Analysis of Poverty Determinants in North Sumatra Province

Abstract

Poverty is a complex problem faced in every country. This research aims to determine the effect of economic growth, population, open unemployment rate and health level on poverty levels in the districts/cities of North Sumatra Province in 2018-2022. This research aims to determine the influence of Economic Growth, Population, Open Unemployment Rate and Health Level on Poverty in Districts/Cities of North Sumatra Province. The type of data used in this research is quantitative data and the data used is data in the form of numbers, namely secondary. This data is then processed using eviews 12 and analyzed using panel data analysis techniques with FEM (fixed effect model) which is selected based on the results of the chow test and Hausman test. The estimation results show that the economic growth variable has a positive and insignificant effect on the poverty level in the districts/cities of North Sumatra Province. The variable population size has a positive and insignificant effect on the poverty level in the districts/cities of North Sumatra Province. The open unemployment rate variable has a positive and significant effect on the poverty level in the districts/cities of North Sumatra Province. The health level variable using the Life Expectancy Rate (AHH) indicator has a negative and significant effect on the poverty level in the districts/cities of North Sumatra Province.