Tata Kelola Publik dan Kinerja Keuangan Pemerintah Daerah di Indonesia

Handoko Arwi Hasthoro

Abstrak

The aims of this study is to examine the effect of public governance implementation on financial performance of Indonesian local governments. Public governance implementation was measured by local government’s transparency, accountability, legal culture, and community participation. Fifty local governments surveyed by Transparency International Indonesia in 2010 used as a sample. Results from multiple regression analysis show that legal culture which is proxied by corruption perception index, and community participation proxied by number of election voters had positive significant influence in Indonesian local governments financial performance. The result imply that law enforcement and fair election foster public trust to pay taxes that increasing genuine income. Keywords: public governance, local government, financial performance, public sector accounting.