The Influence of Direct Spending, Indirect Spending on Gross Regional Domestic Product (GRDP) in Samosir Regency

Abstract

Economic development is an economic effort that aims to increase economic activities to progress towards a better Indonesian society that is fair, more advanced, prosperous, has potential, quality, and has a great spirit for the formation of economic change. Economic growth is the potential for increased economic development in a region. Economic growth is a situation in which the population of a country and its region increases in income, causing the production prices of goods and services to rise. This research aims to determine the effect of direct spending and indirect spending on Gross Regional Domestic Product (GRDP) in Samosir district. The approach taken in this research is a quantitative approach. The type of data in this research is time series data from 2007 to 2021. The analysis method used is Multiple Linear Regression. The results of the analysis show that simultaneously (direct expenditure and indirect expenditure) have a significant influence on the dependent variable (GRDP of Samosir Regency). Partially it is found that the direct expenditure variable has no effect on Gross Regional Domestic Product (GRDP) in Samosir Regency. Meanwhile, the expenditure variable does not directly have a positive and significant influence on Gross Regional Domestic Product (GRDP) in Samosir district.