Fund Balance Research Articles

Disaster Experience and Governments’ Savings: The Moderating Role of Organizational Capacity

Abstract The increasing risk of natural and human-induced disasters has caused considerable costs to governments. Governments’ savings can function as a mechanism to mitigate such revenue or expenditure shocks due to disasters. While past studies have examined how recessions affect government reserves, to date, few studies have tested how a government’s past experiences of natural disasters affect the level of its savings. In this study, we use organizational learning theory as a framework to explain this relationship. We empirically parse out the effect of previous disaster experience on reserve funds (i.e., rainy-day funds) and general savings (i.e., unassigned general fund balance). We further test whether organizational capacity serves as a moderator of the relationship between past disaster experience and savings. For the analysis, this study employs a Generalized Method of Moments (GMM) to examine a sample of US states for the years from 2002 to 2017. We find that an increase in cumulative damage from prior disasters is associated with an increase in rainy-day funds and this relationship is stronger in governments with a high organizational capacity. The results remain robust to estimations with alternative measures. These findings support the organizational learning theory, which suggests that governments learn from their past experiences to increase preparedness for future disasters. We also point out the importance of financial capacity in the process of organizational learning.

Influence of Income and Balanced Funds on Financial Autonomy with Assets Management of Regional Government in Indonesia

Influence of Income and Balanced Funds on Financial Autonomy with Assets Management of Regional Government in Indonesia

Analysis of the Status and Tendency of R&D Input in the Field of Rare Diseases Funded by the National Natural Science Foundation of China.

Background: Through collection and sorting of rare disease projects funded by the National Natural Science Foundation of China, an understanding was gained of the categories of projects funded by the foundation in the field of rare diseases, types of diseases, categories of disease systems, regional distribution, distribution of supporting institutions, and their dynamic changes, followed by an analysis of focuses and influences of relevant state policies. This will help improve the rare disease-relating policies of the state in supporting the key fields, thus promoting healthy and sustainable development in the field of rare diseases.Method: Through the website of inquiry of projects funded by the National Natural Science Foundation of China, a retrieval was made concerning the projects funded by the foundation in the field of rare diseases during the period from 1986 to 2019, followed by descriptive analysis of fund input of rare disease projects, number of projects, temporal and regional distribution, and the analysis of the law of their dynamic changes.Result: As of the end of 2019, there were 57 rare diseases and 678 related projects funded by the National Natural Science Foundation of China, with accumulated total funding of ¥ 253,525,000. Among the categories of projects, the most-funded projects were general (¥ 150,145,000, 59.22%), followed by Youth Foundation projects (¥ 53,719,000, 21.19%) and key projects (¥ 15,870,000, 6.26%); among the categories of disease systems, the most funded disease system was the nervous system (¥ 93,186,000, 37.76%), followed by the respiratory system (¥ 35,444,000, 13.98%); the most funded diseases were multiple sclerosis (¥ 34,870,000, 13.75%), idiopathic pulmonary fibrosis (¥ 29,854,000, 11.78%), and retinitis pigmentosa (¥ 27,005,000, 10.65%); the most funded regions were East China (¥ 106,987,000, 42.20%) and North China (¥ 71,844,000, 28.34%), while the least funded region was Northwest China (¥ 7,295,000, 2.88%); among the supporting institutions, the most funded institutions were Peking University (¥ 24,720,000, 9.75%), and Sun Yat-sen University (¥ 14,505,000, 5.72%).Conclusion: With the promulgation of more policies on encouragement of innovation and accelerated approval procedures, etc., the National Natural Science Foundation of China has been increasing its funding to rare diseases, covering increasingly more categories of funded projects, more types of diseases, and wider regions. Nonetheless, the support for scientific research in China is still relatively weak. Therefore, it is proposed that the healthy and sustainable development in the course of rare diseases should be promoted through the improvement of relevant rare disease policies, encouragement of R&D of medicine for rare diseases, the establishment of special funds for rare diseases, acceleration of fund circulation, and combination of balanced development and preferential funding to key regions and major diseases.

The Influence of China's COVID-19 Treatment Policy on the Sustainability of Its Social Health Insurance System.

BackgroundWhile past experiences show that a health system financing mechanism can support resilience to shocks, the impact on the sustainability of the financing system is exceptionally important considering the magnitude of the COVID-19 pandemic. The role of Social Health Insurance (SHI) in responding to the pandemic brings about an influence on insurance system sustainability. This study investigates the impact of China’s COVID-19 treatment policy on the sustainability of its SHI system, explores influences of the policy on Wuhan’s system, and discusses the effects of an assumed equivalent emergency on SHI funds for five other provincial capital cities in China.MethodsThe study was conducted using pay-as-you-go actuarial models of Urban Employee Basic Medical Insurance (UEBMI) and Urban and Rural Residents Basic Medical Insurance (URRBMI) funds, which constitute China’s basic health insurance system. Current and accumulated balances of the funds in 2020 are predicted and utilized to measure the sustainability of health insurance funds during emergencies.ResultsThe findings suggest a disparity in the capacities of insurance schemes and localities. If the surplus before 2018 is not considered, it is likely that the URRBMI fund of Wuhan would suffer a deficit, whereas the UEBMI would retain a considerable surplus. To maintain the current actuarial balance of the URRBMI fund, coverage for ordinary inpatient and outpatient expenses would have to be significantly reduced in Wuhan, potentially affecting enrollees’ wellbeing. A similar situation may occur in three other cities, some with underdeveloped economies and lower per capita income are likely to be encountered with worse situation than Wuhan.ConclusionConcerning fragmentation of China’s SHI system, to strengthen longer-term preparedness to manage future emergencies, this study suggests the integration of insurance schemes and provincial pooling, fund balance adjusting and an emergency safety net are also advised. All options call for more public health investments.

PENGELOLAAN ALOKASI DANA DESA DALAM PEMBERDAYAAN MASYARAKAT

VillageFund Allocation Management in Community Empowerment. Village fund allocations are central and regional financial balance funds received by regencies / cities, which are distributed proportionally to each village in a proportion of at least 10% (ten percent). Allocation of village funds for village governance and community empowerment. This research uses a qualitative method using descriptive. The results showed that normative and governance of village allocation funds were carried out well, but the substance still did not meet the true meaning of empowerment. In addition, some stakeholders also have not played a maximum role, only the village head as the implementation team that manages the village allocation funds. The paternalistic community of the village community chooses the people who trust and support the village to manage village funds, as well as dominating the sub-district in making accountability letters that lead to increased village independence.

EFFECT OF REGIONAL ORIGINAL INCOME, BALANCED FUNDS, CAPITAL EXPENDITURE AND HUMAN DEVELOPMENT INDEX ON ECONOMIC GROWTH

This study aims to analyze the effect of Local Own Income, Balanced Funds, Capital Expenditures and Human Development Index on Economic Growth in Surakarta City 2010-2017.The method of determining the sample used in research is the saturated method. The analytical methodology used in the study was carried out with multiple regression with the SPSS 25 program. The results obtained from the research showed that local revenue, balanced funds and capital expenditures did not partially affect economic growth in the city of Surakarta during the 2010-2017 period. Meanwhile, the Human Development Index has a partial effect on Economic Growth in the City of Surakarta during the 2010-2017 period.

Balanced Budget Requirements Revisited

We test the effect of balanced budget requirements (BBRs) on budget outcomes using data published in audited financial statements. With a focus on the General Fund, we find states frequently reported deficits in their adopted budgets and relied on sizeable and favorable expenditure variances to close budget gaps before the end of the budget period. Empirical analysis shows that technical or strict BBRs procedures did not increase the likelihood that a state would report a balanced budget. We corroborate our findings using fund balance data. If technical or strict BBRs are effective, states would report higher fund balances, all else equal. Results show that states that adopted political BBRs reported lower fund balances. More importantly, the adoption of strict or technical BBRs did not lead to higher fund balances.

Pengaruh Interest Rate Risk Ratio Dan Capital Adequacy Ratio Terhadap Pertumbuhan Laba Pada Perbankan Di Bursa Efek Indonesia

This study aims to determine the effect of regional original income, balancing funds, of capital expenditures in districts/cities of North Sumatra province. This research method uses descriptive and quantitative data. The sample of this research is the Regency/City APBD data in North Sumatra in 2018-2020. The regression line calculation in this study obtained regional original income Y = 153853702,041 + 0,342X1 balancing funds Y=13194181,034+ 0,224X2. The results of the partial test in this study state that Regional Original Revenue, Balancing Funds have an effect on capital expenditures while for the remaining more budget financing has no effect on capital expenditures, while the results of the F test simultaneously note that F Count (68.077)> F table 2.70 with a significance level 0.00> 0.05, this indicates that the influence of the independent variables of Regional Original Revenue, Balancing Fund, Remaining Budget Financing (SilPA) simultaneously (together) has a significant effect on Capital Expenditure Allocation. Regency/City of North Sumatra Province. The results obtained from the R Square value of 0.586 or equal to 58.6%, meaning that the determination coefficient model used is able to explain Regional Original Income, Balancing Funds, Against Capital Expenditure Allocation of Regency / City of North Sumatra Province by 58,6%, while the remaining 41,4% is influenced by other factors not examined.

Model Penganggaran Penyelenggaraan Pemilihan Kepala Daerah Bersumber Dari Anggaran Pendapatan Dan Belanja Negara Melalui Dana Perimbangan

Regional head elections were held simultaneously on December 9, 2020, followed by 9 provinces, 224 districts and 37 cities in the territory of Indonesia. The budget for holding the simultaneous regional head elections in 2020 is sourced from a Regional Budget (APBD) grant from the Regional Government. However, the budgeting process sourced from the APBD had encountered problems, there were 3 provinces and 58 districts / cities that had not signed the Regional Grant Agreement (NPHD) even though it had passed the deadline for the NPHD preparation and signing stages, namely on October 1, 2019. Budget issues This will continue to be repeated as long as the regional head elections are still sourced from the APBD. This study aims to provide an idea of the budgeting model for regional head elections sourced from the State Budget through the Balancing Fund, namely the General Allocation Fund (DAU) and the Special Allocation Fund (DAK). This study uses a descriptive research method with a qualitative approach. The technique of collecting data through literature study. The results of this study indicate that budgeting sourced from the APBN through the balance fund will be able to accommodate the budget needs for the implementation of regional head elections, simplify complicated administration, and be free of budget political intervention in the regions. Â Keywords : Pilkada Budgeting Model, APBN, Balancing Fund, DAU, DAK

Analysis of factors affecting capital expenditures and their implications on government financial performance provinces in Indonesia 2011-2019

The purpose of this research aims to determine the impact of Local Own Revenue, Balanced Funds, Economic Growth, and Excess of Budget Calculation (SiLPA) on Capital Expenditure as long as the implications to provincial government financial performance in Indonesia from 2011 to 2019. The province government financial reports from across Indonesia as population and in 2011 to 2019 as samples. This type of research is known as causal associative research, with quantitative descriptive analysis techniques, and Panel Data Regression Analysis with The Random Effect Model as the selected model, with secondary data including time-series data and panel data in 2011 to 2019 from The Supreme Audit Agency of the Republic of Indonesia, the Central Bureau of Statistics, and other official publications. According to the research results, R2 was 79.08%. Partially Local Own Revenue had a positive value and did not affect Capital Expenditure. Balanced Funds, Economic Growth, and Excess of Budget Calculation had positive values and an effect on Capital Expenditures. Simultaneously, Local Own Revenue, Balanced Funds, Economic Growth, and Excess of Budget Calculation affect Capital Expenditure. Then Local Own Revenue, Balanced Funds, Economic Growth, Excess of Budget Calculation and Capital Expenditures simultaneously did not affect Financial Performance.

Analisis belanja daerah dan faktor-faktor yang mempengaruhinya di Kabupaten Bungo

This study aims to: 1) analyze and describe the development of PAD, Balanced Fund, GRDP, population, HDI, and Regional Expenditure of Bungo Regency during 2004-2019. 2) To analyze the effect of PAD, Balanced Fund, GRDP, population, and HDI on Regional Expenditure of Bungo Regency during 2004-2019. The data used in this research is secondary data. The model used in this study is a multiple linear regression model. The results showed that partially the population, balance funds, population, and HDI had a significant effect on Regional Expenditures in Bungo Regency during 2004-2019, while PAD had no considerable effect on Regional Expenditures in Bungo Regency during 2004-2019 with a significant value of P < 0.05. The R2 value in this study was 0.987391. This shows that 98.7391% of regional expenditure in the Bungi Regency is influenced by the population, PAD, balancing funds, GRDP, and IPM. Meanwhile, 1.2609% were influenced by other factors that were not observed in this study. Keywords : Total population, PAD, Balancing fund, PDRB, IPM, Regional expenditure

Pengaruh Pendapatan Asli Daerah dan Dana Perimbangan Terhadap Kinerja Keuangan Pada 19 Kabupaten dan Kota di Sumatera Barat

The purpose of this research was to examine the effect of local revenue and balance funds on financial performance. The sample in this study used a census method in which the entire population would be used as a sample, so the sample in this study was the Municipal Government in West Sumatra, consisting of 7 cities and 12 regencies. The type of data in this study is the ratio. The data collection technique in this research is documentation technique. The application used to process data in the study is Eviews. The results show that local revenue has a positive effect on financial performance and the Balanced Fund has a negative effect on financial performance, this statement is evidenced by the results of the t test with a significance level of less than 0,05.

The Prosecution by the Pidie State Prosecutor Against the Criminal Action of Corruption Gampong Income and Shopping Budget

Law Number 6 of 2014 also strengthens the allocation of Village funds (ADD) originating from the Regency/City balancing funds. If previously there were almost no districts/cities that provided ADD at least 10 percent of the balancing fund without any sanctions, then Article 72 of the Village Law gives the government the right to impose sanctions by delaying and even deducting the balancing fund in the amount of the allocation of funds not given to Village. Aim for knowing the prosecution process by the Pidie State Prosecutor's Office against the perpetrators of corruption in the Gampong Revenue and Expenditure Budget (APBG) and obstacles in the prosecution process by the Pidie State Prosecutor's Office. This research is a type of empirical juridical normative research, data collection in research is carried out through library and field research. Literature research by studying books, laws and regulations. Field research by interviewing respondents and informants.The results showed that the prosecution process by the Pidie State Prosecutor's Office against perpetrators of corruption in the Gampong Revenue and Expenditure Budget (APBG). Technically, the receipt of the case is recorded in the register of receipt of case files, and the report is reported using the LP. In the event that the investigation is considered complete, the investigator hands over the responsibility for the suspect and evidence to the public prosecutor. At this stage, the examination of the suspect is intended to avoid making mistakes in persona being prosecuted before the trial. Obstacles in the prosecution process by the Pidie District Attorney against perpetrators of corruption in the Gampong Revenue and Expenditure Budget (APBG).

Toward an understanding of year-over-year changes in municipal management discussion and analysis disclosures

SynopsisUsing a unique setting in which the standard setter (the Governmental Accounting Standards Board) provides guidance on the content of Management Discussion and Analysis (MD&A) disclosures, we investigate the determinants of content changes in municipal government MD&A. We do so in terms of economic changes, turnover, and regulatory characteristics. We use a sample of 1142 municipal MD&A disclosures from fiscal year 2011 to 2015 to calculate a difference score based on the degree to which municipal MD&As change from the previous year. Our empirical analysis highlights that MD&A content changes vary directly with changes in the unemployment rate, fund balance from governmental funds, and auditor turnover. Furthermore, we find evidence that MD&A content changes might be more likely in states without formal GAAP mandates, possibly implying that municipal managers increase transparency by complementing reported financial information with additional qualitative commentary in narrative disclosures when states do not centralize fiscal control over municipalities. Overall, our analysis provides insight on the use of qualitative disclosure by municipal managers, and highlights a need for enhanced commentary on certain items (such as debt and capital expenditures) in order to create greater credibility with and accountability to citizens and other financial statement users. This research is especially timely as GASB re-examines the disclosure mandates of GASB 34.

ANALISIS KEMANDIRIAN DAN KEMAMPUAN KEUANGAN DAERAH TERHADAP KEMISKINAN DI KABUPATEN BOGOR

The regional government holds the mandate of the central government in implementing regional autonomy and has a role in resource management which in turn can improve the welfare of the community. To be able to improve the welfare of the community, one measure can use an analysis of regional financial independence and regional financial capacity by assessing the original regional income compared to total regional income and the balance fund. And see the effect on the percentage of poor. The results obtained, the regional financial independence of Bogor Regency is still in the range of 0% - 25% so that it is categorized as very low, while the regional financial capacity is at 24.07% or it can be said that it is sufficient. Meanwhile, the results of multiple linear regressions for regional financial independence and regional financial capacity have an influence on the percentage of poor people. The expected result is that Bogor Regency can do more to increase its base of tax and retribution revenues so as to minimize budget dependence from the central government and local governments.

Pengaruh Dana Perimbangan, PDRB Per Kapita, Tax Effort, Dan Jumlah Penduduk Terhadap Pendapatan Asli Daerah (Studi Kasus Kabupaten/Kota Provinsi Jawa Tengah Tahun 2011-2017)

Since the era of Fiscal Decentralization, the role of Local Revenue in Central Java Province has not been seen. This can be seen from the portion of Local Revenue which is quite small compared to the Balancing Fund in the total regional revenue. This raises the suspicion that the Regional Government will depend on the Balancing Fund. But in this study also looked at the influence of other variables that might be able to influence the acceptance of Local Original Revenues, among others, Per Capita GRDP, Tax Effort, and Population Amount. The purpose of this study was to determine whether the variable Balancing Funds, Per Capita GRDP, Tax Effort, and Population affect the acceptance of Local Original Revenue.This study uses secondary data with cross section panel data of 35 districts / cities in Central Java and a 7-year time series from 2011-2017. The analytical tool used in estimating this research model is panel data regression using the newey-west method.The results of this study indicate that the variable Balance Funds, Per Capita GRDP, and Tax Effort. has a positive and significant influence on Local Revenue in the province of Central Java in the period 2011-2017. While the Population has no influence on Local Revenue in the province of Central Java in the period 2011-2017.

The Effect of Regional Original Income, Balanced Funds and Regional Expenditures on Regional Financial Independence (Case Study in Central Java Province 2014-2018)

This study aims to test and provide empirical evidence regarding the effect of Regional Original Income (PAD), Balancing Funds, and Regional Expenditures on Regional Financial Independence in Central Java Province in 2014-2018. The number of observations in this study were 35 cities/districts in the province of Central Java. The data used is the visualization of APBD data, namely the realization of PAD, Balancing Funds, and Regency / City Regional Expenditures in Central Java Province from 2014-2018. The data is sourced from the Directorate General of Fiscal Balance, Ministry of Finance of Indonesia. Testing is done by analyzing panel data. The results of the panel data regression model on the Hausman Test show that the probability of a random cross-section in the Hausman test is 0.0000 <0.05, then H0 is accepted and the model selected in the Hausman test is Fixed Effect. Fixed Effect ResultsThe model shows that statistically the probability value (F-statistic) is 0.0000, meaning that the value is < from the alpha value of 0.05 and it can be said that the FEM regression model simultaneously independent variables (PAD, Balancing Fund, and Regional Expenditure) have a significant on the dependent variable (Regional Financial Independence). The R-squared value of 0.9874 indicates that the independent variables of PAD, Balancing Fund, and Regional Expenditure together are able to influence Independence by 98.74 percent and the remaining 1.26 percent is influenced by other variables not included in this research model

Embodiment of Good Governance through Accountability and Transparency in the Management of Village Fund Allocations

The Purpose of the this study was to determine the propotional management of Village Fund Allocation (ADD) originating from the Regency APBD, which comes from the portion of the central and regional financial balance funds received by the Regency which is distributed through the village treasury for the empowerment of village communities. Research locations (ADD) are villages located in North Bengkulu Regency, Kec. Padang Jaya with a item of 12 villages. The research was conducted for 4 months, starting from April to July 2020. The sample in the study included 12 village officials in he district. Padang Jaya. Data collection technique using documentation and interviews. The data analysis technique used descriptive and qualitative descriptive data. The results of the research conducted, stated that all villages in the district. Padang jaya, with a total of 12 villages, has implemented the princples of management (ADD) in a transparent, accountable, participatory, orderly manner and budgetary discipline. There 1 village not accountable, as evidenced by the LPPDes Bank book that must be reported to the regent.

Pengaruh Pendapatan Asli Daerah dan Dana Perimbangan Terhadap Indeks Pembangunan Manusia Melalui Belanja Modal di Kota Surabaya

Regional development is carried out in an integrated and prolonged manner based on priorities from the existence of regional needs with a base and national level development targets that have been inaugurated through long-term and shortterm development. Human development is one of the indicators in determining regional progress so that it is necessary to take steps that are planned and implemented by the regional government as an effort to increase regional development which is expected to be able to improve the welfare of the community. determine and analyze local's own revenue on the Human Development Index through capital expenditure in Surabaya, and to determine and analyze the balancing fund on the Human Development Index through capital expenditure in the city of Surabaya. The population used in this study is the Human Development Index data and the Surabaya City Government Financial Report. Determination of the number of samples using the Purposive Sampling method. The sample of this study is the human development index data with a new method that the United Nations for Development Program (UNDP) inaugurated in 2010 and the budget realization report in the City of Surabaya in 2010-2019.The research results show that local own revenue has a direct impact on the human development index, while the balance fund does not directlyaffect the human development index, while the local own revenue and the balance fund have no indirect relationship with the human development index through capital expenditure.

Pengelolaan Dana Desa untuk Pemberdayaan Masyarakat

Empowerment of village communities is a way for the welfare of village communities in various aspects, through good management of village funds, the opportunity to empower communities is very easy to do with the support of programs that are right on target and quality human resources. This study generally aims to determine the management of village funds for community empowerment. The research method used qualitative with a descriptive approach, the data collection technique was carried out with a research library, and there were two sources of data, namely primary and secondary. Data analysis used descriptive data analysis with three stages of data reduction, data display, and drawing conclusions. The results showed that, (1) the management of village fund allocation (ADD) which was sourced from central and regional government financial balance funds for the 2018 and 2019 fiscal years in Tri Mulya Jaya Village had been implemented but the results were not optimal. There is an imbalance in budget absorption, almost 35% of which is spent on village administration. (2) accountability for the realization of the APBDes has also been carried out transparently and accountably, and (3) residents appreciate the results of development and community empowerment that have been implemented by the village government.