THE EFFECT OF WAGE LEVELS AND EDUCATION ON THE HUMAN DEVELOPMENT INDEX IN WEST JAVA PROVINCE YEAR 2021–2024

Adi Permana; Ridhowati; Siti Juriah; Rita Ningsih

doi:10.30998/vf6wm842

Authors

Adi Permana universitas indraprasta PGRI Author
Ridhowati Author
Siti Juriah Author
Rita Ningsih Author

DOI:

https://doi.org/10.30998/vf6wm842

Keywords:

Average Years of Schooling, Human Development Index, Panel Data Regression, Post-Pandemic Recovery, Regency/City Minimum Wages, West Java Province

Abstract

Human development is a primary development objective, emphasizing improving the quality of life through health, education, and living standards. The Human Development Index (HDI) serves as a composite indicator for evaluating human development achievements. This study aims to analyze the influence of education level and wages on the HDI in West Java Province during the 2021–2024 period. This study uses a quantitative approach with panel data regression, combining cross-sectoral data from 27 districts/cities and time series data over four years, resulting in 108 observations. Education is represented by the Mean Years of Schooling (RLS), while wage levels are represented by the District/City Minimum Wage (UMK). The results show that both education level and wages have a positive and statistically significant effect on the HDI. Education has a regression coefficient of 1.624 (p = 0.018), while wage levels have a coefficient of 0.487 (p = 0.031). The model explains 83% of the variation in the HDI (R² = 0.83), indicating strong explanatory power. These findings suggest that simultaneously improving educational attainment and economic well-being is crucial for accelerating human development in West Java Province. This study contributes to the literature by providing evidence from the post-pandemic recovery period and highlighting regional heterogeneity across districts and cities .

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Author Biographies

Adi Permana, universitas indraprasta PGRI

Indraprasta PGRI University
Ridhowati

Indraprasta PGRI University
Siti Juriah

Indraprasta PGRI University
Rita Ningsih

Indraprasta PGRI University

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