DECENTRALIZATION, FISCAL CAPABILITY AND PUBLIC SPENDING EFFICIENCY

Assigning autonomy to regency governments in Indonesia has failed to increase regency’s economies.While it increases regency government role in planning and initiating policies, its impact oneconomic development has been insignificant. This stems from the lack of institution’s capacity inorganizing...

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Main Authors: Abdul Hakim, Jaka Sriyana
Format: Article
Language:English
Published: Universitas Islam Indonesia 2012-01-01
Series:Economic Journal of Emerging Markets
Online Access:https://www.hmj.accounting.uii.ac.id/JEP/article/view/2380
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author Abdul Hakim
Jaka Sriyana
author_facet Abdul Hakim
Jaka Sriyana
author_sort Abdul Hakim
collection DOAJ
description Assigning autonomy to regency governments in Indonesia has failed to increase regency’s economies.While it increases regency government role in planning and initiating policies, its impact oneconomic development has been insignificant. This stems from the lack of institution’s capacity inorganizing the bulk funds transfer from the central government which leads to inefficiency in resourceallocation. This paper maps these regencies based on their fiscal dependency. This paperalso applies Data Envelopment Analysis to identify the efficient and non efficient regencies in sucha way that the non efficient regencies might use the efficient ones as the benchmark to increase theirefficiency. Keywords: Autonomy, regency government, efficiencyJEL classification numbers: H21, H53, H71, H72
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spelling doaj.art-490f59d8d13647daa7b50b7f3e2e778b2022-12-22T02:26:43ZengUniversitas Islam IndonesiaEconomic Journal of Emerging Markets2086-31282502-180X2012-01-0121DECENTRALIZATION, FISCAL CAPABILITY AND PUBLIC SPENDING EFFICIENCYAbdul HakimJaka SriyanaAssigning autonomy to regency governments in Indonesia has failed to increase regency’s economies.While it increases regency government role in planning and initiating policies, its impact oneconomic development has been insignificant. This stems from the lack of institution’s capacity inorganizing the bulk funds transfer from the central government which leads to inefficiency in resourceallocation. This paper maps these regencies based on their fiscal dependency. This paperalso applies Data Envelopment Analysis to identify the efficient and non efficient regencies in sucha way that the non efficient regencies might use the efficient ones as the benchmark to increase theirefficiency. Keywords: Autonomy, regency government, efficiencyJEL classification numbers: H21, H53, H71, H72https://www.hmj.accounting.uii.ac.id/JEP/article/view/2380
spellingShingle Abdul Hakim
Jaka Sriyana
DECENTRALIZATION, FISCAL CAPABILITY AND PUBLIC SPENDING EFFICIENCY
Economic Journal of Emerging Markets
title DECENTRALIZATION, FISCAL CAPABILITY AND PUBLIC SPENDING EFFICIENCY
title_full DECENTRALIZATION, FISCAL CAPABILITY AND PUBLIC SPENDING EFFICIENCY
title_fullStr DECENTRALIZATION, FISCAL CAPABILITY AND PUBLIC SPENDING EFFICIENCY
title_full_unstemmed DECENTRALIZATION, FISCAL CAPABILITY AND PUBLIC SPENDING EFFICIENCY
title_short DECENTRALIZATION, FISCAL CAPABILITY AND PUBLIC SPENDING EFFICIENCY
title_sort decentralization fiscal capability and public spending efficiency
url https://www.hmj.accounting.uii.ac.id/JEP/article/view/2380
work_keys_str_mv AT abdulhakim decentralizationfiscalcapabilityandpublicspendingefficiency
AT jakasriyana decentralizationfiscalcapabilityandpublicspendingefficiency