ASSESSING THE TECHNICAL EFFICIENCY OF GOVERNMENT EXPENDITURE ON REGIONAL REVENUE IN SUMATERA REGION

Authors

  • Ahmad Syaifullah Universitas Sriwijaya, Palembang, Indonesia
  • Mardalena Universitas Sriwijaya, Palembang, Indonesia
  • Nugraha Pratama Universitas Sriwijaya, Palembang, Indonesia
  • Rasyida Pertiwi Universitas Sriwijaya, Palembang, Indonesia

DOI:

https://doi.org/10.24252/assets.v16i1.67546

Keywords:

Data Envelopment Analysis, Fiscal Decentralization, Government Expenditure Efficiency, Local Own-Source Revenue

Abstract

Purpose: This study aims to assess the technical efficiency of government expenditure in generating Local Own-Source Revenue across the Sumatera region within the framework of fiscal decentralization.

Methods: This study applies a quantitative approach using Data Envelopment Analysis (DEA) with the Variable Returns to Scale (VRS) model. The input variables consist of operational expenditure, capital expenditure, unexpected expenditure, and transfer expenditure, whereas Local Own-Source Revenue is employed as the output variable.

Findings: The results indicate that Bengkulu, Riau Islands, Lampung, South Sumatera, and North Sumatera achieved technical efficiency. Meanwhile, Aceh, Jambi, Bangka Belitung Islands, Riau, and West Sumatera experienced inefficiency in utilizing regional government expenditure.

Research Implications: The findings provide policy insights for improving budget allocation through expenditure optimization, reduction strategies, and efficiency benchmarking among provinces.

Originality: This study contributes empirical evidence on regional expenditure efficiency by examining the relationship between government spending composition and revenue generation performance in the Sumatera region.

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Published

2026-06-30

How to Cite

Syaifullah, A., Mardalena, Nugraha Pratama, & Rasyida Pertiwi. (2026). ASSESSING THE TECHNICAL EFFICIENCY OF GOVERNMENT EXPENDITURE ON REGIONAL REVENUE IN SUMATERA REGION . Assets : Jurnal Ekonomi, Manajemen Dan Akuntansi, 16(1), 152–170. https://doi.org/10.24252/assets.v16i1.67546

Issue

Vol. 16 No. 1 (2026): Assets : Jurnal Ekonomi, Manajemen dan Akuntansi

Section

Volume 16 Nomor 1, Juni 2026

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Copyright (c) 2026 Ahmad Syaifullah, Mardalena, Nugraha Pratama, Rasyida Pertiwi

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