Analysis of the Effects of Investment and Unemployment on Economic Growth and Poverty in North Sumatra Province

This study aims to examine and analyze the
effect of investment and unemployment on
economic growth and poverty in the
District/City of North Sumatra Province. The
type of data used in this study is the type of
quantitative data while the source of the data
used in this study is secondary data. The objects
in this study are all districts and cities in North
Sumatra Province which consists of 33
District/City. This study uses pooled data that
combines time series data and cross sections for
5 years from 2014 to 2018. The data analysis
method used in this study is path analysis. The
results based on the path analysis method show
that directly the investment variable has a
positive and significant effect on economic
growth and the unemployment variable has a
negative and significant effect on economic
growth. Investment does not have a significant
negative effect on poverty, the unemployment
variable has a significant positive effect on
poverty and economic growth has a significant
negative effect on poverty. While indirectly the
investment variable through economic growth
influences poverty. Unemployment variables
affect poverty through economic growth.