Analysis of Determinants of Income and Efforts to Improve the Welfare of Street Vendors in Padang City

Abstract

The increasing number of workforce in Indonesia without accompanied of adequate employment opportunities will lead to high levels of unemployment, especially coupled with the earthquake that struck the city of Padang in 2009.This gave rise to more and more people are losing their jobs and infrastructure, and the other hand the government's efforts to provide jobs limited and cause people into the informal sectors.   This study examines the characteristics of the informal sector in the city of Padang on the aspect of income, capital, highest level of education, and welfare. Furthermore, it also examines how these factors affect revenue and its impact on the welfare of street vendors.The method used is descriptive analysis and percentages to describe the characteristics of the informal sector (street vendors) and multiple linear regression analysis to see the effect of these variables to income, also the influence of income to the level of welfare of street vendors.The results show that the turnover, capital work, and the daily cost is very significant to earnings PKL. Moreover  PKL revenue influences very significantly to improving the welfare of which can be seen from the level of education, consumption and health.

Keywords: street vendors, income, consumption, welfare, capital