Factors that Affect Poverty Areas in North Sumatera Using Discriminant Analysis

Abstract

In Indonesia, especially North Sumatera, the problem of poverty is one of the fundamental problems that become the focus of government both central and local government. Although the poverty rate decreased but the fact is there are many people who are poor. Poverty happens covers several aspects such as education, health, demographics, and also structural and cultural. This research will discuss about several factors such as population density, Unemployment Rate, GDP per capita ADHK, ADHB GDP per capita, economic growth and life expectancy that affect poverty in Indonesia. To determine the factors that most influence and differentiate the level of poverty of the Regency/City North Sumatra used discriminant analysis method. Discriminant analysis is one multivariate analysis technique are used to classify the data into a group based on the dependent variable and independent variable. Using discriminant analysis, it is evident that the factor affecting poverty is Unemployment Rate.