Effects of the Human Development Index and Unemployment Rate on Poverty in Sumatra

Authors

  • Dwi Agni Reisha Ningrum Faculty of Economics and Business, Universitas Syiah Kuala, Indonesia
  • Wisnu Satria Faculty of Economics and Business, Universitas Syiah Kuala, Indonesia
  • Mirzatul Kadri Faculty of Economics and Business, Universitas Syiah Kuala, Indonesia
  • Kamal Fachrurrozi Faculty of Economics and Business, Universitas Syiah Kuala, Indonesia
  • Ichwan Ichwan Faculty of Economics and Business, Universitas Syiah Kuala, Indonesia
  • Muhammad Ridha Adhari Faculty of Engineering, Universitas Syiah Kuala, Indonesia

Keywords:

Poverty, Human Development Index , Unemployment Rate , Random Effects Model

Abstract

This study analyzes the effects of the Human Development Index (HDI) and the Unemployment Rate (OUR) on poverty across 10 provinces in Sumatra during 2015–2024. The study uses secondary data from Statistics Indonesia (BPS) organized as panel data and applies the Random Effects Model (REM). The results show that the HDI has a significant negative effect on poverty, whereas the OUR has a significant positive effect on poverty in Sumatra. Taken together, HDI and OUR also have a significant effect on poverty. These findings indicate that improving human capital and expanding employment opportunities can contribute to reducing poverty levels in Sumatra.

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Published

2026-11-01

How to Cite

Ningrum, D. A. R. ., Satria, W., Kadri, M. ., Fachrurrozi, K. ., Ichwan, I., & Adhari, M. R. . (2026). Effects of the Human Development Index and Unemployment Rate on Poverty in Sumatra. Journal of Applied Research in Economics and Business, 1(2), 1–10. Retrieved from https://jpaceh.org/index.php/JAREB/article/view/450

Issue

Vol. 1 No. 2 (2026): JAREB

Section

Articles