Purpose: This study aims to analyze the impact of education and health investment on economic growth in Palopo. Methodology: This research was conducted in Palopo using time-series data for 2010–2024. Secondary data sources were obtained from the Regional Revenue and Expenditure Budget (Anggaran Pendapatan dan Belanja Daerah/ APBD) documents of Palopo City published by the Finance Department, as well as economic growth rate data measured by the Gross Regional Domestic Product (GRDP) from the official publication of the BPS of Palopo City. Multiple linear regression was used for the analysis. Data processing was performed using SPSS version 27. Results: Education investment has a positive but insignificant effect, whereas health investment has a significant negative effect. Simultaneously, both variables have a significant impact on the economic growth. The coefficient of determination value of 0.492 indicates that 49.2% of the variation in economic growth can be explained by this model. Conclusions: Investment in education and health plays an important role in influencing economic growth, although individually, they show different results. Limitations: This research has limitations because it only uses two independent variables that focus solely on the realization data of the regional budget (APBD) and is limited to the region and the period from 2010 to 2025. Contributions: This study extends contemporary Human Capital Theory and Endogenous Growth Theory by revealing the differing relationships of education and health investment with regional economic growth, offering theoretical insights and practical implications for public budget allocation.
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