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Analysis of the Influence of the Industrial Sector on the Gross Regional Domestic Product of the Medan City

Authors
  • Swanto Gunawan Situmorang Universitas Sumatera Utara, Medan 20155, Indonesia
  • Coki Ahmad Syahwier Universitas Sumatera Utara, Medan 20155, Indonesia
Issue       Vol 8 No 1 (2025): Talenta Conference Series: Local Wisdom, Social, and Arts (LWSA)
Section       Articles
Galley      
DOI: https://doi.org/10.32734/lwsa.v8i1.2407
Keywords: GDP Output Value Industries Employed
Published 2025-02-28

Abstract

This study analyses the impact of the industrial sector on the regional gross domestic product (GDP) in Medan City. The data type for this study is quantitative, and secondary data from the Central Statistics Agency (BPS) of Medan City and North Sumatra Province are used. The analytical method used in this research uses E-views and is analysed using simple linear regression with a time series from 1993 to 2022. The dependent variable in this study is the GDP of Medan City, while the independent variables include the output value of large and medium-sized industries and the number of employees in the large and medium-sized industry sector. The test results indicate that the output value of industry has a positive and significant effect on the regional gross domestic product (GDP) in Medan City, while the manufacturing labour force has a negative effect. At the same time, both the output value of industry and labour have a significant effect on the Gross Domestic Regional Product (GDP) in Medan City.