Economic Development Analysis On The Development of Inter-Sector Regional Inequality Medan by Hasan Basri Tarmizi. Prof.Dr.Ir.A.Rahim Matondang, MSIE, the Promoter, Prof.Dr.Ramli and Prof. MS. Dr.Syaad Afifuddin, MEC are the Co Promoters. The economic development result, undertaken by the Government will more meaningful if it followed by equal distribution result. In fact the result of the development does not always balanced and evenly distributed, and this course income inequality among society. This study purpose at (a) analyzing the agricultural, industrial, trade and financial sector’s growth effect on employment activities (2) analyze agricultural, industrial, trade and financial sectors growth and the number of employment opportunities effect on economic growth, (3) analyze the growth of the agricultural, industrial, trade, financial sector, the employment opportunity, and the economic growth, sectors effect on the development imbalance, (4) to analyze the level of direct and indirect effect of the total growth of agricultural sector, industrial sector, trade and financial sector, the number of employment opportunities and economic growth of regional combination of economic sector that representing the best structural equation model of economic growth for Medan City, and (6) to analyze the progress of people’s income level between the agricultural, trade and financial sectors. Sampling method was conducted by using purposive sampling. Total sample taken of 200 peoples which is evenly distributed to agricultural, trade and financial sector’s consist of 50 people’s each. Data analysis using path analysis with structural equation and the Gini Coefficient. The results showed: a) The growth of industrial sector, the growth of trade and financial sectors significantly influence the number of employment opportunities, where the value t count> t-table, the industrial sector (12.625> 1.980), trade (2.009> 1.980), financial sector (2.906 <-1.980) for α = 5%; b) Growth in the industrial sector, financial sector and the number of employment opportunities significantly influence economic growth in the city of Medan, where the value t count> t-table, the industrial sector (7.784> 1.980), trade (-2.741 <-1.980), the financial sector (5.958> 1.980) and total employment (4.840> 1.980) for α = 5%; c) Growth in the agricultural sector, financial sector, the number of employment opportunities, economic growth significantly influence income distribution index, where the value t count> t-table, the agricultural sector (2.810> 1.980), the financial sector (12.545> 1.980), total employment (2.017> 1.980) and economic growth (-3.930 <- 1.980) for α = 5%; d) Directly affecting the income distribution index is the financial sector growth (positive) with a coefficient of 1.318 is indirectly the financial sector through a number of employment opportunities and economic growth has positive influence on the index of income distribution with a coefficient of 0.054 , in total financial sector, the number of employment opportunities and economic growth negatively affect income distribution index coefficient = -0.870, e) Combination of the best economic sector is the financial sector, the number of employment opportunities economic growth income distribution index, and f) Gini Coefficient people working in Medan for the agricultural sector = 0.14; industrial sector = 0.25, the trade = 0.28; = 0.20 while the financial sector to all sectors = 0.29.