The Financial Performance Comparison between Local Government with Flypaper Effect and Non-Flypaper Effect - Empirical Study on East Java Province in 2015

Maola Fiernabella Restantri, Murdiyati Dewi

2018

Abstract

This study aims to examine whether there are differences in the financial performance of local governments that are experiencing a flypaper effect and local governments that are not. Based on the census method of sampling, 35 data samples were obtained, consisting of 27 regencies and eight municipalities. The selection of sample types from flypaper effect regions and non-flypaper effect regions was analyzed using multiple regression of local government revenue and general allocation fund to local expenditure. Accounting performance data were analyzed with the Mann-Whitney U-test and independent sample t-test. The results show that seven regions experience the flypaper effect and 28 regions do not experience the flypaper effect. The average revenue composition of non-flypaper effect regions is higher than is the case in flypaper effect regions and significantly different. The average cost, expenditure and effectiveness ratio of flypaper effect regions are higher than non-flypaper effect regions but not significant. The average financing ability ratio of non-flypaper effect regions is higher than flypaper effect regions but not significant.

Paper Citation

in Harvard Style

Restantri M. and Dewi M. (2018). The Financial Performance Comparison between Local Government with Flypaper Effect and Non-Flypaper Effect - Empirical Study on East Java Province in 2015.In Proceedings of the Journal of Contemporary Accounting and Economics Symposium 2018 on Special Session for Indonesian Study - Volume 1: JCAE Symposium, ISBN 978-989-758-339-1, pages 692-698. DOI: 10.5220/0007020006920698

in Bibtex Style

@conference{jcae symposium18,
author={Maola Fiernabella Restantri and Murdiyati Dewi},
title={The Financial Performance Comparison between Local Government with Flypaper Effect and Non-Flypaper Effect - Empirical Study on East Java Province in 2015},
booktitle={Proceedings of the Journal of Contemporary Accounting and Economics Symposium 2018 on Special Session for Indonesian Study - Volume 1: JCAE Symposium,},
year={2018},
pages={692-698},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0007020006920698},
isbn={978-989-758-339-1},
}

in EndNote Style

TY - CONF

JO - Proceedings of the Journal of Contemporary Accounting and Economics Symposium 2018 on Special Session for Indonesian Study - Volume 1: JCAE Symposium,
TI - The Financial Performance Comparison between Local Government with Flypaper Effect and Non-Flypaper Effect - Empirical Study on East Java Province in 2015
SN - 978-989-758-339-1
AU - Restantri M.
AU - Dewi M.
PY - 2018
SP - 692
EP - 698
DO - 10.5220/0007020006920698