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Effects of Education Funding in Increasing Human Development Index

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Effects of Education Funding in Increasing Human Development Index Jejak Vol 12 (2) (2019): 482-497 DOI: https://doi.org/10.15294/jejak.v12i2.23391 JEJAK Journal of Economics and Policy http://journal.unnes.ac.id/nju/index.php/jejak Effects of Education Funding in Increasing Human Development Index Mukhammad Yogiantoro1 , 2Diah Komariah, 3Irawan Irawan 1,2,3Post-Graduate Program, Masters in Economics, Palangka Raya University Permalink/DOI: https://doi.org/10.15294/jejak.v12i2.23391 Received: May 2019; Accepted: July 2019; Published: September 2019 Abstract Every citizen has the right to get education with the aim of educating the nation's life as mandated in the opening of the 1945 Constitution. This study aims to determine the efficiency of education funding both from the APBN and the APBD purely in relation to increasing HDI and educational performance. The study uses influence analysis with multiple regression and descriptive quantitative research, with 3 variables, namely the large variable education funding from APBD and APBN, Education Performance and Human Development Index. The sample selection method used was purposive sampling, namely in Regencys / Cities in Central Kalimantan in the Period of 2015 - 2017. Research resulted in a relationship between education funding and HDI, Education and Performance Funds for Education and HDI and Educational Performance. Educational performance in this case is measured by teacher qualifications, teacher certification, educational ratios (Teachers: Students and Classes: Students), facilities and infrastructures physical condition, Gross Participation Rate (APK), Pure Participation Rate (APM), and Dropout Numbers. In the multiple regression, the effect of education funding both from the APBD and the APBN does not affect more dominantly in increasing Human Development Index. Key words : Education Funds; HDI; Education Performance; Central Kalimantan How to Cite: Yogiantoro, M., Komariah, D., & Irawan, I. (2019). Effects Of Education Funding In Increasing Human Development Index. JEJAK: Jurnal Ekonomi dan Kebijakan, 12(2). doi:https://doi.org/10.15294/jejak.v12i2.23391 Corresponding author : Mukhammad Yogiantoro p-ISSN 1979-715X Address: Jl, Yos Sudarso No, 16, Jekan Raya, Palangka Raya, Kalimantan Tengah e-ISSN 2460-5123 E-mail: [email protected] 483 Yogiantoro, M., Komariah, D., & Irawan, I., Effects of Education Funding in Increasing Human Development Index accordance with minimum service standards. INTRODUCTION Enrolment Rate of 2014 and target of 2018 in Education is an effort so that humans RPJMN as follows. can develop their potential through the Table 1. Enrolment Rate of 2014 and Target of learning process and / or other ways known 2018 in RPJMN (%) and recognized by society. In the 1945 Enrolment Rate 2014 Target Constitution of the Republic of Indonesia 2019 Article 31 paragraph (1) states that every Net ER SD/MI 91.3 94.8 citizen has the right to education and Gros ER 111.0 114.1 paragraph (3) affirms that the Government SD/MI/SDLB/Paket A seeks and organizes a national education Net ER SMP/MTs 79.4 82.0 system to enhance faith, piety and noble Gros ER 101.6 106.9 character in the intellectual life of the nation SMP/MTs/Paket B which is regulated by law. In this regard, all Net ER SMA/MA/SMK 55.3 67.5 components of the nation are obliged to Gross ER 79.2 91.6 educate the life of the nation which is one of SMA/MA/SMK/Paket C the goals of the Indonesian state by Source: RPJMN 2015 – 2019. (Net ER = APM, establishing concepts and standards for the Gross ER = APK) implementation of education. One of the 2015-2019 national In addition, the government's attention in development priorities is "Improving the the 2015-2019 RPJMN is greater for regions that Quality of Life for Humans and Indonesian have not yet completed the implementation of Communities". Efforts to improve the quality 12-year compulsory education. In addition, of human life in Indonesia are carried out policies for secondary education are directed at through several priority sub-agendas, one of the expansion and equal distribution of quality which is "Development of Education secondary education. Especially the Implementation of the Meanwhile, the direction of education ‘Indonesia Pintar’ Program". sector development policies and strategies as The goals to be achieved in the Smart contained in the Ministry of Education and Indonesia Program through the Culture's Strategic Plan for 2015-2019 are as implementation of the 12-year compulsory follows. 1) Carry out 12-year compulsory education, according to the 2015-2019 RPJMN, education by continuing efforts to fulfill the are: i. increasing rates of participation in rights of all residents to get quality basic primary and secondary education; ii. the education services to ensure all Indonesian increase in the rate of sustainability of children without exception can complete the education marked by a decline in dropout basic education level; 2) Carry out 12-year rates and increasing numbers student compulsory education by expanding and continues their school; ii. the decreasing gap increasing access to quality secondary education in education participation among community to accelerate the availability of educated people groups, especially between the rich and poor to meet labor market needs. population, between the male and female Citizens who have obtained proper population, between urban and rural areas, education are assets for the region in increasing and between regions; and iii. the increase and economic growth. Widiansyah (2017) states that prevalence of availability and quality of the real problem of education cannot be educational facilities and infrastructure in separated from economic problems. Both JEJAK Journal of Economics and Policy Vol 12 (2) (2019): 482-497 484 directly and indirectly, the contribution of employment during the education in order to education to the economy and development both develop the human capital and decrease must be recognized. Thus, education is not the alternative costs that would cause the always considered as consumption or education. financing. It is time, education must be seen According to Sukirno (2004) education is as an investment, which can be felt in the an investment that is very useful for economic long run. The concept of education as an development. Thus education can be included as investment (education as investment) has a development investment whose results can be developed rapidly and it is increasingly enjoyed later on. This shows that education has believed by every country that the an important role in the life of the nation and development of the education sector is a key state in an effort to create quality human prerequisite for the growth of other resources so that it has a direct impact on the development sectors. The concept of economic growth of a region through increased investing human capital (human capital skills and work productivity. Thus education is investment) that can support economic expected to overcome economic backwardness growth, has actually begun to be considered through increasing human capabilities so as to since the days of Adam Smith (1776), improve people's welfare. Heinrich Von Thunen (1875) and other Ferdi (2013) in his article about financing classical theorists before the 19th century who education: a theoretical study states that on the emphasized the importance of investing in basis of the results of the study in theory can be human skills. summarized as follows. First, the factors that Schultz (1961) in his article entitled influence the cost of school education are "Investment in Human Capital" is the basis of influenced by: a) price increases (rising prices); the theory of modern human capital. The b) relative changes in teacher salaries (teacher's main message of the speech is simple that the sallaries); c) changes in the population and the process of acquiring knowledge and skills increase in the percentage of school children through education is not merely a form of (country); d) increasing education standards consumption, but also an investment. Schultz (educational standards); e) increasing age of then noticed that the development of the children leaving school; and f) increasing education sector with humans as its core demands for higher education. These increase focus had contributed directly to the factors can influence Government policies in economic growth of a country, through accordance with the situation and conditions in increasing skills and production capabilities a certain period of time. Second, some types of of the workforce. These findings and education costs include: a) direct costs; b) perspectives have encouraged the interest of a indirect costs. Routine and development costs number of experts to examine economic are part of direct costs; c) personal costs (private values in education. cost); d) community costs (social cost); e) Atalay (2015) stated that basic condition monetary cost; and f) non monetary cost. The of developing the human capital is the types of costs that are still often complained of education and the lifelong learning. However, by most Indonesians are related to the costs that the more the education duration in the must be incurred by parents of students developing countries increases, the more the (personal costs). Third, an effective and efficient individual and social costs increase. education financing model that can be Therefore, these countries must improve the developed, namely the human capital approach 485 Yogiantoro, M., Komariah, D., & Irawan, I., Effects of Education
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