Electoral Accountability, Fiscal Decentralization and Service Delivery in Indonesia

This paper takes advantage of the exogenous phasing of direct elections in districts and applies the double difference estimator to: (i) measure impacts on the pattern of public spending and revenue generation at the district level; and (ii) investigate the heterogeneity of the impacts on public spending. The authors confirm that the electoral reforms had positive effects on district expenditures and these effects were mainly due to the increases in expenditures in the districts outside Java and Bali and the changes in expenditures brought about by non-incumbents elected in the districts. Electoral reforms also led to higher revenue generation from own sources and to higher budget surplus. Finally, the analysis finds that in anticipation of the forthcoming direct elections, district governments tend to have higher current expenditures on public works.

Bibliographic Details

Main Authors:	Dasgupta, Basab, Skoufias, Emmanuel, Narayan, Ambar, Kaiser, Kai
Language:	English
Published:	2011-03-01
Subjects:	ACCOUNTABILITY MECHANISMS, AGGREGATE SPENDING, BANKRUPTCY, BLOCK GRANTS, BUDGET DATA, BUDGET DEFICIT, BUDGET EXPENDITURE, BUDGET STRUCTURE, BUDGET SURPLUS, BUSINESS CYCLE, CANDIDATES, CAPITAL SPENDING, CASH RESERVES, CATEGORIES OF EXPENDITURES, CENTRAL AUTHORITIES, CENTRAL GOVERNMENT, CENTRAL TRANSFERS, CHECKS, CITIZEN NEEDS, CIVIL SERVANTS, CIVIL SERVICE, COEFFICIENTS, COMPARATIVE PERSPECTIVE, CONSTITUENCIES, CONSTITUENTS, CONSUMPTION EXPENDITURES, CREDIBILITY, CURRENT EXPENDITURES, DEBT, DEBT LEVELS, DEMOCRACIES, DEMOCRACY, DEMOCRATIC ACCOUNTABILITY, DEMOCRATIC TRANSITION, DEVELOPING COUNTRIES, DEVELOPING COUNTRY, DEVELOPMENT EXPENDITURES, DISTRIBUTION OF PUBLIC SPENDING, DISTRIBUTIONAL IMPACT, DISTRICT, DISTRICT ADMINISTRATION, DISTRICT GOVERNMENT, DISTRICT GOVERNMENTS, DISTRICT LEVEL, DISTRICT REVENUES, DISTRICT-LEVEL, DISTRICTS, ECONOMIC CONDITIONS, ECONOMIC POLICY, EDUCATION BUDGET, EDUCATION EXPENDITURES, EDUCATIONAL ATTAINMENT, EFFICIENT USE, EFFICIENT USE OF RESOURCES, ELECTION, ELECTION TIME, ELECTIONS, ELECTORAL INFORMATION, ELECTORAL SYSTEMS, ELECTORATE, EXPENDITURE ALLOCATIONS, EXPENDITURE CATEGORIES, EXPENDITURE DATA, EXPENDITURE PATTERNS, EXPENDITURE PRIORITIES, EXPENDITURES, EXPENDITURES ON HEALTH, EXPENDITURES PER CAPITA, FAIR ELECTIONS, FINANCIAL INFORMATION, FINANCIAL INFORMATION SYSTEM, FISCAL BALANCE, FISCAL BALANCES, FISCAL BEHAVIOR, FISCAL CONDITIONS, FISCAL DATA, FISCAL DECENTRALIZATION, FISCAL DECISIONS, FISCAL DEFICITS, FISCAL EXPENDITURE, FISCAL EXPENDITURES, FISCAL FEDERALISM, FISCAL OUTCOMES, FISCAL PERFORMANCE, FISCAL SYSTEM, FISCAL VARIABLES, FIXED EFFECT MODEL, GOVERNMENT EXPENDITURE, GOVERNMENT EXPENDITURES, GOVERNMENT FINANCING, GOVERNMENT PERFORMANCE, GOVERNMENT REVENUE, GOVERNMENT STRUCTURES, GOVERNOR, GOVERNORS, HEALTH EXPENDITURE, HEALTH EXPENDITURES, HEALTH SECTOR, HUMAN DEVELOPMENT, INSTRUMENT, INTERGOVERNMENTAL FISCAL RELATIONS, INTERNATIONAL BANK, INVESTMENT DECISIONS, INVESTMENT PATTERN, LABOR MARKET, LAWS, LEGAL OBLIGATION, LEGISLATION, LEGISLATORS, LOCAL ELECTIONS, LOCAL EXPENDITURE, LOCAL EXPENDITURES, LOCAL FINANCE, LOCAL GOVERNMENT, LOCAL GOVERNMENT EXPENDITURES, LOCAL GOVERNMENT SPENDING, LOCAL GOVERNMENTS, LOCAL PUBLIC SERVICES, LOCAL TAXES, MAYOR, MAYORS, MEASURABLE INDICATORS, MINISTRY OF FINANCE, MUNICIPAL LEVEL, MUNICIPALITIES, NATIONAL ELECTIONS, NATURAL RESOURCES, OBJECTIVE OF POVERTY REDUCTION, OUTCOME INDICATORS, PARLIAMENTARY SYSTEMS, PARLIAMENTS, PARTY DISCIPLINE, PATTERN OF PUBLIC SPENDING, PER CAPITA EXPENDITURES, POLICY CHOICES, POLITICAL ACCOUNTABILITY, POLITICAL AUTONOMY, POLITICAL COMPETITION, POLITICAL DECENTRALIZATION, POLITICAL ECONOMY, POLITICAL INSTITUTIONS, POLITICAL PARTY, POLITICAL POWERS, POLITICAL REFORM, POLITICIANS, POSITIVE COEFFICIENT, POSITIVE IMPACT OF DECENTRALIZATION, POSITIVE IMPACTS, POVERTY REDUCTION, PRIVATE GOODS, PRIVATE INVESTMENT, PROGRAM EVALUATION, PROGRAMS, PROVINCE, PROVINCES, PUBLIC ADMINISTRATION, PUBLIC ECONOMICS, PUBLIC EXPENDITURE, PUBLIC EXPENDITURE REVIEW, PUBLIC EXPENDITURES, PUBLIC GOOD, PUBLIC GOODS, PUBLIC HEALTH, PUBLIC INVESTMENT, PUBLIC INVESTMENTS, PUBLIC POLICY, PUBLIC RESOURCES, PUBLIC SECTOR, PUBLIC SECTOR SPENDING, PUBLIC SPENDING, PUBLIC WORKS, QUALITY OF SERVICES, REDISTRIBUTION, REGIONAL GOVERNMENTS, REPAYMENT, REPRESENTATIVES, RESOURCE ALLOCATION, REVENUE ALLOCATIONS, REVENUE BASE, REVENUE MOBILIZATION, REVENUE SHARING, SECTOR EXPENDITURES, SERVICE DELIVERY, SERVICE PROVIDERS, SOCIAL EXPENDITURES, SOCIAL PROTECTION, SUB-NATIONAL, SUB-NATIONAL GOVERNMENTS, TAX, TAX CUTS, TAX RATES, TAX REVENUE, TAX SHARING, TAXATION, TOTAL EXPENDITURE, TOTAL EXPENDITURES, VILLAGE, VILLAGES, WARRANTS,
Online Access:	http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20110329091113 https://hdl.handle.net/10986/3381
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