Mediating Effect of Capital Expenditure on the Effect of Revenues, Allocation Fund, and Tax/Nontax Sharing on Economic Growth (Empirical Study of Regencies in Bengkulu Province Period of 2009-2015)
DOI:
https://doi.org/10.47312/ambr.v2i2.104Abstract
This research examines the mediating effect of capital expenditure on the relationship between regional revenues (PAD), general allocation fund (DAU), specific allocation fund (DAK), and tax sharing fund/non tax sharing (DBH) on the economic growth. Secondary data were collected from 10 regencies in Bengkulu Province for the period of 2009 to 2015. This research used panel data analysis. The results showed that capital expenditure did not mediate the relationship between regional generated revenues, general allocation fund, specific allocation fund, and tax sharing fund/non tax sharing to economic growth. Meanwhile, general allocation fund have positif effect on economic growth. Regional generated revenues and specific allocation fund have negative effect on economic growth, regional revenues and specific allocation fund also have positive effect on capital expenditure. Implication for stakeholders and further research are discussed.
Keywords: Capital Expenditure, Economic Growth, General Allocation Fund, Regional Generated Revenues, , Specific Allocation Fund, Tax Sharing Fund /Non Tax SharingDownloads
References
Andriana. (2009). Effect of PAD, DAU, capital expenditure on economic growth in Regencies of Central Java Province 2004-2007. Accessed from: http: //etd.repository.ugm.ac.id.index.php? mod = opac & sub = Opac & act = view & typ = html & perpus_id = & perpus = 1 & searchstring = Fund% 20allocation% 20 & self = 1 & op = review
Anrianti, A. (2010). Effect of DAU, PAD and economic growth on capital expenditure. Accessed from: http: //etd.repository.ugm.ac.id.index.php? mod = opac & sub = Opac & act = view & typ = html & perpus_id = & perpus = 1 & searchstring = Fund% 20allocation% 20 & self = 1 & op = review
Anthony, R. N., & Govindarajan, V. (1995). Management control systems. Illinois: Irwin Homewood.
Baron, R. M., & Kenny, D. A. (1986). The Moderator-mediator variable distinction in Social Psychological Research: Conceptual, strategic, and statistical Consideration. Journal of Personality and Social Psychology, 51(6), 1173-1182.
Brata, A. G. (2004). Composition of public sector receipts and regional economic growth. Yogyakarta: The Research Institute of Universitias Atmajaya.
Directorate General of Regional Financial Management. (2013). Capital expenditure local government must reach 30 Percent. Jakarta: Ministry of Home Affairs.
Eisenhardt, K. (1989). Agency theory: An assessment and review. Academy of Management Review, 14, 57-74.
Gunantara, P. C., & Dwirandra, A. A. N. B. (2014). Effect of PAD and DAU on economic growth with capital spending as moderate variables in Bali. E Journal of Accounting for Udayana University, 3.
Hendriwiyanto, G. (2014). The Effect of regional income on economic growth with capital expenditure as moderation variables. Accessed from: download. portalgaruda.org> article.
Jensen, M. C., & Meckling. W. H. (1976). Theory of the firm: Managerial behavior, agency cost and ownership structure. Journal of Financial Economics, 3, 305-360. North-Holland Publish Companey.
Kuncoro, M. (2014). Regional autonomy: Toward a new era of regional development. Issue 3 Jakarta: Erland.
Kurni, A. (2012). Effect of DAU and DAK on GDP of twenty regencies in Papua Province Period 2006-2010. Accessed from: http: //etd.repository.ugm.ac.id.index.php? mod = opac & sub = Opac & act = view & typ = html & perpus_id = & perpus = 1 & searchstring = Fund% 20allocation% 20 & self = 1 & op = review
Kusnandar., & Siswantoro, D. (2012). Influence of general allocation fund, local original income, remaining more budget financing and area to capital expenditure. Accessed from: http://pdeb.fe.ui.ac.id/?p=6616
Kuspita, M. (2015). Effect of PAD, DAU, DAK and SiLPA on capital expenditures realization and fffect of capital expenditures realization, private investment and labor against economic growth: Empirical study of regencies in Central Java Province. Accessed from: http: //etd.repository.ugm.ac.id.index.php? Mod = opac & sub = Opac & act = view & typ = html & perpus_id = & perpus = 1 & searchstring = Fund% 20allocation% 20 & self = 1 & op = review
Mardiasmo. (2009). Public sector accounting. Yogyakarta: Andi.
Novianto, R., & Hanafiah, R. (2015). Effect of original income, balancing fund and financial performance of capital expenditure allocation at regencies in West Kalimantan Province. Journal of Economics, 4(1). ISSN: 2302-7169.
Oktrinniatmaja, R. (2011). The Effect of local income, general allocation funds and special allocation funds to allocation of capital expenditure budget in regional revenue and expenditure Budget of regencies In Java Island, Bali, and NusaTenggara. Retrieved from: http://eprints.uns.ac.id/5945/
Regulation of the Minister of Home Affairs Guideline for the Preparation of Regional Income and Expenditure Budget for Fiscal Year 2016, Number 52, (2015).
Pujiati, A. (2006). Analysis of economic growth in Karasidenan Semarang fiscal desetralization era. Journal of Development Economics. Economic Study of Developing Countries, 61-70.
Rostow., & Musgrave. (1996). Economic development planning. Jakarta: Raja Grafindo Pustaka.
Santosa, B. (2013). Effect of local income and regional development fund of growth, unemployment and poverty in 33 Provinces of Indonesia. Journal of Finance and Business. Universitas Trisakti Jakarta.
Solikin, I (2007). Relationship of revenue and general allocation funds with capital expenditure in West Java. Exclusive Journal , 4(4). Jakarta: Universitas Pendidikan Indonesia.
Sularso, H., & Restianto, Y.E. (2011). Influence of financial performance on capital expenditure allocation and economic growth of regencies in Central Java. Media Research Accounting, 1(2).
Sumartini, N. K. A. (2015). Effect of PAD and DAU on economic growth through capital expenditure in Bali Province. E-Journal EP Unud, 4 (4), 258-271. ISSN: 2303-0178.
Taaha, Y. R., Nursini., & Salim, A. (2009). Effect of balancing funds on economic growth in Central Sulawesi Province. Accessed from: http://pasca.unhas.ac.id> journals> files
Wandira, C. A. (2013). Effect of PAD, DAU, DAK and DBH on allocation of capital expenditures. Accounting Analysis Journal. Semarang State University.
Downloads
Published
Issue
Section
License
Authors who publish with this journal agree to the following terms:
The journal allow the authors to hold the copyright without restrictions and allow the authors to retain publishing rights without restrictions.
The journal allow the authors to hold the copyright without restrictions and allow the authors to retain publishing rights without restrictions. Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.
Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See The Effect of Open Access).
This work is licensed under a Creative Commons Attribution 4.0 International License.
