ANALISIS PENGARUH BELANJA MODAL PEMERINTAH DAERAH ,TENAGA KERJA TERSERAP DAN INDEKS PEMBANGUNAN MANUSIA TERHADAP PERTUMBUHAN EKONOMI DAN KEMISKINAN (Studi kasus 35 kabupaten / kota di Provinsi Jawa Tengah)

Abstract

The aimsof this study are to examine the effect of capital expenditures of local governments, labor absorption and the Human Development Index on economic growth and poverty in 35 districts / cities in Central Java Province. This study
uses secondary data. There are variable capital expenditures of local governments, labor absorption and the Human Development Index as an exogenous variable, while economic growth and poverty level as an endogenous variable. This
study uses panel data which combines time series data and cross section. These data were analyzed using Structural Equation Modeling with AMOS 20 program. The results showed that the four proposed hypothesis are accepted and the
hypothesis is rejected. Hypothesis 1 suggests that the local government capital expenditure significantly positive effect on economic growth. Hypothesis 2 suggests that the labor absorption significantly positive effect on economic growth.
Hypothesis 3 suggests that the Human Development Index significantly positive effect on economic growth. Hypothesis 4 suggests that economic growth no significant effect on poverty. Hypothesis 5 suggests that the Human Development Index is significantly negative effect on poverty

Keywords: Capital expenditures of local governments, labor absorpsion, Human Development Index, economic growth, poverty, structural equation model (SEM)