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The Nexus between Government Spending on Education, Poverty, and Education Quality in Indonesia’s Underdeveloped Regions

Author

Listed:
  • Khusaini Khusaini
  • Bambang Mardi Sentosa
  • Fitri Amalia
  • Sugeng Setyadi
  • Sri Lestari

Abstract

Academicians and the policy maker have paid serious attention to the problem of quality of education in underdeveloped regions, due to its considerable impact on declining productivity, economic growth, and people’s welfare. Therefore, this study aims to investigate the effect of government spending on education and poverty toward the quality of basic education in Indonesia’s underdeveloped regions. The research result showed that government spending on education led to a significant impact on the quality of basic education in underdeveloped regions. Poverty also had a significant impact on the quality of basic education. From these findings on the importance of government spending on basic education improvement, it is crucial to allocate for developing school governance, supplying and distributing teachers, and increasing the number of schools.

Suggested Citation

  • Khusaini Khusaini & Bambang Mardi Sentosa & Fitri Amalia & Sugeng Setyadi & Sri Lestari, 2025. "The Nexus between Government Spending on Education, Poverty, and Education Quality in Indonesia’s Underdeveloped Regions," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 3, pages 60-78.
  • Handle: RePEc:bas:econst:y:2025:i:3:p:60-78
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    File URL: http://archive.econ-studies.iki.bas.bg/2025/2025_03/2025_03_04.pdf
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    References listed on IDEAS

    as
    1. Simplice A. Asongu & Nicholas M. Odhiambo, 2019. "Enhancing ICT for Quality Education in Sub-Saharan Africa," Working Papers 19/007, European Xtramile Centre of African Studies (EXCAS).
    2. Haggai Kennedy Ochieng & Cho Yeonsung, 2021. "Political Economy of Education: Assessing Institutional and Structural Constraints to Quality and Access to Education Opportunities in Tanzania," SAGE Open, , vol. 11(3), pages 21582440211, September.
    3. Sulis, Isabella & Giambona, Francesca & Porcu, Mariano, 2020. "Adjusted indicators of quality and equity for monitoring the education systems over time. Insights on EU15 countries from PISA surveys," Socio-Economic Planning Sciences, Elsevier, vol. 69(C).
    4. Priya Ranjan & Prasant Kumar Panda, 2022. "Pattern of Development Spending and Its Impact on Human Development Index and Gross State Domestic Product in Low-income States in India," Journal of Development Policy and Practice, , vol. 7(1), pages 71-95, January.
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    More about this item

    JEL classification:

    • A20 - General Economics and Teaching - - Economic Education and Teaching of Economics - - - General
    • H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare
    • I20 - Health, Education, and Welfare - - Education - - - General
    • I30 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General

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