Examining the Association between Local Government Financial Indicators and Public Service
Main Authors: | , ANNISA FISAKINAH N, , Mahfud Sholihin, Ph.D. |
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Format: | Thesis NonPeerReviewed |
Terbitan: |
[Yogyakarta] : Universitas Gadjah Mada
, 2013
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Subjects: | |
Online Access: |
https://repository.ugm.ac.id/120137/ http://etd.ugm.ac.id/index.php?mod=penelitian_detail&sub=PenelitianDetail&act=view&typ=html&buku_id=60157 |
Daftar Isi:
- This paper replicates the model of Trussel and Patrick and adjusting it to the Indonesian context to analyse the financial indicators associated with reductions of public services in Indonesian local government. Logistic regression analysis is used to examine whether or not reductions in public services is caused by certain symptoms of fiscal distress. Public service reductions is hypothesised to be positively associated with revenue risk and debt usage, and negatively associated with organisational slack and entity resources. A model is developed to predict the likehood of significant reductions in public services by Indonesian local governments. During the period 2007-2010, there are 66.67 percent of the local governments have reduced public services. The results also show that a high level of capital expenditures relative to total revenues in the year preceding the reduction isthe most influential predictor of a reduction in public services.