[ABSTRAK Penelitian ini menyelidiki pengaruh perubahan kebijakan fiskal selamapelaksanaan desentralisasi fiskal terhadap ketimpangan di Indonesia. Denganmenggunakan data panel dari 27 provinsi selama periode 2001-2012, penelitianini menjelaskan dampak dari peraturan baru tentang desentralisasi fiskal terhadapketimpangan pengeluaran. Penelitian ini menggunakan koefisien Gini, Theil L,dan Theil T sebagai ukuran ketimpangan, sedangkan variabel independen meliputiindeks desentralisasi fiskal (FDA dan FDB), PDRB per kapita (pcGRDP) danPDRB per kapita kuadrat (pcGRDP kuadrat). Variabel independen PDRB perkapita dan PDRB per kapita kuadrat berfungsi sebagai variabel kontrol.Hasil regresi panel menunjukkan bahwa selama pelaksanaan Undang-Undang Nomor 25 tahun 1999 (2001-2004), desentralisasi fiskal berdampaknegatif pada ketimpangan. Penelitian ini menemukan bahwa desentralisasi fiskalmengakibatkan peningkatan ketimpangan pengeluaran. Semakin besardesentralisasi fiskal menyebabkan semakin besarnya ketimpangan pengeluaran.Perubahan undang-undang desentralisasi fiskal tahun 2004 menunjukkan bahwaketimpangan dapat dikurangi. Meskipun pengaruh desentralisasi fiskal padaketimpangan masih negatif setelah tahun 2004, besar dampaknya jauh lebih kecil. ABSTRACT This study attempts to investigate the effect of change in fiscal regulationduring implementation of fiscal decentralization on inequality in Indonesia. Usinga provincial panel data set consisting of 27 provinces during 2001-2012 periods,this study explains the impact of new regulation on fiscal decentralization onexpenditure inequality. This study employs Gini coefficient, Theil L, and Theil Tas a measure of inequality, while independent variables include indices of fiscaldecentralization (FDA and FDB), per capita GRDP (pcGRDP) and per capitaGRDP squared (pcGRDP squared). Independent variables, pc GRDP and pcGRDPsquared serve as control variables.The panel regression results show that during the implementation of the lawNo.25/1999 (i.e., from 2001 to 2004), fiscal decentralization has a negative impacton inequality. In particular, this study finds that fiscal decentralization appears tohave increased expenditure inequality. Higher degree of fiscal decentralizationviiUniversitas Indonesiainduces larger expenditure inequality. However, the implementation of the revisedfiscal decentralization law in 2004 seems to have mitigated inequality. Though theeffect of fiscal decentralization on inequality is still negative after 2004, themagnitude of the effect is much smaller.;This study attempts to investigate the effect of change in fiscal regulationduring implementation of fiscal decentralization on inequality in Indonesia. Usinga provincial panel data set consisting of 27 provinces during 2001-2012 periods,this study explains the impact of new regulation on fiscal decentralization onexpenditure inequality. This study employs Gini coefficient, Theil L, and Theil Tas a measure of inequality, while independent variables include indices of fiscaldecentralization (FDA and FDB), per capita GRDP (pcGRDP) and per capitaGRDP squared (pcGRDP squared). Independent variables, pc GRDP and pcGRDPsquared serve as control variables.The panel regression results show that during the implementation of the lawNo.25/1999 (i.e., from 2001 to 2004), fiscal decentralization has a negative impacton inequality. In particular, this study finds that fiscal decentralization appears tohave increased expenditure inequality. Higher degree of fiscal decentralizationviiUniversitas Indonesiainduces larger expenditure inequality. However, the implementation of the revisedfiscal decentralization law in 2004 seems to have mitigated inequality. Though theeffect of fiscal decentralization on inequality is still negative after 2004, themagnitude of the effect is much smaller.;This study attempts to investigate the effect of change in fiscal regulationduring implementation of fiscal decentralization on inequality in Indonesia. Usinga provincial panel data set consisting of 27 provinces during 2001-2012 periods,this study explains the impact of new regulation on fiscal decentralization onexpenditure inequality. This study employs Gini coefficient, Theil L, and Theil Tas a measure of inequality, while independent variables include indices of fiscaldecentralization (FDA and FDB), per capita GRDP (pcGRDP) and per capitaGRDP squared (pcGRDP squared). Independent variables, pc GRDP and pcGRDPsquared serve as control variables.The panel regression results show that during the implementation of the lawNo.25/1999 (i.e., from 2001 to 2004), fiscal decentralization has a negative impacton inequality. In particular, this study finds that fiscal decentralization appears tohave increased expenditure inequality. Higher degree of fiscal decentralizationviiUniversitas Indonesiainduces larger expenditure inequality. However, the implementation of the revisedfiscal decentralization law in 2004 seems to have mitigated inequality. Though theeffect of fiscal decentralization on inequality is still negative after 2004, themagnitude of the effect is much smaller., This study attempts to investigate the effect of change in fiscal regulationduring implementation of fiscal decentralization on inequality in Indonesia. Usinga provincial panel data set consisting of 27 provinces during 2001-2012 periods,this study explains the impact of new regulation on fiscal decentralization onexpenditure inequality. This study employs Gini coefficient, Theil L, and Theil Tas a measure of inequality, while independent variables include indices of fiscaldecentralization (FDA and FDB), per capita GRDP (pcGRDP) and per capitaGRDP squared (pcGRDP squared). Independent variables, pc GRDP and pcGRDPsquared serve as control variables.The panel regression results show that during the implementation of the lawNo.25/1999 (i.e., from 2001 to 2004), fiscal decentralization has a negative impacton inequality. In particular, this study finds that fiscal decentralization appears tohave increased expenditure inequality. Higher degree of fiscal decentralizationviiUniversitas Indonesiainduces larger expenditure inequality. However, the implementation of the revisedfiscal decentralization law in 2004 seems to have mitigated inequality. Though theeffect of fiscal decentralization on inequality is still negative after 2004, themagnitude of the effect is much smaller.] |