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The Influence of Regional Expenditures and Allocation of Funds on Regional Development In Simalungun Regency

Authors
  • Veronika Hanna Anggreani Hutagalung Program Studi Ekonomi Pembangunan, Fakultas Ekonomi dan Bisnis Universitas Sumatera Utara, Medan 20155, Indonesia
  • Sya’ad Afifuddin Sembiring Program Studi Ekonomi Pembangunan, Fakultas Ekonomi dan Bisnis Universitas Sumatera Utara, Medan 20155, Indonesia
Issue       Vol 8 No 1 (2025): Talenta Conference Series: Local Wisdom, Social, and Arts (LWSA)
Section       Articles
Section      

Copyright (c) 2025 Talenta Conference Series

Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
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DOI: https://doi.org/10.32734/lwsa.v8i1.2395
Keywords: Direct Expenditure Indirect Expenditure Allocation of Funds GDRP Regional Development
Published 2025-02-28

Abstract

This research aims to determine how direct expenditure, indirect expenditure, and allocation of funds affect regional development based on GRDP in Simalungun Regency. And to find out whether there is an effect of direct spending, indirect spending, and allocation of funds simultaneously on regional development based on GRDP in Simalungun Regency. This research uses multiple linear regression analysis methods and statistical test analysis tools, namely the coefficient of determination test, partial test (t test), and simultaneous test (F test). The data used is data on GRDP, direct expenditure, indirect expenditure, and fund allocation of Simalungun Regency in 2013-2022 which is interpolated into 40 data. The results of this research are that the direct expenditure variable has a negative and significant effect on regional development based on the GRDP of Simalungun Regency. The indirect expenditure variable has a positive and significant effect on regional development based on GRDP in Simalungun Regency. The fund allocation variable has a positive and significant effect on regional development based on GRDP in Simalungun Regency. Direct expenditure, indirect expenditure, and fund allocation simultaneously affect regional development based on GRDP in Simalungun Regency.