Local Economic Advancement & Development Research
Vol. 1 No. 1 (2026): Journal of Local Economic Advancement & Development Research

Household Income and Multidimensional Well-Being in Rural Indonesia: Empirical Evidence from Pungut Hilir Village

Zamzari (Sekolah Tinggi Ilmu Ekonomi Sakti Alam Kerinci)



Article Info

Publish Date
01 May 2026

Abstract

The main objective of this research is to analyze and empirically test the influence of household income on the level of community welfare in Pungut Hilir Village, Kerinci Regency. Welfare is measured as a multidimensional concept encompassing the fulfillment of basic needs, access to health and education, and housing conditions. The research uses a quantitative approach with an explanatory research method. The research population consists of all 299 Heads of Households (KK) in the village, and the sampling technique employs a census, meaning the entire population serves as respondents. Primary data was collected through questionnaires and analyzed using simple linear regression analysis. The results indicate that there is a positive and significant influence of household income on community welfare. The resulting regression equation is Ŷ = 45.120 + 0.008X, meaning that for every increase in income of IDR 1,000,000, the welfare index increases by 8 points. Statistical test results strengthen this finding with a t-count value of 21.524 (sig. 0.000) and an F-count value of 463.270 (sig. 0.000). The coefficient of determination (R²) of 0.612 indicates that the income variable can explain 61.2% of the variation in welfare, while the remaining 38.8% is explained by factors outside the model. The research conclusion affirms that household income is a key determinant of material welfare, but achieving holistic welfare requires integration with policies that strengthen non-economic dimensions, such as education, health, and social capital.

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Local Economic Advancement & Development Research is an open-access, peer-reviewed scholarly journal dedicated to disseminating high-quality research, analytical studies, and empirical investigations in the field of local and regional economic development. The journal serves as an academic forum for ...