INCOME INEQUALITY IN THE DIGITAL ERA: SPATIAL ANALYSIS AND ITS IMPLICATIONS FOR ECONOMIC EQUALITYINCOME INEQUALITY IN DIGITAL ERA

Abstract

Income inequality in the digital era is increasing in Indonesia. Spatial inequality between regions shows the grouping of regions based on the type of inequality. Income inequality between regions seen from the perspective of gross value added (GRDP) can be calculated using the Jaime Bonet Index. The results of the Jaime Bonet Index calculation show that DKI Jakarta Province has the highest inequality rate, namely 4.44. In the quadrant analysis, it was found that DKI Jakarta Province, West Papua, and Central Papua are provinces with Gini ratios and GDP per capita above the average value of Indonesia. The results of the regression analysis between the Gini ratio in districts/cities in the DKI Jakarta and West Papua Provinces show that the correlation between the Gini ratio variable and the independent variables, namely the mean years of schooling (MYS), electrification ratio, Community Literacy Development Index (CLDI), Unemployment Rate (UR), percentage of self-owned buildings and Human Development Index (HDI) has a positive and very strong correlation, namely 0.932. The results of the ANOVA test show that simultaneously the gini ratio is significantly influenced by independent variables. While partially, the Gini ratio is not influenced by the unemployment rate and electrification ratio. The variables of the percentage of self-owned buildings, the community literacy development index, the human development index and the mean years of schooling partially significantly affect the Gini ratio.