This study aims to examine the effect of GRDP per capita, inequality of income distribution, unemployment, and HDI on poverty. The dependent variable of the study is poverty, while the independent variable used is the GRDP per capita, income distribution inequality, unemployment, and HDI. This research was conducted in Batu Bara Regency and Medan City in the 2004-2018 period. The research data were obtained by accessing the Central Statistics Agency (BPS) website. The method of data analysis uses multiple linear regression analysis. The analysis shows that unemployment is negative and significant towards poverty. Meanwhile, per capita GRDP, income distribution inequality, and HDI have a negative and not significant effect on poverty. This study also found interesting findings, that the equality that occurred in Batu Bara Regency and Medan City was equalization in poverty not equality in welfare. Then, unemployment in Batu Bara Regency and Medan City is likely to be dominated by residents in the upper middle class who have completed Education at the senior secondary level and above.

This research aims to analyze the regional GDP per capita convergence on the big five islands in Indonesia, which is Sumatera, Java, Borneo, Celebes, and Moluccas and Papua during period 2012-2021. Analyzed convergence included Sigma Convergence, Absolute Beta Convergence, and Conditional Beta Convergence. Data that is used in this research is Panel Data. Data analysis technique is Panel Data Analysis Method with Fixed Effect Model (FEM) approach. Results of the analysis show that the convergence the regional GDP per capita convergence on the big five islands in Indonesia is happened during period 2012-2021, meaning there is an indication that income dispersion between Sumatera, Java, Borneo, Celebes, and Moluccas and Papua is becoming smaller. Next, the results show that the beta absolute and conditional convergence is happened, which indicates that income growth per capita for the underdeveloped islands is higher than the advanced economic development islands, pushing for a convergent economic. Population growth and capital expenditure are variables that significantly affect in accelerating this convergence.