PENGARUH FLYPAPER EFFECT, DANA ALOKASI UMUM, DAN PENDAPATAN ASLI DAERAH TERHADAP BELANJA DAERAH KABUPATEN/KOTA DI INDONESIA

This study aims to provide empirical evidence on whether there flypaper effect of the General Allocation Fund (GAF) to Budget greater than the effect of revenue of the Local
Expenditure, what happened to the flypaper effect of the General Allocation Fund (GAF)years prior to the Local Expenditure is greater than the effect of revenue the previous year to the Local Expenditure, and whether the flypaper occur in areas with low revenue or high
revenue.The population in this study is all regencies / cities in Indonesia. The sample in this study was regencies/cities who serving General Allocation Fund (GAF), revenue, Realized Budget Report (RBR) to the Directorate General of Local Government Fiscal Balance in 2010
until 2012. The data used in this research is secondary data, such as General Allocation Fund (GAF) growth, revenue, and Regional Expenditure data obtained from the official website of the Directorate General of Fiscal Balance (DGFB). The number of samples in this study were
64 regencies/cities.Datawere analyzed by usingSPSS version16.0. Testing H1 dan H2 conducted using
multiple regression analysis, and to test H3 use multiple regression analysis and also use T Test. The test results indicate that the first hypothesis has occurred flypaper effect on LocalExpenditureregencies/cities in Indonesia. Testing ofthe second hypothesissuggeststhat there is noflypapereffect in Government responseto the growth ofGeneral Allocation Fund (GAF)last year andgrowth of revenuelast year forLocal Expendituregrowthin egencies/cities inIndonesia. The third test results showed that flypaper effect occurs in areas with high
revenue and low revenue.