Analysis of Factors Influencing the Human Development Index (HDI) in East Java : An Application of Conventional Theory and Maqashid Shariah

Bima Riansyah, Umrotul Khasanah

Abstract


 

East Java Province is renowned as one of the central provinces contributing significantly to the national economy, with a positive trend in the Human Development Index (HDI). This study aims to analyze and examine the partial and simultaneous effects of variables such as Poverty Rate, Labor Force Participation, Population Size, and Economic Inequality on the Human Development Index (HDI) in East Java Province. The analysis is grounded in the application of both conventional theory and the principles of Maqashid Shariah. This research employs a quantitative approach using explanatory statistical methods. A total of 152 samples from the years 2020–2023 were obtained through purposive sampling techniques. The analytical method utilized is the panel data regression estimation model, which combines time series and cross-sectional data. The results indicate that the poverty rate has a negative and significant impact on the Human Development Index (HDI) in East Java Province, contrary to the Maqashid Shariah principle, which aims to enhance the quality of HDI in the region. Labor force participation has a positive but insignificant effect on HDI, also conflicting with the Maqashid Shariah principle of improving HDI quality. Population size positively and significantly influences HDI, aligning with the Maqashid Shariah principle to enhance HDI quality in East Java Province. Economic inequality positively and significantly affects HDI, which is consistent with the Maqashid Shariah principle for improving HDI quality in East Java Province.

 


Keywords


Economic Inequality; Human Development Index (HDI); Labor Force Participation; Poverty Rate; Population Size

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References


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