The Effect of Regional Government Expenditures and Government Transfers on Income Inequality: Study in Districts/Cities in West Java

Azas Mabrur

2019

Abstract

This paper examines the effect of local government spending and central government transfer on income inequality. The study was conducted using a panel data model with Fixed Effect model with data samples from 20 cities/districts in West Java during 2013-2017. The results of this study indicate that total local government expenditures in West Java has the effect of increasing the Gini coefficient, which means an increase in income inequality, while government spending in the economic function can reduce the Gini coefficient. This results shows that Local government expenditure allocations in West Java have not been able to support inclusive growth. To encourage inclusive growth, government spending needs to be appropriately allocated, especially prioritized in the economic function, not in other functions such as administrative and service functions

Paper Citation

in Harvard Style

Mabrur A. (2019). The Effect of Regional Government Expenditures and Government Transfers on Income Inequality: Study in Districts/Cities in West Java. In Proceedings of the 20th Malaysia Indonesia International Conference on Economics, Management and Accounting - Volume 1: MIICEMA, ISBN 978-989-758-582-1, pages 281-288. DOI: 10.5220/0009855000002900

in Bibtex Style

@conference{miicema19,
author={Azas Mabrur},
title={The Effect of Regional Government Expenditures and Government Transfers on Income Inequality: Study in Districts/Cities in West Java},
booktitle={Proceedings of the 20th Malaysia Indonesia International Conference on Economics, Management and Accounting - Volume 1: MIICEMA,},
year={2019},
pages={281-288},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0009855000002900},
isbn={978-989-758-582-1},
}

in EndNote Style

TY - CONF

JO - Proceedings of the 20th Malaysia Indonesia International Conference on Economics, Management and Accounting - Volume 1: MIICEMA,
TI - The Effect of Regional Government Expenditures and Government Transfers on Income Inequality: Study in Districts/Cities in West Java
SN - 978-989-758-582-1
AU - Mabrur A.
PY - 2019
SP - 281
EP - 288
DO - 10.5220/0009855000002900