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GNP, Inequality, and Education: An Empirical Study of Rural Poverty Lola Oktaviani; I Wayan Suparta
International Journal of Economics and Management Sciences Vol. 2 No. 2 (2025): May : International Journal of Economics and Management Sciences
Publisher : Asosiasi Riset Ekonomi dan Akuntansi Indonesia

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.61132/ijems.v2i2.729

Abstract

This study aims to analyze the effect of Agricultural GDP, Gini Ratio, and Education in influencing poverty in western Indonesia. A panel data model with Fixed Effect Model estimation was used for data of 17 provinces from 2019 to 2023. The results showed that partially the Agricultural sector GRDP had a significant negative effect, inequality with the Gini Ratio indicator had a significant positive effect, while education with the average years of schooling indicator had a negative but insignificant effect. These findings indicate that an increase in agricultural output and education can reduce poverty, while high income inequality can worsen poverty conditions in rural areas.
Determinants of Rural Poverty in Western Indonesia 2019-2023 I Wayan Suparta; Lola Oktaviani
International Journal of Economics and Management Sciences Vol. 2 No. 2 (2025): May : International Journal of Economics and Management Sciences
Publisher : Asosiasi Riset Ekonomi dan Akuntansi Indonesia

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.61132/ijems.v2i2.730

Abstract

This study aims to analyze the effect of Farmer Exchange Rate (NTP), agricultural labor, and education on the rural poverty rate in western Indonesia during the 2019-2023 period. Using panel data from 17 provinces and the Fixed Effect Model (FEM) method, the results show that the three independent variables have a negative and significant effect on rural poverty. These findings identify that improving farmers' welfare, optimizing labor in the agricultural sector, and improving education can be effective strategies in reducing poverty in rural areas.