The Influence of Economic Factors on Poverty in Indonesia

Authors

  • Yulce Ketrina Karubuy Universitas Negeri Medan
  • Suriyani Br Ginting Universitas Negeri Medan
  • Siska Lumban Batu Universitas Negeri Medan

Keywords:

Poverty, Unemployment, Inflation, Economic Growth

Abstract

This study aims to analyze the influence of economic factors on poverty levels in Indonesia. The economic factors studied include unemployment, inflation, and economic growth as independent variables, with poverty as the dependent variable. This study uses a quantitative approach with a causal associative approach. The data used are secondary data obtained from the Central Statistics Agency and Bank Indonesia for the period 2015–2024.The analytical method used is multiple linear regression to determine the effect of each variable on poverty, both partially and simultaneously. The results show that unemployment and inflation have a positive and significant effect on poverty, while economic growth has a negative and significant effect on poverty. Furthermore, all three variables simultaneously have a significant effect on poverty levels in Indonesia.These findings demonstrate that macroeconomic conditions play a crucial role in determining the level of public welfare. Therefore, integrated policies are needed to reduce unemployment, maintain inflation stability, and encourage inclusive economic growth to reduce poverty in Indonesia.

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Published

2026-04-16

Issue

Vol. 5 No. 1 (2026): April 2026

Section

Articles

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