Pengaruh Pendapatan Asli Daerah, Belanja Modal, Investasi Daerah, Dana Bagi Hasil, dan Dana Alokasi Umum terhadap Pertumbuhan Ekonomi pada KabupatenKota di Provinsi Sumatera Utara Tahun 2017-2021

Abstract

This study aims to determine the effect of local own revenue, capital expenditure, regional investment, profit sharing fund, and general allocation fund on economic growth of regency/city in North Sumatra Province in year 2017-2021. Regional autonomy has provided space as freely as possible for regions to use all available resources responsibly, so that it is hoped that they could drive their potential to increase regional economic growth. This research was conducted in North Sumatra Province, using a purposive sampling method on 21 regencies/cities as sample, consisting of 19 regencies anad 2 cities, for the 2017-2021 period, so that total of 105 samples were obtained. The data used were panel data, processed using multiple linear regression analysis tehcniques and analyzed by descriptive statistical analysis through the classical assumption test. Hypothesis testing is done to prove the hypothesis that has been determined before to the results of the research regression. The results of the study showed that partially, local own revenue has a positive and significant effect on economic growth, regional investment has a positive and insignificant effect on economic growth, and capital expenditure, profit sharing fund, and general allocation fund insignificant effect on economic growth. Simultaneously, local own revenue, capital expenditure, regional investment, profit sharing fund, and general allocation fund has a positive and insignificant effect on economic growth.