EXPENDITURE ON EDUCATION, HEALTH AND PDRB PER CAPITA ON THE GINI RATIO CITY IN THE EAST JAVA PROVINCE OF INDONESIA

This study is to determine the effect of government expenditure in the education, health sector and GDP per capita towards the Gini Ratio of 38 Cities in East Java from 2010 to 2016. Quantitative analysis, explanatory method with panel data. The process of selecting panel data with data normality test through estimating common effect, model parameters, fixed effects or random effects. the selection of the right model using a panel data regressiThe index value of gini districts/cities in East Java is quite volatile,on model that is processed using software e-views 10. The results of the study show;The level of income inequality each district/city has a moderate stage gap. The index value of gini cities in East Java is quite volatile,the highest scores of Madiun City, Malang City, Blitar City, and Pasuruan City.Education spending, health spending, and GDP per capita partially each has a significant positive effect on the Gini ratio City in East Java. Education spending, health spending, and GDP per capita together have a significant positive effect on the Gini ratio of districts/cities in East JavaThe Gini Ratio is one model of approach to economic growth and fair economic. one of them is through the tax and subsidy sector in the population of a region. Education sector spending, health sector spending, goods/services expenditure such as roads, bridges, airports, terminals, ports.Education and health sector expenditure that's the most important thing for increasing economic growth and fair economic equality