Proceedings of the First Lekantara Annual Conference on Public Administration, Literature, Social Sciences, Humanities, and Education, LePALISSHE 2021, August 3, 2021, Malang, Indonesia

Research Article

Can Dependence on Special Autonomy Funds Solve Poverty?

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  • @INPROCEEDINGS{10.4108/eai.3-8-2021.2315156,
        author={Marfian Rizky Ersanta and Nirdukita  Ratnawati},
        title={Can Dependence on Special Autonomy Funds Solve Poverty?},
        proceedings={Proceedings of the First Lekantara Annual Conference on Public Administration, Literature, Social Sciences, Humanities, and Education, LePALISSHE 2021, August 3, 2021, Malang, Indonesia},
        publisher={EAI},
        proceedings_a={LEPALISSHE},
        year={2022},
        month={1},
        keywords={special autonomy fund; gross domestic regional product; poverty},
        doi={10.4108/eai.3-8-2021.2315156}
    }
    
  • Marfian Rizky Ersanta
    Nirdukita Ratnawati
    Year: 2022
    Can Dependence on Special Autonomy Funds Solve Poverty?
    LEPALISSHE
    EAI
    DOI: 10.4108/eai.3-8-2021.2315156
Marfian Rizky Ersanta1,*, Nirdukita Ratnawati1
  • 1: Universitas Trisakti, Jakarta, Indonesia
*Contact email: ersanta.marfian@gmail.com

Abstract

Aceh Province as one of the provinces that has high poverty in Indonesia has a special characteristic with the Special Autonomy Fund transferred from the Central Government. However, the poverty rate in Aceh Province is 15%, far from the national poverty average of 9.2% in 2019. Therefore, the aim of this study is to determine the effect of Regional Original Income, Special Autonomy Funds, and Gross Regional Domestic Product to the number of poor people in 23 Regencies / Cities in Aceh Province. This research uses panel data regression analysis method with Fixed Effect Model. The results of the study show that local revenue and Gross Regional Domestic Product has a significant effect on reducing poverty in districts / cities in Aceh Province. Meanwhile, the Special Autonomy Fund has a positive and significant impact on poverty in 2011-2019 which needs to be studied further in terms of its causes.