The economic development of  region is series of activities carried out consciously and continuously to realize  better and more shared situation. Some of factors that cause decline in poverty levels are government spending, investment, economic growth. By looking at the decline in poverty rates in Bali, the researchers want to conduct research on the effects of government spending and investment on economic growth and poverty levels. Data collection through BPS. Path analysis was used. The results of the analysis show that government spending and investment have a positive and significant direct influence on economic growth. Government expenditures have a negative and significant direct influence on poverty levels. Investment has a positive but not significant direct influence on poverty levels and economic growth has a positive and significant direct influence on poverty levels. Government spending and investment do not have an indirect effect on the level of poverty through economic growth.

This paper examines the relationship between orange economy activity which is an activity that allow for ideas to be transformed into cultural goods, local genius, place identity, cultural policies, and sustainability intangible cultural heritage (ICH) of Balinese handwoven textiles. A questionnaire survey was administered to 145 respondents. Partial Least Squares-Structural Equation Modelling (PLS-SEM) was applied to the resultant data using SmartPLS 3.0 software. The result revealed local genius, orange economy activity, and place identity have positive and significant influence on sustainability ICH of Balinese handwoven textiles. A positive and significant direct effect between local genius and place identity to the orange economy activity was also found. The result also proved that the orange economy mediates the relationship between local genius and place identity on sustainability. Moreover, cultural policies moderates the relationship between orange economy and sustainability. Our findings might also be relevant to sustainability Bali’s ICH to strengthening the involvement of cultural industry through orange economy activity, in enhancing their place identity and local genius, in supporting and promoting the sustainability ICH of Balinese handwoven textiles. Furthermore, the role of government through cultural policies might also relevant as moderating effect the relationship between orange economy activity and sustainability of ICH.

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The main goal of development reduces the gap in society, the main challenge of development in our time is the challenge of inclusion. The concept of development for Bali should be adapted to the potential and conditions of Bali itself, always looking closely at the changing gaps that occur all the time. The tourism sector is a potential development to develop. The tourism sector in Bali province is the income-generating sector. The development of tourism sector in Bali spread throughout the district / city, one of which is Gianyar regency. Development of development in tourism sector should be done continuously (sustainable) by utilizing local community as a manager, so as not to shift the tourism paradigm in areas rich in customs, natural potential (rice fields, mountains and sea).                Analytical technique used is the analysis of structural equations with alternative Partial Least Square (PLS). The result of research shows that the R Square coefficient value of 0.685 means that 68.5 percent of the variation in the quality of Community Based Tourism can be explained by the variation of the quality of social capital, tourism potential, and community empowerment, while the rest of 31.5 percent is explained by other variables not included in the model. Social capital, empowerment and tourism potential has a positive and significant impact on the quality of Community Based Tourism (CBT). The empowerment variable moderate the influence of social capital and tourism potential to community based tourism (CBT) in Gianyar, Sukawati and Blahbatuh Subdistricts.

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