Our study aims to determine the causality relationship between economic growth and income inequality. Using panel data set of 26 provinces from Indonesia for a period of 2005 to 2015, Pedroni's co-integration test, Panel Vector Error Correction Model, and Granger Causality Test were employed to analyze the relationship between the variables. Accordingly, the first main finding of the research is that there is a negative and significant relationship between the economic growth and income inequality in the long-run. Secondly, in the short run, the economic growth is positively and insignificantly related to income inequality. In addition, there is a unidirectional causality running from income inequality to economic growth.
The main purpose of our research study is to investigate the effect of road infrastructure and capital spending on employment creation. Using a panel dataset of 23 districts/city in Aceh province from 2011 to 2018 fixed-effect methods of a panel regression model is utilized to analyze the data set. The study found that road infrastructure and capital spending have a positive and significant effect on employment creation. This thing indicates that the existence of the road infrastructure and capital spending have become the main determinant of employment creation in Aceh. Therefore, local government in Aceh has to increase the road infrastructure to improve the economic activity of the community and allocating local government budget for capital spending effectively.
This study aims to analyze the effect of zakah revenues and job creation on poverty rates. Using a panel data set of 23 districts in Aceh for the period of 2011-2017, a fixed-effect method of the panel regression model and the Granger causality test was utilized to analyze the functional relationships between the three variables. The study found out that the zakah revenue and job creation have a negative and significant effect on poverty rates. However, the negative effect of job creation on poverty rates is greater than the negative effect of zakah revenues. The Granger causality test indicates that there is bidirectional causality between poverty rates and zakah revenues and between employment creation and poverty rates. Conversely, there is no causality between zakah revenues and job creations.
Village-owned enterprises (BUMDES) are village business institutions that are managed by the community and village government in an effort to strengthen the village economy and be formed based on the needs and potential of the village. In fact there are some villages that have succeeded in running and developing BUMDes, but there are still many BUMDES that are stagnant and even unproductive in Indonesia. The purpose of this study is to determine the conditions and governance of BUMDes that are successful and growing. The method used is a qualitative approach, this type of research uses literature studies by looking for theoretical references relevant to the case or problem found. The results of this study indicate that the Empowerment of Village Communities by the government through the Village Owned Enterprises (BUMDes) program is an appropriate and relevant effort to Indonesia which is geographically very broad and has diverse potential in each region and village. BUMDes can be the main wheel of economic drivers in the village. But, the acceleration is still not optimal, if seen from the number of BUMDes that succeed with the Number of Villages in Indonesia, it needs to be a common concern in order to improve and achieve goals
This study aims to analyze the effect of the zakat revenue on poverty by using the special autonomy fund (DOK) as a moderating variable. Using panel data of 15 districts from Aceh province from 2011 to 2016, Moderated Regression Analysis (MRA) was used to analyze the functional relationship. The study found that zakat revenue and DOK had a negative and significant effect on poverty reduction. The negative impact of DOK on poverty partially more significant compared to the negative impact of zakat revenue. The existence of DOK does not only play a role as a predictor variable but also moderates the effect of zakat revenue on poverty reduction in Aceh.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.