Financial Inclusion And Human Capital Investment In Urban And Rural: A Case Of Aceh Province

this study is to analyze the effects of financial inclusion and other variables on human capital investment in urban dan rural region of Aceh Province by using pooled regression model with sample size total of 800 households. The results show that financial inclusion and income have a positive and significant effect on human capital investment, whereas family size has negative and significant. Furthermore, male and urban have bigger effects on human capital investment than female and rural region, respectively. Meanwhile, age has a bell-shaped to human capital investment indicates that the higher age smaller human capital investment. The last, the average of years of schooling in urban and rural regions is nine-year means the education level of these regions is junior high school. It is recommended that government should encourage banking to increase their services to a rural area in order to increase human capital investment.