Understanding the Poverty through the Development of Unemployment and Illiteracy Rates

Abstract

Poverty is a profound issue affecting various regions, with its impacts observable through domino effects such as low human resource (HR) quality, declining welfare, and regional underdevelopment. This study aims to analyze the factors influencing poverty levels, specifically unemployment and education. East Nusa Tenggara (NTT) was chosen as the research location due to its status as one of the poorest provinces in Indonesia. The study employs a survey method with a quantitative approach and applies multiple linear regression analysis. Before conducting the analysis, all prerequisite tests were met. The secondary data used include literacy rates, unemployment levels, and poverty rates from 2014 to 2021, obtained from the Central Statistics Agency (BPS). The analysis results indicate that literacy rates and unemployment have a positive and significant impact on poverty levels. Additionally, the F-test results show that both independent variables, literacy rates and unemployment, have a simultaneous and significant effect on poverty levels