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  • P-ISSN2765-6934
  • E-ISSN2765-7027
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ISSN : 2765-6934

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Vol.12 No.2

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Inclusive Growth Analysis in Central Sulawesi, The Eastern Province of Indonesia 2015-2019

Asian Journal of Business Environment / Asian Journal of Business Environment, (P)2765-6934; (E)2765-7027
2022, v.12 no.2, pp.1-12
Andhika Dimas PRAKOSO (Badan Pusat Statistik)
Neli AGUSTINA (Politeknik Statistika STIS)
Andhika, D. P. , & Neli, A. (2022). Inclusive Growth Analysis in Central Sulawesi, The Eastern Province of Indonesia 2015-2019. Asian Journal of Business Environment, 12(2), 1-12.

Abstract

Purpose: This study aims to analyze the inclusive growth in Central Sulawesi Province, an eastern province of Indonesia, up to the districts/cities level. The inclusive growth is analyzed by using Ramos, Ranieri, and Lammens’ index that has three indicators which are employment, poverty, and income inequality. Research design, data, and methodology: This study uses panel data of 13 districts/cities in Central Sulawesi Province from 2015 to 2019. The statistical regression used is the panel regression method to analyze the determinants of inclusive growth there. Results: The study found that the average inclusive growth of districts/cities in Central Sulawesi is increasing from the low-level in 2015 to mid-level in 2019. The panel's data regression using fixed effect model FGLS-SUR found Investment (GFCF), Road Infrastructure, HDI, and Processing Industry have a significant positive effect. Regional minimum wage (RMW) has a significant negative effect. Government Expenditure on Education and Health Function has no significant positive effect on inclusive growth. Conclusions: throughout the study period, gini coefficient and poverty rate is slowly decreasing, while employment to population ratio remains volatile in districts/cities of Central Sulawesi.

keywords
Economic Growth, Indonesia, Inclusive Growth, Panel Regression, Trickle-down Effect

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