Abstract
Abstract This study aims to analyze the factors that affect poverty in Aceh Province. Labor Force Participation Rate (LFPR), Unemployment Rate, and economic growth are the dominant variables that affect Aceh’s poverty. The data used in this study is panel data in the period 2008- 2015 and analysis model used is multiple linear regression with fixed effect model. The results show that poverty in Aceh Province can be explained by the variables LFPR, unemployment rate and economic growth with R2 of 78.51 percent. The regression coefficient shows that the LFPR variable has a negative and significant on Aceh's Poverty level, the unemployment rate variable has a negative and not significant effect on Aceh's poverty level, while the economic growth variable has a positive and not significant effect on Aceh’s poverty level. The results of this study are expected to be an indicator of the government to choose policies that are suitable for reducing poverty in Aceh Province. Keywords : Poverty, Labor Force Participaton Rate (LFPR), Unemployment, Economic Growth, Fixed Effect Model.
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