Analysis of the Influence of Human Development Index and Infrastructure Development on Improving Economic Inequality in Papua Province (Case Study of Eight Districts la Pago Customary territory)

Abstract

Puspose: This study aims to analyze the effect of human development index and Infrastructure development (road length, health facilities, education facilities, housing facilities, lighting facilities, clean water facilities, per capita income) on improving economic inequality as measured by general public for the period 2013-2022.   Method: Secondary data is needed to provide an explanation or answer to the research question. The data analysis model used in this study uses a panel data model with a linear regression approach (OLS).   Result and Conclusion: The results showed that HDI (X1) had a positive effect on the gini ratio (Y), with a value of Prob. = 0,0374 < 0,05. Road length (X2) has a positive effect on the gini ratio (Y), with a value of Prob. = 0,0034 < 0,05. Health facilities (X3) have a positive effect on the gini ratio (Y), with a value of Prob. = 0,0079 < 0,05 . Educational facilities (X4) negatively affect the gini ratio (Y), with a value of Prob. = 0,1261 > 0,05. Housing facilities (X5) have a positive effect on the gini ratio (Y), with a value of Prob. = 0,0239 < 0,05. Electric lighting facilities (X6) have a positive effect on the gini ratio (Y), with a value of Prob. = 0,0017 < 0,05. Clean water facilities (X7) have a positive effect on the gini ratio (Y), with a value of Prob. = 0,0131 < 0,05. GRDP per capita (X8) has a positive effect on the gini ratio (Y), with a value of Prob. = 0,0349 < 0,05.   Implication of Research: Based on the results of the analysis above, the districts/cities included in Hierarchy I are Jayawijaya Regency and Pegunungan Bintang Regency. In Hierarchy II there are Nduga Regency and Yalimo Regency. In Hierarchy III there are Yahukimo Regency, Lani Jaya Regency, Central Mamberamo Regency and Tolikara Regency.   Originality/Value:  This shows that Jayawijaya Regency and Pegunungan Bintang Regency are attractive areas for residents to carry out activities in the region due to the availability of various economic, social and government facilities. People who come to the area can get their various needs in close proximity. People will come there for shopping, schooling, and more. This is an attraction for the area to be visited, thus increasing the volume of transactions.