PENGARUH FAKTOR TENAGA KERJA DAN PENGELUARAN PEMERINTAH TERHADAP PERTUMBUHAN EKONOMI DI KABUPATEN BATANG

Abstract

Batang regency is one of regencies in Central Java province which has the lowest economic growth rate compared to other areas in the region. Average economic growth of Batang during the last 4 years only amounted to 2.72%. On the other hand, the performance of some economic indicators such as labor and government spending (spending on routine and development expenditures) shows a fairly stable performance even in recent years experienced significant growth. The aim of this research was to analyze the effect of variable labor, routine expenditure and development expenditure to economic growth in Batang. Data used in this research is time series data (periodic data) from the years 1999-2008. The method used in this study is the Ordinary Least Square (OLS). The estimation results obtained showed that the variables of labor and routine expenditure has positive and significant impact on economic growth of Batang. Development expenditure has negative but not significant effect on economic growth in Batang. Keywords: economic growth, labor, routine expenditure, development expenditure, ordinary least square (OLS)