Test. The results indicate that PAD, DBH, and Capital Expenditure do not significantly affect Economic Growth either partially or simultaneously. The Sobel Test indicating that Capital Expenditure does not significantly mediate the effects of PAD and DBH on Economic Growth. The findings suggest that increases in fiscal revenue do not automatically translate into economic growth without productive and effective budget allocation.
Co-Authors Indra Wijaya Yeni Irawan