THE EFFECT OF CAPITAL FUNDING AND SHOPPING FUNDS ON ECONOMIC GROWTH AND HUMAN DEVELOPMENT INDEX (HDI) IN BALI PROVINCE

ABSTRACT The research objectives are 1) to analyze the effect of balance funds and capital expenditure on economic growth in districts/cities in Bali Province. 2) to analyze the effect of balance funds, capital expenditure, and economic growth on the Human Development Index (HDI) in districts/cities in Bali Province. 3) to analyze economic growth which mediates the effect of balance funds and capital expenditure on the Human Development Index (HDI) in districts/cities in Bali Province. The data used in this research is secondary data. Data collection related to this research was carried out using non-participant observation methods. The data analysis technique used to solve the problem in this study is the path analysis technique. The analysis shows that 1) balance funds do not have a positive and significant effect and capital expenditure does not have a significant effect on the economic growth of regencies/cities in Bali Province. 2) balance funds, capital expenditure, and economic growth have a positive and significant effect on the Human Development Index (HDI) of regencies/cities in Bali Province. 3) economic growth does not mediate the effect of balance funds and expenditure on the Human Development Index (HDI) of regencies/cities in Bali Province. KEYWORDS: balance fund, capital expenditure, economic growth, Human Development Index (HDI)