PENGARUH KAPASITAS FISKAL DAN PENGELUARAN PEMERINTAH TERHADAP KEMISKINAN DI INDONESIA PADA TAHUN 2015 – 2017

SULISTIAWAN RIZKI. The Effect of Fiscal Capacity and Government Expenditure on Poverty in Indonesia in 2015-2017. Faculty of Economics, State University of Jakarta. 2019. This study aims to determine how the effect of fiscal capacity and government expenditure on poverty in Indonesia. This study uses secondary data obtained from annual reports from the provincial BPS and annual reports from the Directorate General of Fiscal Balance of the Ministry of Finance. In taking a sample, it is done by purposive sampling. Then, there were 34 provinces that were eligible for a period of 3 years, namely from 2015-2017. So that the total data examined is 102 data. Poverty as the dependent variable in this study, is proxied by (KMN). While this independent variable is fiscal capacity proxied by (KF), government expenditure proxied by (PP), the effect of these three variables is tested using multiple regression analysis. T test results show that fiscal capacity has a negative and significant effect on poverty in Indonesia. Government expenditure has a negative and significant effect on poverty in Indonesia. While the F test shows that the fiscal capacity and government expenditure simultaneously have positive and significant effect on poverty in Indonesia. Thus, the hypothesis in this study is proven. Keywords: Fiscal Capacity, Government Expenditures, Povert