This paper analyzes environmental expenditures in Indonesia – a significant newly industrializing economy – reported at the plant level comprising all 23 thousand manufacturing establishments with more than 20 employees. Since compliance is barely enforced, pollution abatement expenditures...

We study political business cycles (PBC) in newly democratized and decentralized Indonesia at the local level. As the timing of indirect and later on direct elections of district heads differs exogenously across jurisdictions, the political business cycle effect is clearly identified . Our data...

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...

This paper analyzes environmental expenditures in Indonesia – a significant newly industrializing economy – reported at the plant level comprising all 23 thousand manufacturing establishments with more than 20 employees. Since compliance is barely enforced, pollution abatement expenditures...

We analyze the determinants of the excessive administrative spending of local governments in Indonesia. In an unbalanced panel data set of 399 districts for 2001–09, we show that the proliferation of districts has not led to increased administrative spending; instead a lack of political...

We find significant political budget cycles (PBCs) for Indonesian districts only for direct, not for indirect, elections. PBCs are significantly stronger if the incumbent runs for reelection. They are well identified due to the exogenously different timing of elections.

This paper provides a systematic overview of the intergovernmental fiscal transfer system in Indonesia. It describes the size, allocation mechanism, and economic rationale (if any) of the different transfer schemes. Furthermore, the study points out major changes in the institutional set-up and...

This paper analyzes the regional impact of Indonesia's fuel policy. It discusses how the sharing of oil and gas revenue and taxes on oil and gas between the center and the regions affect sub-national fiscal position and what the regional incidence of the fuel subsidies is. It also analyzes the...