Articles
<![CDATA[The Impact of Financial Accountability, Internal Control and Government Expenditure on Social Welfare ]]>
<![CDATA[Baries Ferryono]]>;
<![CDATA[M. Pudjihardjo]]>;
<![CDATA[Ferry Prasetyia]]>
<![CDATA[ Journal of International Conference Proceedings (JICP) Vol 5, No 2 (2022): BEFIC Conference Proceeding ]]>
Publisher : <![CDATA[AIBPM Publisher ]]>
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DOI: 10.32535/jicp.v5i2.1678
<![CDATA[One of the goals of the Indonesia is social welfare. However, there are still Indonesian people who suffer for living. The local government expenditure, which is expected to encourage welfare, still hasn`t show satisfactory results. This study aims to determine the impact of financial accountability, internal control and government expenditure on social welfare. This research was conducted in 508 districts/cities in Indonesia within period between 2015-2019. The results indicate that financial accountability has various effects on welfare. Only the unqualified opinion has a significant effect on all welfare indicators. The audit findings were not proven to have a significant effect on welfare. The results also indicate that internal control has a significant influence on all welfare indicators. The higher the internal audit capability and the internal control system maturity level, the greater the impact on promoting welfare. Government expenditure, in aggregate, has a significant effect on most welfare indicators. The results of this study further strengthen the role of internal control to promote welfare. Therefore, it is important that the local government considered improving the internal audit capability and the internal control system. Keyword: Accountability, Government Expenditure, Internal Audit Capability, Internal Control System, Welfare]]>
<![CDATA[Harnessing The Internet for Inclusive Development: Evidence from Spatial Panel Data Analysis in Indonesia ]]>
<![CDATA[Karmila Maharani]]>;
<![CDATA[Munawar Ismail]]>;
<![CDATA[Ferry Prasetyia]]>
<![CDATA[ Journal of International Conference Proceedings (JICP) Vol 5, No 2 (2022): BEFIC Conference Proceeding ]]>
Publisher : <![CDATA[AIBPM Publisher ]]>
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DOI: 10.32535/jicp.v5i2.1691
<![CDATA[Technology utilization is often considered one of the main drivers promoting inclusive development. As a form of technology utilization, whether using the internet can promote inclusive development has been a concern for researchers and policymakers. Considering geographical connectivity characteristics, we examine the effects of internet penetration on inclusive development by applying spatial econometric models and using data from 34 provinces in Indonesia from 2015 to 2020. This study reveals that encouraging the internet penetration can significantly improves the inclusive development in a province. However, the increase of internet penetration leads to the decrease of inclusive development in neighboring provinces. The digital divide among provinces in Indonesia can be attributed to this phenomenon. This study also indicates a strong positive spatial correlation of inclusive development. Our findings point to the need for policies to promote people's use of the internet to achieve more benefits from development, balance the digital development to reduce the harmful effects of the digital divide, and consider the spatial aspects when making policies to promote inclusive development.Keywords: Inclusive Development; Internet Penetration; Spatial Analysis]]>
<![CDATA[Optimalisasi Rantai Pasok Komoditas Pertanian Strategis di Jawa Timur ]]>
<![CDATA[Ferry Prasetyia]]>;
<![CDATA[Farah Wulandari Pangestuty]]>;
<![CDATA[Andhika P. Herlambang]]>
<![CDATA[ JSEP (Journal of Social and Agricultural Economics) Vol 15 No 3 (2022): JURNAL SOSIAL EKONOMI PERTANIAN (J-SEP) ]]>
Publisher : <![CDATA[University of Jember ]]>
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DOI: 10.19184/jsep.v15i3.34368
<![CDATA[This study aims to identify value chain of strategic agricultural commodities in East Java. In addition, this study formulate supply chain optimization of strategic agricultural commodities in East Java. This study uses several analysis approaches, namely 1) input output analysis; 2) supply chain descriptive analysis, 3) supply chain management institutional pattern analysis, 4) trading margin analysis, 5) value chain analysis, 6) root problem analysis; and 7) Process Hierarchy Analysis (AHP).The results of this study indicate that there are three strategic commodities in East Java, namely sugar cane, cayenne pepper and corn. These strategic agricultural commodities have a fairly long supply chain. On average, producers (farmers/breeders) receive the lowest price margins among other supply chain actors. Collectors and wholesalers are known to receive the most margins.]]>
<![CDATA[Fiscal Decentralization and Per Capita Income Convergence between Regencies/Municipalities in Java Island ]]>
<![CDATA[Rima Melati Anggraeni]]>;
<![CDATA[Mohamad Khusaini]]>;
<![CDATA[Ferry Prasetyia]]>
<![CDATA[ Journal of International Conference Proceedings Vol 5, No 4 (2022): FEBIC International Conference Proceeding ]]>
Publisher : <![CDATA[AIBPM Publisher ]]>
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DOI: 10.32535/jicp.v5i4.1906
<![CDATA[This study aims to analyze the existence of beta absolute convergence and beta conditional convergence, the impact of fiscal decentralization in terms of income and expenditure side on per capita income and the process of accelerating the per capita income convergence using 2015-2019 panel data of 113 regencies/municipalities obtained from Central Bureau of Statistics and the Directorate General for Fiscal Balance. Using fixed effect regression models, this study confirms that there are beta absolute convergence and beta conditional convergence in Java Island during 2015-2019. Other findings are Local Own Source Revenue and Fiscal Balance Fund have a significant positive effect on per capita income growth, while Personnel Expenditure and Capital Expenditure have a significant negative effect on per capita income growth. The results also show that all indicators of fiscal decentralization play significant role in accelerating the convergence of per capita income. Based on the results of estimates, Local Government Own Source Revenue should be optimized and quality of government spending have to be improved to foster income per capita convergence between regions in Java Island.Keywords: income per capita convergence, fiscal decentralization regional inequality, absolute beta convergence, conditional beta convergence]]>
<![CDATA[Flypaper Effect: The Shifting Unconditional Transfer and Private Income in Indonesia ]]>
<![CDATA[Sherlita Nurosidah]]>;
<![CDATA[Mohamad Khusaini]]>;
<![CDATA[Ferry Prasetyia]]>
<![CDATA[ Journal of International Conference Proceedings Vol 5, No 4 (2022): FEBIC International Conference Proceeding ]]>
Publisher : <![CDATA[AIBPM Publisher ]]>
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DOI: 10.32535/jicp.v5i4.1935
<![CDATA[This study aims to analyze the behavioral pattern of local government as seen from their spending regarding unconditional transfer and private income. Flypaper effect has been a major phenomenon in academic research. Nevertheless, in Indonesia, such research, especially the one focusing on the shift of unconditional transfer and private income, never been caried out. Over 22 years, Indonesia has been implementing decentralization which makes it more intriguing to see local governments’ budget and spending decisions’ motives. This paper uses a panel data from 476 districts and cities in Indonesia for 11 years. Classical assumption tests, endogeneity test as well as instrumental validation test were caried out before doing the regression. The result from two-stage least square regression shows that flypaper effect does not present in total spending yet appears in four other kinds of spending. Asymmetric response of those five are quite varied. Total expenditure and capital expenditure have symmetrical response. Meanwhile, operational spending and transfer spending have a fiscal replacement type of asymmetry. On the other hand, unexpected spending shows a fiscal restraint asymmetry. The direction of private income’s influence to spending also seen to be different from one another.]]>
<![CDATA[EVALUATION OF GREEN GDP MEASUREMENT IN INDONESIA USING GREY SYSTEM APPROACH ]]>
<![CDATA[Andistya Oktaning Listra]]>;
<![CDATA[Ferry Prasetyia]]>
<![CDATA[ Journal of Indonesian Applied Economics Vol. 8 No. 1 (2020) ]]>
Publisher : <![CDATA[Department of Economics, Faculty of Economics and Business, Universitas Brawijaya ]]>
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DOI: 10.21776/ub.jiae.2020.008.01.4
<![CDATA[The objective of the research was to apply Grey System Theory Type GM (1,1) on the forecast and evaluation of Indonesia’s Green GDP accounting which mainly deals with systems that have limited data and asymmetric information. The data used in this research is secondary data obtained from Sucofindo. The result of Grey System Theory Type GM (1,1) show that the Mean Percentage Error (MPE) and mean absolute percentage error (MAPE) value which showed bias conditions and lack of accuracy. This result show that the status of natural resources and environmental condition in Indonesia which considered from its result still present the weakness of Indonesia’s Green GDP accounting. From that consideration, the reconstruction of Indonesia’s Green GDP accounting are needed by increasing of green economy efforts and policies]]>
<![CDATA[One Size Does Not Fit All: The Heterogenous Impact of Democracy on Economic Growth in Indonesia ]]>
<![CDATA[Hidsal Jamil]]>;
<![CDATA[Candra Fajri Ananda]]>;
<![CDATA[Ferry Prasetyia]]>
<![CDATA[ MIMBAR (Jurnal Sosial dan Pembangunan) Volume 38, No. 2, (Desember, 2022) [Accredited Sinta 2] No 10/E/KPT/2019] ]]>
Publisher : <![CDATA[Universitas Islam Bandung ]]>
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DOI: 10.29313/mimbar.v0i0.10114
<![CDATA[Indonesia's democratic level has grown during the last decade. Unfortunately, economic growth is on the decline at the same time. Based on this phenomenon, this study investigates whether democracy has a causal impact on economic growth. The panel data used in this study spans 33 Indonesian provinces from 2009 to 2020. The fixed-effect analytical model was employed to capture the effects of changes in provincial characteristics. This study provides empirical evidence that democracy supports economic growth, even though human capital, infrastructure capital, and government and trade policies are considered in the analytical model. By splitting the sample, this study finds that democracy is a predictor of economic growth in provinces in Java and provinces in the Western Part of Indonesia. The findings in this study have implications for policymakers and researchers; ”One Size Does Not Fit All” in democracy context. The democracy-based economic growth strategy in Java and Western Indonesia needs to be maintained. Strengthening political rights and improving the quality of democratic institutions, on the other hand, are required to ensure that the economic benefits of democracy can be noticed Outside of Java and Eastern Indonesia.]]>
<![CDATA[It takes two to Tango: The joint effect of democracy and fiscal capacity on economic growth in Indonesia ]]>
<![CDATA[Hidsal Jamil]]>;
<![CDATA[Candra Fajri Ananda]]>;
<![CDATA[Ferry Prasetyia]]>
<![CDATA[ Jurnal Perspektif Pembiayaan dan Pembangunan Daerah Vol. 10 No. 5 (2022): Jurnal Perspektif Pembiayaan dan Pembangunan Daerah ]]>
Publisher : <![CDATA[Program Magister Ilmu Ekonomi Pascasarjana Universitas Jambi ]]>
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DOI: 10.22437/ppd.v10i5.20816
<![CDATA[The literature continues to debate the effects of democracy and fiscal capacity on economic growth, both partially and jointly. To remedy the literature puzzle, this study examines the economic growth effects of democracy and fiscal capacity in 34 Indonesian provinces from 2016 to 2021. Using a fixed-effect model, this study documents no evidence of a partial effect; rather, it finds a joint effect of democracy and fiscal capacity on Indonesian economic growth. These findings remain relatively robust even when provincial heterogeneity, COVID-19 pandemic shocks, and sectoral composition are factored into the model. This finding indicates that regions with democracy and strong fiscal capacity possess relatively fast per capita GRDP growth. Based on these findings, the study concludes that democracy and fiscal capacity should exist side by side. Indonesia's sub-national economic growth strategy, like a tango game, requires reforming two types of decentralization: political decentralization to improve the quality of democracy that upholds the merit system and fiscal decentralization to expand local tax capacity to finance public goods productively.]]>
<![CDATA[REKONSTRUKSI SISTEM FISKAL NASIONAL DALAM BINGKAI KONSTITUSI ]]>
<![CDATA[Ferry Prasetyia]]>
<![CDATA[ Journal of Indonesian Applied Economics Vol. 5 No. 2 (2011) ]]>
Publisher : <![CDATA[Department of Economics, Faculty of Economics and Business, Universitas Brawijaya ]]>
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DOI: 10.21776/ub.jiae.2011.005.02.1
<![CDATA[There are two main objectives in this research such as identifying the fiscal developmentstage in Indonesia, and reconstruction of national fiscal system in the framework of 1945constitution. The initial foundation that must be built to strengthen the national fiscalsystem is a principle that comes from our basic nation’s cultural such as the principle oftogetherness and kinship. These principles should be supported by the function and basicprinciples of management of state finances such as allocation, distribution, and stabiliza-tion. While the basic principles of state financial management includes transparency, account-ability, efficiency and effectiveness. With the various components are expected to achievea state of self-reliance and fiscal sustainability, which in turn will lead to the ultimate goalof a country that is the welfare of society.Keywords: national fiscal system, welfare and 1945 constitution.]]>
<![CDATA[CORRUPTION AND DECENTRALISATION: SOME EVIDENCE IN INDONESIA ]]>
<![CDATA[Ferry Prasetyia]]>
<![CDATA[ Journal of Indonesian Applied Economics Vol. 4 No. 1 (2010) ]]>
Publisher : <![CDATA[Department of Economics, Faculty of Economics and Business, Universitas Brawijaya ]]>
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DOI: 10.21776/ub.JIAE.004.01.4
<![CDATA[This  paper  seeks  to  disentangle  the  relationship  between  decentralisation  andcorruption  In  Indonesia. The  implementations of decentralisation  in  Indonesia  in2001, on one hand give an opportunity  for  local government for more responsiveand accountable to citizens. Therefore, service delivery will improve and corruptionwill  decline. On  the  other  hand, more  decentralisation  has a  positive  impact  oncorruption, raising individual propensity to accept bribes due to an increasing anopportunities for corruption at local level. Some studies show that the implementationof decentralisation in Indonesia tends to an increasing in corruption at local level.However, some  local governments have an initiative  to addressing the problem ofcorruption through several approaches.Keywords: Decentralisation, corruption, and local government.]]>
