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All Journal Journal of Economics, Business, & Accountancy Ventura Kinerja: Jurnal Ekonomi dan Manajemen Forum Ekonomi : Jurnal Ekonomi, Manajemen dan Akuntansi Inovasi : Jurnal Ekonomi, Keuangan, dan Manajemen Jurnal Pustaka Mitra : Pusat Akses Kajian Mengabdi Terhadap Masyarakat Jurnal Ilmu Manajemen Mulawarman (JIMM) Jurnal Ilmu Ekonomi Mulawarman (JIEM) Jurnal Pengabdian Pada Masyarakat
Adi Wijaya
Universitas Mulawarman
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Journal : Journal of Economics, Business,

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Fiscal Decentralization and Income Inequality: A Prediction Using the SEM Model Juliansyah Roy; Adi Wijaya; Dio Caisar Darma; Erwin Kurniawan A
Journal of Economics, Business, & Accountancy Ventura Vol 24, No 3 (2021): December 2021 - March 2022
Publisher : Universitas Hayam Wuruk Perbanas

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.14414/jebav.v24i3.2681

Abstract

Economic development in a region is not only measured by the fiscal dimension andthe economic growth but also based on the income distribution. This study aims toanalyze the effect of fiscal decentralization on investment, economic growth, economic structure, employment opportunities, and income inequality between districts/cities in East Kalimantan Province, Indonesia. This study uses panel data (2013-2019) of the amalgamation of seven districts and three cities in East Kalimantan Province, analyzed using the Structural Equation Model (SEM). The findings show that regional tax plays a crucial role in enhancing regional investment, economic growth, and employment opportunities. It is also important for reducing the economic structure imbalance and income inequality. Profit-sharing funds improve regional investment, economic growth, and employment opportunities. At the same time, special allocation increases employment opportunities and economic structure imbalance. Furthermore, regional retribution increases employment opportunities and reduces the economic structure imbalance, but it harms regional economic growth. The practical implications offer solutions to the realization of local revenue sources for economic development and alleviation of social problems, such as employment opportunities and inequality in welfare.
Co-Authors Adnan Haris Musa Agus Junaidi Ahmad Rasyidi Aji Sofyan Effendi Akhmad Noor Ami Paramban Andriawan Kustiawan Andriawan Kustiawan Ardita Adela Arfiah Busari Aris Saputra Askar Husairi Azhar Rivai Chairul Ilmi Dahma Amar Ramdhan Diana Lestari Dinar Fuad Romadlon Dio Caisar Darma Dita Yuliana Agustin Djoko Setyadi Edison Mutang Eka Yurita Hidiya Emmilya Umma Aziza Gaffar Emmilya Umma Azizah Gaffar Eny Rochaida Ernie Ferawati Erwin Kurniawan A Erwin Kurniawan A. Erwin Kurniawan A. Faisal Riza Fitriadi Fitriadi Hanny Melani Hariyadi Yakub Herning Indriastuti I Wayan Prajna Satya Dharma Indirwan Indirwan Irwan Gani Irwan Pirda Jiuhardi Jiuhardi Juliansyah Roy Lestari Riski Sputri Lidwina Padatuan Lisdiana Lisdiana Marthinus Pasangka Maryam Nadir Mery Rahayu Michael Michael Muhammad Awaluddin Muhammad Iqbal Fhahrulreza Ginting Muhammad Nanda Adytia Muhammad Yusuf Muliadi Muliadi Muliati Muliati Noor Hidayah Nur Abdi Aulia Rahman Nurjanana Nurjanana Pilipus Bambang Wahyono Putro Prananda Saputra Nugraha Putu Meilya Ayu Widyastini Rachmad Budi Suharto Rachmad Budi Suharto Radakisanti Radakisanti Radinal Mukhtar Rahmad Mas’ud Riduansyah Riduansyah Riky Riduan Pratama Rudy Mas’ud Rusdiah Iskandar Salbiah Rizky Arifin Salmah Salmah Sherly Marcella shiva aulia Siti Amalia Sri Mintarti Stefanus Adhitya Pura Tanti Salma Theresia Militina Theresia Militina Theresia Militina Tri Joko Kuntoro Tri Wahyuni Bemboa Yakin Masiku Yana Ulfah Yanti Abrar Yuliana Yuliana Zamruddin Hasid