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The Role Of The Human Development Index on Regional Economic Growth in Java and Sumatra, 2014–2023 Wasahua, Olos; Sumaryoto; Karno
International Humanity Advance, Business & Sciences Vol 3 No 3 (2026): On Progress
Publisher : PT Maju Malaqbi Makkarana

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.59971/ijhabs.v3i3.811

Abstract

Economic growth is the main indicator in measuring the progress and welfare of a region. In the perspective of modern development, economic growth is not only determined by physical factors such as investment and capital, but also by the quality of human resources reflected through the Human Development Index (HDI). This study aims to analyze the effect of HDI on economic growth in the provinces of Java and Sumatra during the period 2014–2023. The data used are panel data from 16 provinces (6 in Java and 10 in Sumatra) with the Fixed Effect Model (FEM) approach selected based on the results of the Chow and Hausman test. The results show that HDI has a positive and significant effect on economic growth, with a coefficient value of β = 1.161 and a t-statistic value of 9.206 > t-table 1.658 and a probability value of 0.0000 < 0.05. The elasticity value E > 1 indicates that an increase in HDI is elastic to economic growth, meaning that each increase in HDI will increase economic growth proportionally greater. These results reinforce the human capital theory, which states that investment in education, health, and a decent standard of living is key to sustainable economic growth. The study also found that the HDI's influence on economic growth was stronger in Java than in Sumatra due to differences in education quality, infrastructure, and urbanization. The policy implications of this study are the need for local governments to strengthen investment in vocational education, workforce training, and improving basic health services to reduce disparities in human development between regions.
Co-Authors A Rijal Nurhalim Abdullah, Farid Wajedi Agnes Jatu Resani Seno Ahdiyat, Maman Alan Ksatrya Bhuana Alimin, Soni Amat Suparman Santoso Anna Nurfarkhana Anna Nurfarkhana Anwar Sanusi Aprillia, Rosida Ardian, Riki Ardiyanti, Devi Arie Irfan Nuri Atikah Atikah Azzahra Siti Ramadan Bado Riyono Bado Riyono Bado Riyono Bambang Sumadyo Burhani, Ahmad Dahayati Dahayati Daniel Yohanes Indrasakti Darwati Susilastuti Dewi, Lia Oktiana Dian Ratnasari Asrori Dirdjo, Budiyono Djaka Maulana Dony Krisna Edoh, Nur Edson Sahulatta Eulis Kulsum Halwati Falgenti, Kursehi Ghaisani, Nadhilah Goessera Putri Rusdiana Gumilang, Muhammad Shirli Gunadiputra, Ilhamy Ilyas Habibi, Ahmad Hanifah, Nani Hapsari, Sri Hasanah, Uswatun Hasbullah Hendro Prasetyono Heny Astuty Heru Sriyono Heru Sriyono Heru Suparman Hugo Aries Suprapto Iis Aisah Inayah, Inna Nur Indra Sutisna Januar Barkah Julia, Rani Karno Khairil Khairil Kis Andayani Komaida, Dian Kurniawan, Andreas Leli Yuliana Lenny Marlina Lisna Ningrum Lulu&#039; Ur Rohmah Lumbantobing, Samuel Vincent Lusie Charina Mai, Chandra Maman Achdiyat Maman Ahdiyat Mamiek Suendarti Mamik Suendarti Marwi Marwi Masayu Endang Apriyanti Masrin Masrin Meirinaldi Meirinaldi Miftahullah Bisi Muhamad Bili Fatullah Muhammad Rozali Muniroh, Siti Soimatun N Yanti Sumiati Nardiyanto, Nardiyanto Nita, Ervina Willia Nur&#039;aina Ibrahim Martis Nurdeni, Nurdeni Nurdin Nurhati Gradeccha Advanie Pamungkas, Ilham Prasetya, Iwan Prasetyo, Nova Rahayu Permana Rain, Rinovian Rekyan Swasti Nariswari Restoeningroem Restoeningroem Retnaningsih, Endang Rina, Alfriealintina Rini Suryalies Fairini Rinovian Rais Rizki Riyanto Rosnawati Rosnawati Rukhoyah Rukhoyah Saleh, Sugiyanto Santi, Nur Sari, Raisa Rahmi Seprianus, Seprianus Septi Farah Nurrahmah Septia Eka Anggun Yusnia Sholahuddin Al Ayubi Simorangkir, Sahat T. Siregar, Dian Cris Natalia Siti Sundari Soeparlan Kasyadi Solikodin Djaelani Sri Mei Prihatin Sugiyanto Saleh Suhaeni, Fitri Sumardi Sumardi Sumaryati Sumaryati Sumaryati Tjitro Sumarto Suparman, Heru Supeno Supeno Supiyatna Supiyatna Supriatna, Erwin Suryatin, Suryatin Susi Susanti Suswidyantoro, Roni Syahid Syarif Hidayat Syifa Afidah Nurul Arifin Tamara Primadona Taufik Taufik Tri Anita Tuti, Tuti Virgana Virgiana Virgiana Wahyu Puji Lestari Wasahua, Olos Widodo Widodo Widodo Wikurnia Wikurnia Winda Sofidiniawati Wulansari, Lusiana Yanti, Nur Dwi Yorman Kasman Yos Uly Yulinda Siregar Zai, Meti Putriwati