sukmadianto, ferdy -
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Pengaruh Dana Perimbangan dan Pendapatan Asli Daerah (PAD) terhadap Belanja Modal dan Kesejahteraan Masyarakat di Kabupaten - Kota se-Wilayah Propinsi Jawa Timur (Tahun 2009 -2013) sukmadianto, ferdy -
TEMA Vol 21, No 1 (2020)
Publisher : Fakultas Ekonomi dan Bisnis Universitas Brawijaya

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Abstract

The implementation of fiscal decentralization has an artificial condition when the allocation of Balance Funds on average increased every year but does not significantly improve public services. This study analyzed relationship and influence resulting from fiscal decentralization policy which embodied in Balance Funds as a part of central government funding and the PAD as a part of local governments funding to the Capital Expenditure as a representation expenditure of public service and also public welfare which proxied by IPM as the ultimate goal of the fiscal decentralization policy. This study took a sample of District – City region on East Java Province for a period of five years (2009-2013) by using path analysis. The results showed several findings, including : particularly DAU in the Balance Funds, together with PAD has significant effect on the allocation of Capital Expenditure, PAD has a positive significant effect on the HDI while Balance Funds gets the opposite, on the other hand Capital Expenditures could not be mediating the relationship between Balance Funds and PAD to the HDI, due to Capital Expenditure characteristics as investment that the utilization can not be enjoyed in the short term.   Key words: Fiscal Decentralization, Balance Funds, Local Revenue, Capital Expenditure, and Public Welfare