Oktavia, Reni and Marfianto, Roy (2020) Fiscal decentralization & government size: a case study on government in Indonesia. In: International Summit on Science, Technology and Humanity, 3-4 December 2019, Surakarta, Indonesia. (In Press)

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Abstract

The research is aimed to examine Brennan-Buchanan’s decentralization hypothesis. According to Brennan and Buchanan, decentralization creates competition among areas or regions. In case such competitions run as desired by decentralization mechanism, the government does not have many chances to increase its income that forcing resources allocation to fulfill goods and public services needs based on desired preferences by local people. More decentralized local governments create fewer interventions by central government in economy that the government size decreases along with wider range of effective decentralization Methodology: The research objects are all Indonesian Regency/Municipality Governments. The data have been consecutively taken from 2004 to 2014 with valid sample of 183 Provincial and Regency/Municipality Governments out of total 468 Provincial and Regency/Municipality Governments recorded in table of General Budget Calculation of 2005-2011. Results: The results show that relationship between fiscal decentralization and government size is not statistically significant, though its relationship coefficient is negative as predicted in the decentralization hypothesis, more decentralized a government creates more small government size

Item Type:	Conference or Workshop Item (Speech)
Subjects:	H Social Sciences > H Social Sciences (General) H Social Sciences > HJ Public Finance
Divisions:	Fakultas Ekonomi dan Bisnis (FEB) > Prodi Akuntansi
Depositing User:	Reni Reni Oktavia
Date Deposited:	30 May 2020 20:02
Last Modified:	30 May 2020 20:02
URI:	http://repository.lppm.unila.ac.id/id/eprint/21191

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