Allocation Of Expenditure Research Articles

Inequality, Poverty, and the Intra-Household Allocation of Consumption in Senegal

AbstractIntra-household inequalities have long been a source of concern for policy design, but there is very little evidence about their effects. The current practice of ignoring inequality within households could lead to an underestimation of both overall inequality and poverty levels, as well as to the misclassification of some individuals with regard to their poverty status. Using a novel survey for Senegal in which consumption data were collected at a disaggregated level, this paper quantifies these various effects. In total, two opposing effects, one on mean and one on inequality, compensate each other in terms of the overall poverty rate, but individual poverty statuses are affected. Intra-household consumption inequalities account for 14 percent of inequality in Senegal. This study has also uncovered the fact that household structure and organization are key correlates of intra-household inequality and individual risk of poverty.

Influence of Input Value and Labor Expenditure on Output Value: A Case of Micro and Small Scale Industry in Indonesia

Objectives of the study are: (1) to estimate the influence of input value and labor expenditure on the output of micro and small industries in Indonesia, (2) to analyze the form of translog production function that is compatible with micro and small industries in Indonesia. The analytical method used is descriptive method and analysis of translog production functions with scenarios: linear translog function, complete second-order or quadratic linear translog function, and linear translog function with interaction. Results showed that (1) the function of linear translog production with interaction was more suitable used to estimate the production output of micro and small industries in Indonesia, (2) input value and labor expenditure had a positive and significant effect on output values, (3) micro-industry enterprises more emphasis on the allocation of larger workforce, while small-scale industry emphasizes greater allocation of input value, (4) the allocation of input value and labor expenditure are more efficient in micro-industries compared to small-scale industries.

Is the spending behaviour of tourists affected by low-cost carriers' operation? Some empirical evidence

The objectives of this research include studying the impact of low-cost carriers on the spending behaviour of the tourists at a given destination. To accomplish these objectives we examined the allocation of tourist expenditures to different travel-associated expenses and its determinants in the Azores islands and compared the situation before and after the airline liberalization. We considered that socio-demographic and trip-related characteristics influence spending behaviour.We used Interval Regression Models to estimate the relationships between tourists' expenditures and their determinants. The results confirm a structural break in the value of the coefficients when considering the periods before and after the airline liberalization.

Factors Affecting Capital Expenditure Allocation: Empirical Evidence from Regency/City Government in Indonesia

Research aims : To analyze the effect of local taxes, regional retribution, special allocation fund, and area size on the allocation of capital expenditure with economic growth as a moderating variable in the regency/city Governments in Indonesia from 2016 to 2017. Design/Methodology/Approach : This study used secondary data obtained through the website of the Ministry of Home Affairs, Ministry of Finance, and Audit Board of the Republic of Indonesia. Based on the purposive sampling method, a sample of 565 regencies/cities in Indonesia was obtained. The hypothesis testing in this study used Moderated Regression Analysis. Research findings : Based on the results of the study, it could be concluded that partially the local tax variables, special allocation fund, and area had a positive and significant effect on capital expenditure allocation. In contrast, regional retribution variables did not affect capital expenditure allocation, and economic growth could moderate the effect of local tax on capital expenditure allocation, but unable to moderate the effect of regional regional on capital expenditure allocations. Theoretical contribution/Originality : This research proved the theory of fiscal federalism in the relationship to fiscal decentralization, such as local taxes, economic conditions, public services, and public welfare. Moreover, this study enriched the literature on the application of the theory of stewardship in government agencies. Practitioner/Policy implication : Regional governments in regencies/cities in Indonesia are expected to explore the potential of their regions better so that they can improve the steward function to the community. Research limitation/Implication : The research period was relatively short; due to the availability of data only from 2016 to 2017, many research data were outliers. Future research is expected to renew the observation period and change the intervening model, as well as add other variables related to capital expenditure, such as General Allocation Funds (DAU), Revenue Sharing Funds (DBH), population numbers, Budget Surplus (SILPA) and others.

Improvement of methodological base on identification of tax expenditures

The concept of tax expenditure is gradually being implemented into the budget process in the Russian Federation, which justifies the relevance of this research. Russia uses the legislative approach towards identification of tax spending, which has a weak theoretical-methodological base. There is currently no precise criterion for allocation of tax expenditures, while the definition formulated by the Article 6 of the Budgetary Code of the Russian Federation further complicates their identification. Thus, there is an objective need for development of more comprehensive approach towards identification of tax expenditures from the theoretical perspective. The study of foreign practice allowed concluding that qualification of the tax norm, as a tax expenditure is a rather debatable question. The novelty and scientific-practical importance of the conducted research consists in the proposed interpretation of tax expenditures and tax incentives, which reflects their main attribute consisting in divergence from the fundamental principles of taxation, and ensures accord with the concepts used in the budgetary legislation. The authors develop an algorithm for identifying tax expenditures, based on solution of the task on determination of adherence of the content of tax norm to the key elements of the mechanism of functionality of a tax incentive.

Do you have time to take a walk together? Private and joint time within the household

We develop a theoretical model for the intra-household allocation of time and consumption. The model distinguishes between the partners' joint and private leisure time. We estimate the parameters of our model on a Danish time use survey with information on time allocation and expenditures. The empirical estimation leads to four main conclusions. First, we find that assignable expenditures vary with female and male wage rates, consistent with the collective model, and we can assign this variation to the Pareto weight being sensitive to relative wages. Second, we find that men put more weight on both their own private expenditure and composite leisure than women. Third, we find that joint leisure and individual leisure are not perfect substitutes for partners. Fourth, we observe that both joint and private leisure are independent of the wage distribution. Thus, togetherness is not a substitute for economic factors. Fifth, we find that when the female wage goes up, all else equal, her child care hours increase, while her husband's child care hours decrease.

Climate Change, Regional Water Balance and Land Use Policy, in the Watershed of Lake Kinneret (Israel)

Long term data record (1944-2018) of climatological conditions in the Lake Kinneret and its watershed ecosystems was statistically evaluated and the impact of Anthropogenic operations was included as well. Precipitation input source is obviously uncontrolled natural component whilst the other three regional water outflows pathways are under anthropogenic control: Evapo-transpiration (ET), Runoff and underground flows. Indications for climate change expressed as air warming with consequences on regional (watershed and the lake) water resources and consumption capacities policy in the drainage basin and in the Lake are discussed. The decline of air temperature from 1940 to 1970s is probably due to a change in the Albedo effect. After the decline air temperature was twisted towards elevation. Climate change caused a decline in rainfall, followed by a reduction of Jordan and other river discharges and underground flows, accompanied by a decline of WL. With respect to climate change, water allocation for agricultural consumption was shrunk.

Fiscal decentralization and its impact on industrial development in Jambi Province

This study aims to analyze: 1) factors influencing the degree of fiscal decentralization in Jambi Province; 2) the influence of the degree of fiscal decentralization on the industrial sector in Jambi Province. The analysis model is the panel data regression. The results showed that, first, the economic level, the amount of regional spending, and the investment level significantly influence the degree of fiscal decentralization in Jambi Province. Second, there is a significant impact of the degree of fiscal decentralization on the development of the industrial sector in Jambi Province. This study recommends increasing local own-source revenue in order to improve the degree of fiscal decentralization. Furthermore, the allocation of regional expenditure must be directed towards direct expenditure, especially capital expenditure, which is related to industrial development in Jambi Province.

Intra‐household bargaining power and household expenditure allocation: Evidence from Iran

AbstractThis article examines the role of intra‐household bargaining power on household expenditure patterns in Iran to see whether women’s empowerment can achieve similar results in Iran as we have seen it achieve in other countries of the world. This study is insightful because it tells us whether Iranian women, who have experienced both economic and noneconomic constraints over many years, can utilize increased power toward economic development. The bargaining power is measured by the sex ratio in the marriage market. Using the Household Income and Expenditure Survey in Iran, we find that greater bargaining power of women contributes significantly toward greater provision of education and health expenditure within the household, creating a potential for an increase in welfare for the next generation.

A model of the optimal allocation of government expenditures

AbstractGovernment expenditures can be used for various socioeconomic objectives, including public education, consumption of public goods and services, and social protection. This paper analyzes the optimal allocation of public expenditures among these competing functions. We establish an overlapping generations model with heterogeneous individuals in which the government optimally chooses income tax, transfer payment, educational spending, and public consumption. Our model characterizes the transitional dynamics and the steady state of each function with and without a pay‐as‐you‐go intergenerational contract. We also conduct a simulation illustrating that the presence of an intergenerational contract may raise public consumption and social welfare in the steady state.

The Effect of Financial Performance and Balanced Funds on Capital Expenditure of Local Government in District/City in Indonesia

Many regional governments in district/city still allocate their capital expenditures below 30%. It is not in line with expectations as mandated in Regulation of the Minister of Home Affairs on Guidelines for Preparation of Regional Income and Expenditure Budget (APBD). The purpose of this study is to examine the effect of financial performance and balance funds on the allocation of capital expenditures for district /city governments in Indonesia. The sample used in this study were 473 district/city governments consisting of 382 district governments and 91 city governments. Meanwhile, the type of data used was secondary data. The analysis in the study was based on reports on the realization of the 2013 to 2017 budget audited by The Supreme Audit Agency of The Republic of Indonesia (BPK).The results of multiple regression analysis show first, Regional Financial Independence and General Allocation Funds have a negative but significant effect on Capital Expenditures. Second, Regional Financial Effectiveness, Revenue Sharing Funds, and Special Allocation Funds have a positive and significant effect on Capital Expenditures. Third, Regional Financial Efficiency does not significantly affect Capital Expenditures.

ANALISIS FAKTOR-FAKTOR DOMINAN YANG MEMPENGARUHI EKONOMI RUMAHTANGGA PETANI PADI SAWAH DI KECAMATAN SUNGAI MANDAU KABUPATEN SIAK

This research aims to analyze the dominant factors that respect to household economics of paddy farmers that included production, allocation of work time, income, and expenditure in Sungai Mandau Sub-district, Siak Municipality. The econometric approach using a model of simultaneous equations with Two-Stage Least Square method (2SLS) was used to answer the research goals. The main finding of this research showed that the dominant factors that respect to production are harvest area of paddy and costs of production facilities. Allocation of work time consists of: First, allocation of work time on farming respects the allocation of work time of off-farm and labor force. Second, the hired labor respects to farming income. Third, allocation of work time of off-farm respects to off-farm income, allocation of work time on farming, farmer's work experiences and age of farmers. Income respects to the allocation of work time of off-farm. Expenditure consists of: First, food consumption respects to total income, the number of families, and health spending. Second, non-food consumption respects to total income. Third, education investment respects to total income and the number of school children. Fourth, paddy farming investment respects to total income, harvest area of paddy, and food consumption. Fifth, saving respects to total income, total consumption, education investment, and health spending.

Economic burden of diabetes in France between 2012 and 2017 based on French national claim database

Abstract Background The aim of this study is to assess the economic burden of diabetes in France based on a top-down allocation of health care expenditure, and to analyze structure and trends of expenditure between 2012 and 2017. Methods Using information about 57 millions of individuals from the general scheme insurance database (87% of the French population), we applied algorithms based on ICD-10 diagnoses, long-term diseases, and specific treatments. All reimbursed expenditure (drugs, medical visit and other ambulatory care, hospitalization, disability/sickness benefits) were extracted for each individual. A top-down method was used to allocate expenditure to diabetes. To analyze trends, we applied the same methodology from 2012 through 2017. Results In 2016 (results for 2017 will be available for the conference), among the 137 billion euros reimbursed, 6.8 billion (5%) were attributed to diabetes and 3.2 million people were concerned (5.5% of the population). Drugs represented the main expenditure item (31% of the average annual expenditure per patient related to diabetes), followed by nursing (18%) and medical devices (17.5%). From 2012 to 2016, the number of people with diabetes increased by 11.4% (+322 700) with an increase by 2.7%/year, the expenditure attributed to diabetes increased by 2.3%/year. The average expenditure per patient in 2016 was about €2150, slightly decreasing from 2012, mainly due to price controls on antidiabetics drugs which permits to limit expenditure growth. Conclusions Our study shows the high economic burden of diabetes in France with a detailed analysis of expenditures and their main drivers. With the arrival of innovation and predicted increase of the number of patients partly related to ageing process, control of expenditure must be a priority. The developed tool will help decision makers to monitor the burden of diabetes but also to provide stakeholders with a better understanding of trends and regulating actions. Key messages Diabetes represents a high proportion of healthcare expenditure in France. With the arrival of innovation and predicted increase of the number of patients partly related to ageing process, control of expenditure must be a priority.

The Impact of Development and Government Expenditure for Information and Communication Technology on Indonesian Economic Growth

Purpose - This research is aimed to investigate the impact of the Information and Communication Technology (hereinafter ICT) development index and ICT investment on Indonesian economic growth. Research design, data and methodology - The data used consist of ICT development index, government expenditure on ICT sector, and economic growth from 33 provinces in Indonesia from 2012 to 2015. Based on the Networked Readiness Index published by the World Economic Forum (WEF), Indonesia was ranked 80th among 142 countries in 2012 and had climbed 64th in 2014. This indicates that the businesses in Indonesia have adopted ICTs to increase productivity and expand their activities. Panel data regression analysis is performed to reveal the change of the impact over time in each of the provinces. Result - The ICT development index and government expenditure for ICT have a positive effect on the economic growth of all provinces, although the impact is different in each of the provinces. There is a digital gap between the provinces, especially the large digital gap occurring with DKI Jakarta. The provinces of Eastern Indonesia such as NTT and Papua are still relatively slow in development of ICT. Conclusions - ICT development index and allocation of local government expenditure for ICT have significant effect on economic growth. ICT development index has a bigger role in increasing economic growth.

Regional financial performance mediates the effect of regional balance funds and expenditures on economic growth

This study aims to obtain empirical evidence about the balance funds and regional expenditure on economic growth with regional financial performance as a mediating variable. The results showed that the balance fund did not affect the financial performance of the region with a result of 0.054 indicating that the balance fund received by the regional government increased or decreased could not affect the regional financial performance. Regional expenditure has a negative effect on regional financial performance with a result of 0.006 indicating that the allocation of indirect expenditure is higher than the direct expenditure allocation. Balancing funds have a positive effect on economic growth with a result of 0.031 indicating that the amount of general allocation funds, special allocation funds, and profit-sharing funds has increased so that economic growth also increases. Regional expenditure has a positive effect on economic growth with a result of 0.020` indicating that there is infrastructure development undertaken to encourage regional economic growth. Regional financial performance has a positive effect on economic growth with a result of 0.009 indicating that regional capability is getting better based on the results of the ratio of independence, effectiveness, and efficiency.

DECENTRALIZATION OF INTER-BUDGET RELATIONS: THEORY, PRACTICE, AND INTERNATIONAL EXPERIENCE

The purpose of the article is to justify the methods of budget policy for the redistribution of cash flows in terms of differentiating powers at different levels of government and to analyse intergovernmental regulation improvement. The subject of the study is the methods of budget policy and intergovernmental regulation improvement. Research methodology. The research is based on analysis, comparison, and generalization of statistical data concerning territorial development, distribution of production capacities, migration of population and its determinants, statistical data on the state of macro-financial turbulence. The hypothesis is based on the above data. Practical implication. The budget policy is directed to reaching a certain socio-economic effect at a certain stage of social development, is implemented by the authorities with appropriate powers in a certain territory. In the administrative and budgetary reform, intergovernmental relations are multidimensional and their research needs to be conducted from the point of their categorization in terms of scale and long-term achievement of the set goals and objectives, as well as depending on priorities in the budget process management. Achievement of the effective system of intergovernmental relations is possible only if there is the unity of all subjects of the budget system. In this context, the most pressing issues of intergovernmental interactions and regulation of cash flows are highlighted. Value/originality. The proposed model of principles, tools, and mechanism of distribution and regulation of intergovernmental fiscal flows will provide an opportunity to ensure the unity of all levels of the budget system and their interaction, which, in turn, will ensure macro-financial stability of the state, efficient allocation of budget expenditure, development of society’s democratization and uniform socio-economic development of some regions.

The impact of fiscal decentralization on economic growth in Indonesia

Fiscal decentralization was firstly implemented in 2001 and has brought a new era of local autonomy in Indonesia. The objective of fiscal decentralization to local government is to increase the economic growth and public service. This research uses a panel data regression and quadrant analysis method with the data of cluster districts and cities in Indonesia from 2013 to 2018. Findings/Originality : The panel regression estimation shows that fiscal decentralization has a positive and significant effect on economic growth in all clusters. However, the quadrant analysis results show that on average 86.7% of all clusters districts and cities were in quadrant IV which reflects low fiscal decentralization and low economic growth. The implication of the result is that the government should increases the allocation of capital expenditure in local budget to accelerate local economic growth of the districts/cities in all clusters.

PENGARUH PENDAPATAN ASLI DAERAH DAN BELANJA MODAL TERHADAP PENINGKATAN INDEKS PEMBANGUNAN MANUSIA PADA PEMERINTAH DAERAH DI PROVINSI LAMPUNG PERIODE 2013-2015

Regional autonomy enacted to give local goverment the authority to increase local revenue and allocative function in local development priorities. this study purpose to determine effect of PAD and capital Expenditure on improving Human Development Index (HDI). This study was conducted in thirteen districts and two cities in the province of Lampung. This study uses budget realization report from two thousand thirteen to two thousand fifteen and HDI two thousand thirteen to two thousand fifteen obtained from auditing firm republic of indonesia province Lampung and website www.bpslampung.go.id. This research has been qualified classical assumption and test feasibility of model, proccesed by regression analysis techiques. Then test hypothesis PAD and capital expenditure showed significant positive effect on the HDI, means increased revenues and capital expenditure, will be increase HDI also. This increased is due ti the allocation of local revenue and capital expenditure has been utilized appropriately so that planned activities can be well.

Indoor Air Pollution and Concerned Health Costs in Indian Context

Clean air is considered the fountain of life that enables humankind to sustain healthy lives while supporting unique ecosystems of the Earth. The United Nations, being the supreme policymaking body in the world, has duly stated that “clean air is a human right”. The underlying reason for this derives itself from gruesome statistics asserting that between 6 and 7 million people die prematurely each year due to air pollution, and around 90% of the global pollution breathes polluted air. Being the existential threat pollution is, most of it is caused by burning of fossil fuels that contributes not only to climate change but also deteriorating human health. A significant portion of air pollution is constituted by indoor air pollution through carbon dioxide (CO2) emissions, which has been a major cause of concern for India. It has been observed that 9 out of 10 people in India breathe air that breached safe limits and 7 million people die each year due to household air pollution through exposure to fine particles causing cardiovascular diseases, lung cancer and other pulmonary diseases. Women form a significant portion of such sufferers, whereby, a WHO report has found that mothers were more likely to deliver underweight babies in households with indoor air pollution from solid fuels. Associated with this, is the issue of increasing household expenditure on health vis-à-vis women. This paper examines the impact of such indoor pollution on women vis-à-vis health costs as part of their household expenditure allocations. Observations emphasise the need to reverse such trend of increasing indoor air pollution while moving on to a phase of employing greener fuels and technologies among households, and associated sensitive policymaking. This is expected to not only increase the standard of health among women of different strata but also will propel the productivity of human capital on a per capita basis.

The Influence of Regional Revenue, Balancing Funds, Special Autonomic Funds, and Economic Growth on Capital Expenditures Allocation

Objective – This study aims to examine the effect of Regional Revenue, Balancing Funds, Special Autonomy Funds, and Economic Growth on the Allocation of Capital Expenditures in Regencies / Cities in Aceh for the period 2013-2017. Design/methodology – This type of research is quantitative, the population of this study is all districts/cities in Aceh in 2013-2017, amounting to 23 local governments consisting of 18 district governments and 5 city governments. The unit of analysis of this research is the Realization Report of the Revenue and Expenditure Budget (LRA-APBK) in Aceh for the 2013-2017 Period which has been audited by the Financial Supervisory Agency (BPK) and Gross Regional Domestic Product (PDRB) data. Results – The results of the study show that both jointly and separately, regional own-source revenues, balancing funds, special autonomy funds, and economic growth have an effect on the allocation of capital expenditures in districts/cities in Aceh for the period 2013-2017. Originality/Value – Discussion related to the influence of special autonomy funds on capital expenditure is limited research, so it is deemed necessary to do as additional insight and reference of research results.