Abstract

The goal of this research is to analyze the effect of capital, labor, length of business, education, and working hours on the empal gentong business income in Cirebon and to analyze which variable has the most effect on that income. We surveyed 30 business owners of empal gentong in Cirebon. The method using in this research is multiple linear regression. This result concludes capital, labor, length of business, education, and working hours have a positive and significant effect jointly on empal gentong business income. The analysis result in partially is capital and length of business have significant effect. Meanwhile, variables of labor, education and working hours have no significant effect on empal gentong business income. From these five variables, the most influential variable on empal gentong business income is the capital variable.Keywords: Income, Capital, Labor, Length of Business, Education, Working Hours

Highlights

  • Economic development aims to increase per capita income, and to ensure an equitable distribution of income for the whole society

  • This study examines the factors that affect the income of Empal Gentong entrepreneurs in Cirebon City

  • If capital increases by one percent. income would increase by 0.552 percent assuming other variables remained constant

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Summary

Introduction

Economic development aims to increase per capita income, and to ensure an equitable distribution of income for the whole society. Increasing economic development in a country can be through the role of entrepreneurs in the economic activities of a country. This statement is in line with the opinion of Todaro (2012), which. Economic development in a country can be seen from the role of Micro, Small and Medium Enterprises (MSMEs). The category of MSMEs based on total assets and turnover can be categorized into 3, namely micro, small and medium enterprises (Undang-Undang No 20 Tahun 2008)

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