Sebelas Maret Business Review
Vol 8, No 1 (2023): June 2023

What determines the number of poverty-stricken people in Indonesia?

Rina Manasika (Universitas Gadjah Mada)
Agata Sandra Naomi (Universitas Gadjah Mada)
Rahayu Tri Utami (Universitas Gadjah Mada)



Article Info

Publish Date
28 Jun 2023

Abstract

Poverty is seen as a condition where basic rights are not fulfilled as a mandatory condition for carrying out a dignified life for the community. This research was conducted with the aim of analyzing and obtaining empirical evidence of how the provincial minimum wage (Upah Minimum Provinsi-UMP), Real Per Capita GRDP, and the open unemployment rate (Tingkat Pengangguran Terbuka-TPT) can affect the number of poverty-stricken people in Indonesia in 2020. The method used in this research is quantitative, namely the Ordinary Least Square (OLS) technique, with secondary data obtained from the official website source of the Indonesian Central Bureau of Statistics (BPS), which is processed using EViews 12 software.  The final results of the research showed that partially the UMP and Real Per Capita GRDP variables have a significant effect on the number of poverty-stricken people in Indonesia in 2020, while TPT has no significant effect. However, when all three variables were tested simultaneously, the results showed that there was a significant effect on the number of poverty-stricken people in Indonesia in 2020. Another result that was also shown in this study is the coefficient of determination (R2) at 0.7694 which means that 77% of the information needed to predict the dependent variable can be explained by all of the independent variables in this study.

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Journal Info

Abbrev

SMBR

Publisher

Subject

Decision Sciences, Operations Research & Management Economics, Econometrics & Finance

Description

SMBR publishes both empirical and non-empirical (contextual, descriptive, case-study) articles emphasizing on the recent business issues nationally or internationally. To cope with the current advancement of publishing world especially in academic journal article, SMBR follows the modern-style of ...