Peran Belanja Modal Pemerintah Dan Investasi Pembangunan Manusia Dalam Mengurangi Tingkat Kemiskinan Di Indonesia

Abstract

Poverty is a measure of socio-economic conditions in assessing the success of
development undertaken by a government in a region. There are many negative impacts
resulted from poverty, among others, social and economic problems. People who live in
poverty usually suffer from malnutrition, poor health, high illiteracy rates, are in poor
environment and in lack of access to infrastructure and adequate public services. The
purpose of this study was to analyze the impact of human development and government
capital expenditure on reducing poverty in Indonesia. The model was estimated by using
2SLS method. Several simulations was also conducted to look at the impact of the
allocations of government expenditure on health, education and government capital
expenditure on reducing poverty. The results showed that government capital expenditure
and human development have significant impacts on reducing poverty in Indonesia with
government expenditure on education gives the greatest impact.