The Impact of Investment, Labor, and Minimum Wage towards Economic Growth in Regencies/cities of Bali Province

ABSTRACT:Growth or economic development has always been the main goal in every developing country’s economic agenda. Some variables that affect economic growth are an investment, labor, and minimum wage. “The imbalance of economic growth in regencies/cities of Bali Province becomes interesting to study, considering that economic growth can be an indicator of the economic activity that can contribute additional income and improve people’s welfare in the regencies/cities of Bali Province. This study aims to analyze the effect of investment, labor, and minimum wages on economic growth in the regencies/cities of Bali Province. This research was conducted in the regencies/cities of Bali Province. The data used in this study are panel data is a combination of time-series data for 9 years, namely 2011-2019, and cross-section data as many as 9 districts/cities in Bali Province. In the end, the number of observations in this study was 81 observations. The data analysis technique used in this study is multiple linear regression analysis techniques. Based on the results of the analysis, it shows that investment has no effect on economic growth in the regencies/cities of Bali Province. Labor has a positive and significant effect on economic growth in the regencies/cities of Bali Province. The minimum wage has no positive effect on economic growth in the regencies/cities of Bali Province. Based on the research results, it can be suggested that the government can strive to develop the potential of each district/city which makes the area a target for investors to invest in. The government is also expected to provide training which of course can improve the quality of human resources so that they can be
absorbed in employment opportunities.
KEYWORDS :growth, economy, investment, labor, minimum wage