Abstract

IPM (The Human Development Index) is an indicator in measuring the level of success in improving the quality of human life and determining the rank/level of development of a region. Increasing human resources is also interpreted as increasing the basic capabilities of the population, therefore increasing opportunities to be able to participate in the human development process which requires several basic indices such as spending, education, and health. How is the allocation of regional revenues (Special Allocation Funds, General Allocation Funds, and Local Own Revenue) in the success of human development in matters of infrastructure, health, and education which is one of the important roles of regional regulations in efforts to increase human development. This research was conducted with the aim of knowing "the effect of special allocation funds, general allocation funds and Local Own Revenue on the human development index in North Sumatra Province". Secondary data in the form of panel time series regression data for 2015-2019 from 8 Cities and 25 Regencies in North Sumatra Province was used as a data source by researchers and then analyzed using the FEM (Fixed Effect Model) model. The conclusion that the researchers obtained stated "partially Special Allocation Funds, General Allocation Funds and Local Own Revenue partially have a positive and significant effect on the Human Development Index in North Sumatra Province and simultaneously Special Allocation Funds, General Allocation Funds and Local Own Revenue have a positive effect and significant to the Human Development Index in North Sumatra Province.

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