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All Journal Batoboh : Jurnal Pengabdian Pada Masyarakat Jurnal EK dan BI Community Development Journal: Jurnal Pengabdian Masyarakat Journal of Education Technology Information Social Sciences and Health Innovative: Journal Of Social Science Research Journal of Law, Education and Business Journal of Management Accounting, Tax and Production Balance: Jurnal Ekonomi
Silaban, Putri Sari Margaret Julianty
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The Effect of Education and Unemployment on Poverty in Indonesia's 34 Provinces (2018–2023): The Mediating Role of the Human Development Index Fayza, Salsabila; Sinambela, Rut Afentina; Situmorang, Rachel Meylani; Nafisha, Nadya; Silaban, Putri Sari Margaret Julianty
Jurnal Ekonomi Balance Vol. 21 No. 1 (2025): June 2025
Publisher : Perpustakaan dan Penerbitan Unismuh Makassar

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.26618/jeb.v21i1.16393

Abstract

This study investigates the impact of education and unemployment on poverty across Indonesia’s 34 provinces from 2018 to 2023, with the Human Development Index (HDI) serving as a mediating variable. Using secondary panel data and employing path analysis within a fixed effect model framework, the research explores both direct and indirect relationships among variables. The results indicate that unemployment significantly and negatively affects HDI, while education significantly and positively influences HDI. Furthermore, HDI has a significant negative impact on poverty, demonstrating its mediating role in reducing poverty through improvements in education. However, education does not directly influence poverty in a statistically significant manner. In contrast, unemployment directly and positively influences poverty levels. The Sobel test confirms that HDI significantly mediates the effect of education on poverty, but does not mediate the relationship between unemployment and poverty. These findings suggest that enhancing human capital through education can reduce poverty indirectly by improving HDI. However, addressing unemployment requires targeted labor market interventions, as improvements in HDI alone are insufficient to mitigate poverty caused by joblessness. The study underscores the importance of integrated policy approaches that simultaneously enhance education quality and employment opportunities to effectively reduce poverty and promote inclusive development in Indonesia.
The Influence of Local Own- Source Revenue and Unemployment On Labor Force Through Human Development Index (HDI) Aini, Lathifah; Runi, Naila Ananda; Nasution, Putri Andini; Salsabila, Salsabila; Silaban, Putri Sari Margaret Julianty
Jurnal Ekonomi Balance Vol. 21 No. 1 (2025): June 2025
Publisher : Perpustakaan dan Penerbitan Unismuh Makassar

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.26618/jeb.v21i1.16396

Abstract

This study examines the influence of Local Own-Source Revenue and unemployment on the labor force participation rate in the regions of Java and Bali, with the Human Development Index (HDI) acting as a mediating variable. Using path analysis and EViews software, the research investigates both direct and indirect effects within a structural model. The results show that Local Own-Source Revenue has no significant direct effect on the labor force (p = 0.9100; direct effect = 0.004), and its indirect effect through HDI is also negligible. Similarly, unemployment does not have a statistically significant effect on labor force participation (p = 0.0966; direct effect = –0.205), nor does it show a significant indirect effect via HDI. These findings indicate that HDI does not mediate the relationship between Local Own-Source Revenue or unemployment and labor force participation in these regions. While HDI is widely regarded as a benchmark for human development, this study suggests it may not sufficiently explain labor force dynamics in the context of Java and Bali. Alternative factors such as the quality of education, economic diversification, urbanization, industrial structures, and access to digital infrastructure may have greater explanatory power. Future research is recommended to explore additional mediating variables and employ more detailed regional or sectoral analyses. Moreover, incorporating qualitative methods may help capture social and cultural dimensions that influence labor force behavior, thus offering a more comprehensive basis for policymaking.
Path Analysis of HDI Mediating Poverty and Unemployment Effects on Economic Growth in Indonesia Hasibuan, Andriansyah; Nasution, Kautsar Fatin Dharmawan; Fadiya, Feny; Pratiwi, Audina; Silaban, Putri Sari Margaret Julianty
Jurnal Ekonomi Balance Vol. 21 No. 1 (2025): June 2025
Publisher : Perpustakaan dan Penerbitan Unismuh Makassar

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.26618/jeb.v21i1.18623

Abstract

Economic growth remains a central goal in Indonesia's development agenda, yet it is often hindered by persistent poverty and unemployment. This study investigates the mediating role of the Human Development Index (HDI) in the relationship between poverty, unemployment, and economic growth across 11 provinces in Indonesia during the 2014–2023 period. Using a quantitative approach and panel data analysis, the study employs path analysis to examine both direct and indirect effects. The results indicate that poverty significantly reduces HDI, and HDI significantly mediates the effect of poverty on economic growth. However, HDI does not significantly mediate the relationship between unemployment and economic growth. The Fixed Effect Model (FEM) was selected as the most appropriate model based on Chow, Hausman, and Lagrange Multiplier tests. The Sobel test confirms the significant mediating role of HDI in the poverty–growth pathway, but not in the unemployment–growth linkage. These findings underscore the importance of enhancing human development as a strategic policy tool to mitigate the negative impacts of poverty on growth. Conversely, the lack of mediation in the unemployment pathway suggests the need for direct employment generation programs. This study contributes to the literature by highlighting the nuanced role of HDI in regional development and offers practical implications for policymakers in aligning social and economic priorities.
Influence of Poverty and HDI on Economic Growth Through Unemployment in Sulawesi, 2011–2023 Damara, M. Deni; Noer, M. Raihan; Ananda, Bunga; Sitohang, Cindy Eleonora; Silaban, Putri Sari Margaret Julianty
Jurnal Ekonomi Balance Vol. 21 No. 1 (2025): June 2025
Publisher : Perpustakaan dan Penerbitan Unismuh Makassar

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.26618/jeb.v21i1.18628

Abstract

This study investigates the influence of poverty and the Human Development Index (HDI) on economic growth, with unemployment serving as a mediating variable, across five provinces in Sulawesi from 2011 to 2023. Economic growth remains a critical indicator for regional development, and understanding the role of socioeconomic factors such as poverty, education, health, and labor dynamics is essential for policy formulation. The study employs a quantitative research design using panel data analysis, integrating path analysis techniques and the Sobel test to identify both direct and indirect effects among the variables. The empirical results show that poverty has no statistically significant effect on either the unemployment rate or economic growth, indicating that poverty alone may not directly influence macroeconomic performance in this context. Conversely, HDI exhibits a significant influence on both unemployment and economic growth, reinforcing the crucial role of education, health, and overall human development in shaping economic outcomes. However, the unemployment rate does not mediate the relationship between either poverty or HDI and economic growth, suggesting that other mechanisms may be more relevant in translating human development into economic progress. These findings emphasize the limited mediating role of unemployment and highlight the strategic importance of investing in human capital. As such, policy recommendations should prioritize improving access to quality education and healthcare services, while also promoting job creation programs. These initiatives are essential to foster inclusive, resilient, and sustainable economic growth across Sulawesi’s diverse provinces.
Co-Authors Aini, Lathifah Alisya, Jeane Ananda, Bunga Azis, Adek Cerah Kurnia Batubara, Radja Marihat Damara, M. Deni Fadiya, Feny Fayza, Salsabila Febrianti, Gita Feby, Yohana Ginting, Hilkia Natasya Gultom, Rona Hinirim Hasibuan, Andriansyah Hastuti, Pebri Hutabalian, Relli Anisma Hutasoit, Dedy Harianto Irsyad, Ferozi Ramdana Manihuruk, Frido Evindey Manik, Citra Wulandari Manurung, Mahlina Putri Marbun, Jonatan Matondang, Khairani Alawiyah Mnurung, Mahlina Putri Nafisha, Nadya Nasution, Kautsar Fatin Dharmawan NASUTION, PUTRI ANDINI Noer, M. Raihan Pasaribu, Julio Rikky Supriadi Pratiwi, Audina Putriku, Aurora Elise Rambe, Rolil Revita Yuni, Revita Runi, Naila Ananda Saajidah, Annisah Salsabila, Salsabila Saragih, Elisa Clara Sari, Arsiska Sari, Yolanda Novita Silaban, Krisnawati Simanullang, Rotua Sahat Pardamean Sinaga, Era Widia Br Sinambela, Rut Afentina Sirait, Melani Manginar Siregar, Rahel Veronika Sitanggang, Enzelina Sitanggang, Novita Hotma Uli Sitohang, Cindy Eleonora Situmorang, Rachel Meylani Sugara, Wira Hadi Syahbana, Eza