Abstract

The objective of this research is to measure the influence of regional potential on the increase of regional income in Subulussalam City Subulussalam City, Aceh Province. The research adopts a descriptive quantitative approach, utilizing primary and secondary data. The study examines various indicators, including inflation, population, gross domestic product (GDP), and Regional income (RI). Analytical tools employed encompass Location Quotient (LQ), Shift-Share analysis, Klassen Typology, and multiple linear regression. Findings from the LQ analysis reveal significant regional potential in Subulussalam City, encompassing manufacturing, construction, motor vehicle repair, and financial and insurance activities. Moreover, the Shift-Share analysis indicates that the manufacturing industry, construction sector, and financial and insurance activity services serve as base sectors. Multiple linear regression analysis demonstrates that inflation, population, and GRDP have a significant impact on increasing RI in Subulussalam City, Aceh Province.