Indonesia’s Capital Expenditure and Economic Growth 1990-2020: Role of Accountability
This study examines the empirical relationship between capital expenditures and economic growth. It examines whether capital expenditures and accountability complement each other to encourage Indonesia's economic growth throughout 1990-2020. Using the autoregressive distributed lag (ARDL) boun...
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| Format: | Article |
| Language: | English |
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Badan Pemeriksa Keuangan Republik Indonesia
2021-12-01
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| Series: | Jurnal Tata Kelola dan Akuntabilitas Keuangan Negara |
| Subjects: | |
| Online Access: | https://jurnal.bpk.go.id/index.php/TAKEN/article/view/653 |
| _version_ | 1797696198305382400 |
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| author | Aris Setiyanto |
| author_facet | Aris Setiyanto |
| author_sort | Aris Setiyanto |
| collection | DOAJ |
| description |
This study examines the empirical relationship between capital expenditures and economic growth. It examines whether capital expenditures and accountability complement each other to encourage Indonesia's economic growth throughout 1990-2020. Using the autoregressive distributed lag (ARDL) bounds test, this study finds a cointegrated relationship between capital expenditure and economic growth in Indonesia during this period. In particular, capital expenditures have a negative impact on long-term growth. However, it is interesting that government capital expenditure with accountability shows a positive and significant effect on long-term growth. This demonstrates the importance of government accountability in managing government capital expenditures. This study implies that the government needs to increase accountability for the capital expenditures that have been realized to provide optimal benefits for Indonesia's economy in the long term.
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| first_indexed | 2024-03-12T03:22:21Z |
| format | Article |
| id | doaj.art-6624935e30a04f2a826dbd6473e19cc7 |
| institution | Directory Open Access Journal |
| issn | 2460-3937 2549-452X |
| language | English |
| last_indexed | 2024-03-12T03:22:21Z |
| publishDate | 2021-12-01 |
| publisher | Badan Pemeriksa Keuangan Republik Indonesia |
| record_format | Article |
| series | Jurnal Tata Kelola dan Akuntabilitas Keuangan Negara |
| spelling | doaj.art-6624935e30a04f2a826dbd6473e19cc72023-09-03T13:49:16ZengBadan Pemeriksa Keuangan Republik IndonesiaJurnal Tata Kelola dan Akuntabilitas Keuangan Negara2460-39372549-452X2021-12-017210.28986/jtaken.v7i2.653Indonesia’s Capital Expenditure and Economic Growth 1990-2020: Role of AccountabilityAris Setiyanto0Badan Pemeriksa Keuangan RI This study examines the empirical relationship between capital expenditures and economic growth. It examines whether capital expenditures and accountability complement each other to encourage Indonesia's economic growth throughout 1990-2020. Using the autoregressive distributed lag (ARDL) bounds test, this study finds a cointegrated relationship between capital expenditure and economic growth in Indonesia during this period. In particular, capital expenditures have a negative impact on long-term growth. However, it is interesting that government capital expenditure with accountability shows a positive and significant effect on long-term growth. This demonstrates the importance of government accountability in managing government capital expenditures. This study implies that the government needs to increase accountability for the capital expenditures that have been realized to provide optimal benefits for Indonesia's economy in the long term. https://jurnal.bpk.go.id/index.php/TAKEN/article/view/653capital expenditureEconomic GrowthaccountabilityARDLlong-term growth |
| spellingShingle | Aris Setiyanto Indonesia’s Capital Expenditure and Economic Growth 1990-2020: Role of Accountability Jurnal Tata Kelola dan Akuntabilitas Keuangan Negara capital expenditure Economic Growth accountability ARDL long-term growth |
| title | Indonesia’s Capital Expenditure and Economic Growth 1990-2020: Role of Accountability |
| title_full | Indonesia’s Capital Expenditure and Economic Growth 1990-2020: Role of Accountability |
| title_fullStr | Indonesia’s Capital Expenditure and Economic Growth 1990-2020: Role of Accountability |
| title_full_unstemmed | Indonesia’s Capital Expenditure and Economic Growth 1990-2020: Role of Accountability |
| title_short | Indonesia’s Capital Expenditure and Economic Growth 1990-2020: Role of Accountability |
| title_sort | indonesia s capital expenditure and economic growth 1990 2020 role of accountability |
| topic | capital expenditure Economic Growth accountability ARDL long-term growth |
| url | https://jurnal.bpk.go.id/index.php/TAKEN/article/view/653 |
| work_keys_str_mv | AT arissetiyanto indonesiascapitalexpenditureandeconomicgrowth19902020roleofaccountability |