Does Asymmetric Information Have A Moderating Effect on Budgetary Slack in Lhokseumawe City Government?

Abstract

This research aims to determine the effect of budgetary participation and clarity of budget targtes on the budgetary slack with information asymmetry as a moderating variable. The study was conducted at 33 OPD in Lhokseumawe City. Sample selection was done by using purposive sampling method. The number of respondents as many as 66 people consisting of the secretary and the head of the finance sub-section. Data collection was done through a questionnaire. The analysis technique used id multiple linear regression analysis and Moderated Regression Analysis. The results of this study found that budgetary participation had an effect on budgetary slack, clarity of budget targets had no effect on budgetary slack, information asymmetry could not moderated the effect of budgetary participation on budgetary slack, and information asymmetry could also not moderated the effect of clear budget targets on budgetary slack.