ABSTRACT
One of indicator economic progress is reaching the growth economics
condition every year. Since economics crisis in Indonesia at 1997, economic
grOW1hshown -13
%
in
199!L
It
shown that our progress is decrease. We can <ee
it from the situation which happened like many companies get loss and many
investor took their investment from Indonesia because of our condition was not
stable.
Facing this situation, government was required to improve the economics
condition so that reached dynamic economic. Government had attempted to
recover economics condition by held repairing in every sector economy and
attempted to make good condition to investment
specially
to
foregn
investment so
that investor interested in invest their capital. Beside that government increase the
government's expenditure to encourage economic growth.
We know that to encourage
economic growth
in Indonesia especially
in
North Surnatera there are l11a,.,y fartors play imprtant role. Some of them lire
Government
Expenditure and Foreign Investment.
In
this
Rcasoarch
we
can
compare
about
influence
between
Foreign
Investment
and Government
e
クーセ
ョ、ゥョ
セイ
to
Economic
Growth in North
Sumatera
The
GoVefTl.luent
Expenditure is Significant to influence economic growth while foreign investment
is not significant. This case happen because in our
country
there are so many
factors make. investment is not
kondusif
like cruel. criminal, regulation of
government which is not suitable to encourage the investment so that investor s
are difficult to invest their obligation or capitals. But if e see the
reality
both of the
government expenditure
and
foreign investment actually have significant
influence to increase economic growth in Nort Sumatera.
s
we must
cooperate
with gov=m"'nt
to
play every programm that make good condition
in
economy
to reach high economic growth and to progress our country