This study aims to analyze the influence of Local Government Expenditure (LGE) and the Open Unemployment Rate (OUR) on economic growth across regencies and cities in Central Sulawesi Province during the 2020–2024 period, examining both partial and simultaneous effects. A quantitative approach with a descriptive-associative design was employed. The study utilized secondary panel data covering 13 regencies/cities over a five-year observation period, resulting in 65 observations. The sample was determined using the saturated sampling method. Data were obtained from the Central Sulawesi Province Central Statistics Agency (CSA), the Directorate General of Fiscal Balance, and other relevant institutions. Analysis was conducted using panel data regression via EViews 12 software. Prior to model selection, classical assumption tests were performed; the optimal model was then determined through the Chow Test and Hausman Test and subsequently used as the basis for hypothesis testing. The results indicate that, simultaneously, Local Government Expenditure and the Open Unemployment Rate have a significant influence on economic growth; however, regarding partial effects, Local Government Expenditure has a positive impact, whereas the Open Unemployment Rate has a negative impact on economic growth in the regencies and cities of Central Sulawesi Province. These findings demonstrate that the effective management of local government expenditure and increased labor absorption are crucial factors in driving sustainable economic growth.
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