Pengaruh Kualitas Kelembagaan Pemerintah Daerah terhadap Income Per Kapita Provinsi di Indonesia
DOI:
https://doi.org/10.62007/joumi.v4i3.916Keywords:
Education Expenditure Function, Geographical Factors, Health Expenditure Function, Per Capita Income, Regional Heads' Party AffiliationAbstract
This study aims to analyze the effects of regional heads' party affiliation, education expenditure function, health expenditure function, and geographical factors on per capita income in Indonesia. This study employed a quantitative approach with an explanatory research design. The data used were panel data consisting of 34 provinces in Indonesia during the period 2015–2025 and were obtained from Statistics Indonesia (BPS), the Directorate General of Fiscal Balance of the Ministry of Finance, and official political documentation sources. Data analysis was conducted using panel data regression through the Common Effect Model (CEM), Fixed Effect Model (FEM), and Random Effect Model (REM). Model selection was carried out using the Chow test and Hausman test, which indicated that the Fixed Effect Model was the most appropriate model. The results show that regional heads' party affiliation has no significant effect on per capita income. The education expenditure function has a positive and significant effect on per capita income, while the health expenditure function also has a positive and significant effect on per capita income. Geographical factors significantly affect per capita income as well. Simultaneously, regional heads' party affiliation, education expenditure function, health expenditure function, and geographical factors have a significant effect on per capita income. These findings indicate that investment in education and health sectors, as well as geographical characteristics, play an important role in improving regional economic welfare reflected by higher per capita income.
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