Analisis Deteksi Fenomena Flypaper Effect Pada Kinerja Keuangan Kota Bengkulu

Abstract

The purpose of this research is to know the possibility of flypaper effect on Financial Performance of Bengkulu City by knowing the influence of locally-generated revenue (PAD), General Allocation Fund (DAU) to Bengkulu City. This reaseach used the time series data about the Budget Realization Report (LRA) of Bengkulu City and the Financial Statistics of Bengkulu Province which provided by the Central Bureau of Statistics of Bengkulu Province. Data analysis tool used is multiple regression analysis.The empirical results of this research shows that the first, PAD has influential positive and significant to regional expenditure against the Bengkulu City, DAU has influential positive and significant regional expenditure against the Bengkulu City. The second, flypaper effect phenomenon is not occurring on financial performance of the Bengkulu City, it is seen of the value of the coefficients PAD greater than the value of the coefficients general allocation fund (DAU) and the result is significant on ? = 0.05.

The Determinant Factors of Regional Expenditure

“…Most of the sources of regional revenue in districts/city in Bengkulu Province still come from the balance fund (transfer) consisting of tax revenue sharing, non-tax/natural resources profit sharing, GAF and SAF and other revenues consisting of grant income, emergency fund income and other income. This is in line with the results of research bySeptriani et al (2020) which found that funds is obtained from general allocation funds (GAF). Meanwhile, the Special Allocation Fund (SAF) also has an important role in increasing regional revenues.…”

“…Therefore, to achieve development targets, the local government of districts/cities in Bengkulu Province strives to improve the quality of Regional Expenditure to more productive expenditures, such as capital expenditure. Meanwhile, non-priorities such as spending on goods and subsidies must be right on target.The results of this research are in line with the results of research conducted bySeptriani, et al (2020) which found that General Allocation Fund (GAF) has a positive effect on Regional Expenditure in Bengkulu City. Where the amount of regional expenditure in Bengkulu City is largely determined by the amount of General Allocation Fund (GAF) received by the Bengkulu City government.…”