Fiscal Decentralization and Regional Disparity in East and West Indonesia’s Provinces
Abstract: This
study aimed to examine the direct and indirect effects of fiscal decentralization
on regional disparity in eastern and western Indonesia througheconomic growth.
Analyzing variable between economic growths because growth based on several
theories and previous research says that the increase in local revenues and
fund balance can increase economic growth. Meanwhile, according to theory said
that increasing economic growth will increase regional disparity. The method of
analysis used in this study is a quantitative method, with the use of Path
Analysis. The variables used in this study are the General Allocation Fund (DAU),
Special Allocation Fund (DAK), Revenue Sharing Fund (DBH), local revenue (PAD),
Economic Growth (G), and regional disparity (IW). While to compare the results
of the analysis between Eastern Indonesia Region (Borneo, Celebes, Maluku,
Papua, and Nusa Tenggara) and Western Indonesia Region (Sumatera, Java, and
Bali). The results of the study is that there is no direct effect of fiscal
decentralization on regional disparity and economic growth through direct
fiscal decentralization on regional disparity both in eastern Indonesia western
Indonesia. Although the outcome in eastern Indonesia there is only DAU variable
that affects. Whereas in the west Indonesia DBH only have an influence. This is
consistent with the composition of the balance funds are disbursed by the central
government to local governments, where the composition of the greatest in eastern
Indonesia is the General Allocation Fund in which it reflects the dependence of
local governments to the center of the high, while for the West Region
Indonesia composition equalization funds is greatest DBH where this is a reflection
of the independence of local governments are not dependent on the central
government. So as to create fiscal decentralization well then required a greater
allocation of the fund balance.
Keywords:
Fiscal Decentralization, Economic Growth, Fund Balance, Regional disparity
Penulis: Faishal
Fadli
Artikel Terkait :
- EFFECT OF COMPENSATION AND BENEFIT TO EMPLOYEE ENGAGEMENT THROUGH ORGANISATION BRAND IN INDONESIA’S STARTUP COMPANY
- IDENTIFYING MOTIVATION FACTOR INVOLVEMENT OF SARAWAK MALAY WOMEN ENTREPRENEUR
- OPPORTUNITIES AND CHALLENGES FOR MICRO-SMALL AND MEDIUM BUSINESS IN INDONESIA FACING ASEAN ECONOMIC COMMUNITY
- ENHANCING BRAND EXPERIENCE ALONG WITH EMOTIONAL ATTACHMENT TOWARDS TRUST AND BRAND LOYALTY
- EMPLOYEE PERFORMANCE AS THE IMPACT OF TRANSFORMATIONAL LEADERSHIP AND JOB SATISFACTION IN PT ANUGERAH BARU DENPASAR
- DESTINATION IMAGE OF BALI BASED ON THE PUSH MOTIVATIONAL FACTORS, IDENTITY AND DESTINATION CREATIONS IN THE PERSPECTIVE OF FOREIGN SENIOR TOURIST
- THE INCREASING PHENOMENON OF SECOND-HAND CLOTHES PURCHASE: INSIGHTS FROM THE LITERATURE
- ANALYZING THE EFFECT OF EMPLOYEE COMPENSATION ON EMPLOYEE INTENTION TO STAY (STUDY IN BANK SULUTGO HEAD OFFICE)
- THE IMPORTANCE AND PERFORMANCE ANALYSIS OF COMPENSATION IN PT. BANK NEGARA INDONESIA (PERSERO) TBK MAIN BRANCH OFFICE MANADO
- ANALYTICAL HIERARCHY PROCESS (AHP) APPROACH ON CONSUMER PREFERENCE IN FRANCHISE FAST FOOD RESTAURANT SELECTION IN MANADO CITY (STUDY AT: MCDONALD’S, KFC, AND A&W)
- THE INFLUENCE OF CONSUMER PERCEPTION ON PURCHASE INTENTION OF USING INDIHOME PRODUCT IN MANADO CITY
- THE EFFECT OF PRODUCT AND CONSUMER CHARACTERISTICS ON IMPULSE PURCHASING (STUDY AT FEMALE COSMETIC PRODUCTS)
- THE INFLUENCE OF MOBILE MARKETING ON CONSUMER ATTITUDE STUDY AT STUDENT OF SAM RATULANGI UNIVERSITY
- BRAND PERSONALITY CREATION THROUGH ADVERTISING (STUDY KFC ON TELEVISION COMMERCIAL BREAK)
- ANALYSIS WORK ENVIRONMENT AND LEADERSHIP ON EMPLOYEE PERFORMANCE (STUDY AT MANADO FORESTRY SERVICE)
- THE EFFECT OF HEDONIC MOTIVES AND SHOP ENVIRONMENT ON IMPULSE BUYING IN MANADO TOWARDS RETAILER STORES (CASE AT MATAHARI DEPT. STORE)
- THE INFLUENCE OF STORE ATMOSPHERE ON CONSUMER PURCHASE DECISION AT KAWAN BARU RESTAURANT MEGA MAS MANADO
- ANALYZING LEADERSHIP STYLE AND EMPLOYEE PERFORMANCE (Study at PT. Bank Mandiri Area Manado (Persero) Tbk.) ANALISIS GAYA KEPEMIMPINAN DAN KINERJA KARYAWAN (Studi Pada PT. Bank Mandiri Area Manado (Persero) Tbk)
- THE EFFECT OF PRODUCT QUALITY AND DELIVERY SERVICE ON ONLINE-CUSTOMER SATISFACTION IN ZALORA INDONESIA
- THE EFFECT OF BRAND EQUITY ON CONSUMER BUYING BEHAVIOR IN STARBUCKS MANADO TOWN SQUARE
- ANALYSIS THE FACTORS INFLUENCE CONSUMER BUYING DECISION ON ONLINE SHOPPING CLOTHING FOR CONSUMER IN MANADO
- THE INFLUENCE OF PERFORMANCE ALLOWANCE AND EMPLOYEE DEVELOPMENT TO EMPLOYEE PERFORMANCE IN STATE ASSETS AND SERVICE OFFICE MANADO
- ANALYZING THE EFFECT OF WORK LIFE CONFLICT AND JOB STRESS ON EMPLOYEE PERFORMANCE (Study at the Main Office of PT. Bank SulutGo)
- THE EFFECT OF PERCEIVED ENJOYMENT ON INTENTION TO SHOP ONLINE (The Study of Faculty of Economics and Business Sam Ratulangi University Manado)