The Unemployment Rate Analysis in Banten Province from 2017 to 2021: A Panel Data Approach

Analisis Tingkat Pengangguran di Provinsi Banten Tahun 2017 hingga 2021: Pendekatan Data Panel

Abstract

This research aims to analyze the unemployment rate and its influencing factors in Banten Province from 2017 to 2021. The study uses the open unemployment rate as the dependent variable and the minimum wage rate, human development index, gross regional domestic product growth rate, and distance as the independent variables. The research adopts the panel data analysis method with the random effects (RE) model. The panel data includes data from eight districts and cities in Banten Province over the period from 2017 to 2021. The findings reveal that all these factors have significant negative effects on the unemployment rate during the specified years. By examining the intricate relationship between these variables, the research offers valuable insights into the unemployment trends in Banten Province, providing a solid foundation for informed decision-making and policy formulation to create more job opportunities and reduce unemployment rates in the future.