Analyzing The Impact of Expenditure on Health and Education, Gross Regional Domestic Product, and Poverty on Human Development Index in Indonesia

Abstract

This research aims to analyze the impact of government spending on health and education, gross regional domestic product (GRDP), and poverty levels on the Human Development Index (HDI) in 34 provinces in Indonesia from 2017 to 2021. Secondary data comes from the Central Statistics Agency, Directorate General of Fiscal Balance, Ministry of Finance, and other trusted sources. The panel data covers a wide period and area, namely the 2017-2021 period and 34 provinces in Indonesia. The data includes information on HDI, government spending on health and education, GRDP, and poverty levels. The analysis was carried out using EViews 12 software. The results showed that the poverty level had a significant negative impact on HDI. In contrast, GRDP, government spending on health and education had a significant positive impact on HDI in 34 Provinces in Indonesia during the 2017-2021 period. These findings provide important insights for policymakers in improving human development in Indonesia.