Paper Title
Key Variable Of Local Economic Development Case Study In Indonesia

The aim of this research is to analyze the potential of remote areas in Indonesia and find out the important variables that influence the key success factors of LERD (Local Economic Regional Development) Program in several areas. A series of indepth interviews and FGD were conducted with the Chairman and staff of local government, academician, private sectors, and locals who are induced to work together to improve quality of life, create new opportunities, and fight poverty in Bau-Bau, Singkawang and Kupang. Subsequently, the results from the interviews and FGDs were analyzed using qualitative analysis to arrive at the model of Local Economic Regional Development in Indonesia. The findings show that variables influences the key success factors of LERD in Indonesia are: resources endowment, social capital, and local support; as independent variables, regional governance as moderating variable and local performance as dependent variable. The paper adds to the literature on local economic regional development by enabling researchers and practitioners to understand the model of local economic regional development in Indonesia. Keywords- Qualitative research, local economic regional development, Indonesia, social capital