The Impact of Suramadu Bridge Construction and the Spillover Effect of Surabaya City's Economic Activities on the Madura Region
Keywords:Suramadu bridge, Bangkalan , Pamekasan , Madura
The purpose of this study is to analyze the impact of the Suramadu bridge infrastructure for economic development in Madura, to analyze the spillover effect (spread effect or backwash effect) of Surabaya City's economic activities for Madura and to analyze the factors that can increase economic development on Madura Island. The data used by the author comes from the publication of the Central Statistics Agency of Bangkalan, Sampang, Pamekasan, Sumenep and Surabaya City from 1999-2018. The author uses a different test analysis, granger test and structural test using the variables of GRDP, investment, HDI, industrial sector, trade sector, agricultural sector, population, regional spending, infrastructure, and economic development in Madura Island and Surabaya City. Based on the results of the study, it shows: 1) From the analysis of different tests, it is found that before and a Suramadu Bridge has not been able to have an overall impact on the GRDP, investment and HDI of districts on Madura Island. 2) From the analysis of the Granger test, it can be concluded that the development of more advanced regional development (Surabaya City) in this study is not able to encourage the development of the Madura Island region or in other words it causes (backwash effect). 3) From the structural test analysis that can significantly influence economic development in Madura Island, it is only regional expenditures that have an impact on the level of investment and economic development in Madura Island. However, on the other hand, the existing investment level shows a negative impact on economic development, especially in Bangkalan and Sampang Regencies because it is not balanced with the high quality of education for the population and the existing infrastructure is not evenly distributed.