South Asian Research Journal of Business and Management (SARJBM)
Volume-6 | Issue-03
Original Research Article
Analysis of the Effect of Poverty and Economic Growth on the Human Development Index (HDI) in Kalimantan Island
Heriyansyah, Supriaman, Bustami
Published : June 15, 2024
Abstract
The Human Development Index (HDI) is a tool to assess the effectiveness of a development aimed at improving living standards and can be used as a measure of the status or level of progress of a particular region or country. According to data from the Central Bureau of Statistics (BPS), the poverty rate in Kalimantan Island has decreased between 2013 and 2023, although its economic growth tends to be unstable. However, the HDI in Kalimantan Island continues to experience a significant increase. This research applies quantitative methods with panel data regression analysis. This study was conducted to determine the effect of poverty and economic growth on HDI in Kalimantan Island. The findings of this study show that in Kalimantan Island, HDI is significantly affected by poverty, but not by economic growth. However, when analyzed together, poverty and economic growth have a significant influence on HDI in Kalimantan Island. Following up on the findings of this study, it is important to optimize the Human Development Index to increase the effectiveness of maximum development in Kalimantan Island.