Abstract:
The poverty rate in Riau Province in 2014 reached 8.42%. This figure is still relatively
high. Economic growth, total population, district / city minimum wages, and the open
unemployment rate are considered to have contributed to the percentage of poverty in
Riau Province. For this reason, testing of these variables is carried out. The data used
is data from BPS Riau Province in 2011-2019 in the form of panel data which is a
combination of cross section data and time series data, the analysis is carried out using
spatial regression panel data which has 2 models, namely the Spatial Lag Model (SAR)
and the Spatial Model Error (SEM). This study shows that the SAR fixed effect model is
better with economic growth as a significant variable and the results of the calculation
of the criteria for the goodness of the model are 99,81%.
