Proceeding of The International Conference on Economics and Business
Vol. 1 No. 2 (2022): Proceeding of The International Conference on Economics and Business

Convergence Analysis of Economic Growth on Sumatra Island

Darwin Damanik (University of Sumatera Utara)



Article Info

Publish Date
08 Dec 2022

Abstract

This study aims to determine the level of convergence of economic growth in Sumatra Island from 2015 to 2021. The data used are secondary data sourced from the Central Agency. Statistics. The analysis used in this research is Regression Test Analysis, Partial Test (t-test), and Simultaneous Test (F test). The third model is used to see the level of convergent beta on the island of Sumatra. The results of data analysis show that both per capita PDRB and PDRB growth show the level of convergence that occurs is greater than zero (> 0). This means that the growth of PDRB per capita and PDRB between provinces on the island of Sumatra tends to diverge. Economic growth in poor areas is still relatively slow compared to rich areas. The results of research conducted in 10 provinces on the island of Sumatra for the period 2015-2021 have an absolute convergence speed (economic growth) of 0.587670 which means that there has been a convergence speed of economic growth at absolute convergence on the island of Sumatra.

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Journal Info

Abbrev

iceb

Publisher

Subject

Economics, Econometrics & Finance

Description

Proceeding of The International Conference on Economics and Business is published by the Faculty of Economics, UKI Toraja. Topics in this Journal relate to any aspect of Management, Economics and Business. This journal is published 1 year 2 times (June and ...