ANALYSIS OF FACTORS AFFECTING GROSS REGIONAL DOMESTIC PRODUCT BASED ON FINANCIAL AND INSURANCE SERVICES (CASE STUDY: LAMPUNG PROVINCE)

Abstract

Economic growth is an important aspect to determine the success of economic development in a region. One indicator of the success of economic growth is changes to Gross Regional Domestic Product (GRDP). GRDP is also used to measure the economic conditions of a province, district or city. The aim of this research is to analyze the factors that influence GRDP according to financial and insurance services in Lampung Province. These factors are the unemployment rate, poverty, human development index, and crime rate. The method used is panel data analysis with a fixed effect model with individual/Cross-Section effects. The research results show that the unemployment rate and the human development index have a significant effect on GRDP according to financial and insurance services. Meanwhile, the number of under poverty line people and the number of crimes do not have a significant effect on GRDP according to financial and insurance services.