ANALISIS KETIMPANGAN PENDAPATAN ANTAR WILAYAH KABUPATEN PROPINSI DI SUMATERA UTARA

Rusiadi; Ade Novalina

Abstract

This study aimed to analyze the impact of the implementation of fiscal decentralization on inequality in the region of 5 districts in North Sumatra during a four-year implementation period. Variables examined its effect on inequality is the region's economic growth and the degree of fiscal decentralization of 5 districts in North Sumatra Province, using panel data regression model equations (panel regression). Results of the analysis concluded that the positive effect of economic growth and statistically significant at 1% of the inequality in the region of 5 districts in North Sumatra Province. Meanwhile for the negative effect of fiscal decentralization but statistically significant at 3% of the region inequality between districts in the province of North Sumatra. During four years of fiscal decentralization in the province of North Sumatra is empirically provable that inequality territory of 5 districts in North Sumatra province decreased each year between 5 districts in North Sumatra province.