Analysis of the Effect of Gross Regional Domestic Product and Unemployment on the Number of Poor People in North Sumatra Province in 2005-2020

Abstract

Poverty is a problem that is quite important and very necessary to be eradicated. This study focuses on the problem of how the effect of economic growth and unemployment on poverty in North Sumatra Province. This study uses secondary time series data for 2005-2020 sourced from the Central Bureau of Statistics (BPS) of North Sumatra. The research results obtained are: (1) Economic growth (GDP) has a negative and significant effect on the number of poor people in North Sumatra Province. (2) Unemployment has a positive and significant effect on the number of poor people in North Sumatra Province. (3) Economic growth and unemployment have a simultaneous and significant effect on the number of poor people in North Sumatra Province. (4) The contribution of economic growth (GRDP) and unemployment to poverty in North Sumatra Province is 82.81%.