The purpose of the study was to analyze the factors of natural resources, income per capita, infrastructure, education, institutions and population against inequality between regions and welfare in Indonesia. This study uses panel data regression analysis. This study analyzes secondary data consisting of 33 provincial cross section data and 10 years time series data (2008-2017).
The results of the study found inequality between regions in Indonesia with different intensities. Factors of natural resources, income per capita, infrastructure, education, wealth and population have a positive and significant effect on inequality between Factors of natural resources, income per capita, infrastructure, education, wealth and population have a positive and significant effect on inequality between regions. Furthermore, 2% of the inequality variables between regions affect the level of welfare and the rest are influenced by natural resources, per capita income, infrastructure, education, institutions and population.