Economic Journal of Emerging Markets
Vol. 9 No. 1 (2004)

Pengaruh Transfer antar Pemerintah pada Kinerja Fiskal Pemerintah Daerah Kota dan Kabupaten di Indonesia

Haryo Kuncoro (Unknown)



Article Info

Publish Date
27 Jul 2009

Abstract

The main problem of this research was to analyze the local government response to the intergovernmental transfers. The main objective of this research was to get a deeper analytical results about the contribution of the intergovernmental transfers on the local own revenue, routine and development expenditures in the case of district and municipality gov¬ernments in Indonesia over the period of 1988-2002.Using the simultaneous equation system, we concluded that the intergovernmental transfers stimulate the increase of the local government expenditures larger than that of the local own revenue. It seems that the dependency of local government onto the intergovern¬mental transfers will be worse. The local governments in the long run tend to use the exter¬nal borrowing to finance the increase of their expenditures. Those results above suggest that (1) the distribution of intergovernmental transfers among regions should consider the local tax effort, and (2) services minimum standard plays an important role to realize the expen¬ditures efficiency.Keywords: Intergovernmental transfer, fiscal performance, simultaneous equation.

Copyrights © 2004






Journal Info

Abbrev

JEP

Publisher

Subject

Economics, Econometrics & Finance

Description

The Economic Journal of Emerging Markets (EJEM) is a peer-reviewed journal which provides a forum for scientific works pertaining to emerging market economies. Published every April and October, this journal welcomes original research papers on all aspects of economic development issues. The journal ...