The Role of Human Capital in improving Regional Economic Growth in East Nusa Southeast

Abstract

The purpose of this study is to analyze the influence of human capital on regional economic growth in East Nusa southeast in 2016-2021. The data used in this research is secondary data. The data in this study are in the form of data documentation from Central Bureau of Statistics (BPS). The analytical tool used is panel regression with the GLS fixed effect model method. The results of this study are human capital variables, namely life expectancy and the average length of schooling have a positive and significant effect on regional economic growth in East Nusa southeast. Labor variables and the ratio of the General Allocation Fund have a significant effect on regional economic growth in East Nusa Southeast Province. It is necessary to increase the allocation of regional expenditures for the education and health sectors to improve the quality of the workforce so that they are able to have high productivity that can encourage economic growth in various districts/cities in NTT Province.