Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/86177
Authors: 
Suharnoko Sjahrir, Bambang
Kis-Katos, Krisztina
Schulze, Günther G.
Year of Publication: 
2013
Series/Report no.: 
Discussion Paper Series, University of Freiburg, Department of International Economic Policy 24
Abstract: 
We analyze the determinants of the excessive administrative spending of local governments in Indonesia. In an unbalanced panel data set of 399 districts for 2001-2009, we show that the proliferation of districts has not led to increased administrative spending; instead a lack of political accountability is responsible for this excess. The degree of political competition influences the level of administrative spending significantly; newly introduced direct elections of district heads, however, did not curtail the waste.
Subjects: 
administrative expenditures
decentralization
direct elections
Indonesia
JEL: 
D73
H76
H11
R51
Document Type: 
Working Paper

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