The Effects of Water Supply, Road, and Electricity Infrastructure on Economic Growth and Income Inequality in Indonesia 2011-2016

Nadya, Farina Wahyudi (2018) The Effects of Water Supply, Road, and Electricity Infrastructure on Economic Growth and Income Inequality in Indonesia 2011-2016. Diploma thesis, Universitas Andalas.

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Abstract

This study examines the effect of infrastructure variables to economic growth and income inequality in 33 provinces of Indonesia. The data used is total distributed of water per capita, total length road per capita and total distributed electricity per capita as independent variables and economic growth as dependent variable. While, the data used for income inequality is GINI coefficient as dependent variables and household access to water, total length road per region, and household access to electricity as independent variables. This study uses Panel Data analysis. This result show that water supply, road and electricity have a positive effect and significant on economic growth. Meanwhile, Water supply has a negative effect and significant on income inequality, Road is not significant and electricity give positive effect and significant on income inequality. Keywords: Infrastructure, Economic Growth, Income Inequality, GINI coefficient, Panel Data

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