Abstract
This study aims to determine the effect of Labor Force Participation Rate, Number of Motorized Vehicles, Number of Small and Medium Enterprises, number of tourist Visits, average per capita expenditure, Room Occupancy Rate, and Regional Original Revenue in 19 Cities and Regencies in West Sumatra in 2005-2018. The model used is the OLS method using panel data and using the statistical program e-views 10 for Windows. The results of the study showed either partially or simultaneously that: Labor Force Participation Rate, Number of Motorized Vehicles, Number of Small and Medium Enterprises, Number of Tourist Visits, Average per capita expenditure and Room Occupancy Rate to Regional Original Income are positive and significant. The largest contribution to Regional Original Revenue is Motorized Vehicles, while the lowest is the Hotel Room Occupancy Rate. The coefficient of determination or goodness of fit is 0.742869. The contribution of all independent variables in explaining the dependent variable is 74.29 percent. Other variables outside the research model explain the remaining 25.71 percent.
Highlights
In Indonesia, each region is given the right to carry out autonomy by providing broad, real and responsible authority that can guarantee regional development and development
Regional Original Revenue is obtained from sources within its territory which are collected based on regional regulations following applicable laws and regulations
Referring to the background described above, the purpose of this study is to find out how the influence of Labor Force Participation Rate, Number of Motorized Vehicles, Number of Small and Medium Enterprises, average expenditure per capita, and Room Occupancy Rate on the growth of regional original income either simultaneously or partial
Summary
In Indonesia, each region is given the right to carry out autonomy by providing broad, real and responsible authority that can guarantee regional development and development. Regional autonomy is the right, authority, and obligation of autonomous regions to regulate and manage their government affairs and the local community's interests following applicable laws and regulations. Law Number 23 of 2020 concerning Financial Balance between the Central Government and Regional Governments states that the sources of regional income consist of: (1) Regional Original Revenue; (2) Balancing funds include profit-sharing funds, general allocation funds, and special allocation funds; (3) Regional loans, (4) Other legitimate regional income. Regional Original Revenue is obtained from sources within its territory which are collected based on regional regulations following applicable laws and regulations. The amount of Regional Original Revenue can facilitate the implementation of regional development
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