Analysis of the Effect of Unemployment Inflation and Population on Poverty (Data Study of North Sumatra Province)

Nasution AR, Arismunandar MF, Muda I, Soemitra A and Sugianto S

Published on: 2024-08-03

Abstract

This study aims to analyze the effect of open unemployment, inflation, and population on poverty in North Sumatra. The data used in this study is secondary data obtained from the Central Bureau of Statistics (BPS) and other relevant sources during a certain period. The analysis method used is multiple linear regression to identify the relationship between the independent variables (open unemployment, inflation, and population) and the dependent variable (poverty). The results show that open unemployment has a positive significant effect on poverty, which means that an increase in the unemployment rate will increase the poverty rate. Inflation was also found to have a significant influence on poverty, where an increase in inflation tends to increase the poverty rate. In addition, population has a positive significant effect on poverty, which suggests that population growth that is not matched by an increase in employment opportunities and income can increase the poverty rate. These findings provide important implications for policymakers in North Sumatra to focus on strategies to reduce unemployment, control inflation, and manage population growth in an effort to reduce poverty in the region.