Dampak alokasi pengeluaran dana pembangunan pemerintah daerah dan investasi swasta terhadap produk domestik regional Bruto dan kemiskinan Provinsi Jambi

Abstract

The objective of this research was to: (1) analyze the influence of the local government development expenditure are broken down into several sectors to economic growth and poverty, (2) analyze influence of increasing investment made by the private sector (domestic and foreign investments) to economic growth and poverty levels, and (3) perform simulations to determine the impact of changes in the allocation of regional development funds and private investment and economic growth and poverty. The research was conducted in the province of Jambi, using secondary data coherent time (time series) in 1985-2010 The conclusions of this research resulted: (1) the decrease strategy of the poor people number in the Jambi province, had to be made by increasing private investment realization, either foreign or domestic investment, (2) the private investment had to be impelled to the productive activity programs, like the agricultural field and the micro developing-business (UKM), (3) because of the definite local fiscal capability, the local government had to interlace the private authority in developing the Jambi province, (4) to increase the investment number and realization in Jambi had to be done by getting several ways, such as : (a) increase the supporting tools and infrastructures, like the road and bridge infrastructure, electricity, and communication, and (b) create the conducive healthful climate, like the safety, convenience, simple and easy of the permission, transparency and accountability, (5) to decrease the poverty level in the Jambi province, not only the economic variable needed to be noticed but also the non-economic variables needed to be noticed like the education and health, (6) the fiscal decentralization still occupied the important role in the side to impel the local governmental expenditure, especially the local tax, and (7) . The analysis uses an econometric approach with a simultaneous equations model that is consists of 20 structural equations and 8 identity equations. The model is estimated using the 2SLS method and the allocation impact of allocation of government development expenditure and private investment is analysed using simulation. The existence of an endogenous variable lag which has positive and real, both on revenue and expenditure equations governments, reflecting the revenue and expenditure planning local governments is not based on the calculation of the real need for each component of revenue and expenditure, but rather based on the amount of revenue and expenditure period before.