PENGARUH UKURAN PEMERINTAH DAERAH, PENDAPATAN ASLI DAERAH, DAN DANA PERIMBANGAN TERHADAP KINERJA KEUANGAN PEMERINTAH DAERAH

Abstract

This research aimed to examine the effect of Local Government size, local- owned Source Revenue and balanced
budget on Local Government Financial Performance which based on independence. The research was casualcomparative.
Casual-comparative research is used to investigate the causal relationship of a problem between two
or more variables, with this research can find out what factors are causing the problem. While, the population was
Local Governments of East Java province during 2014-2018. Moreover, the data collection technique used
purposive sampling, in which the sample was based on criteria given. In line with, there were 33 districts/cities as
sampel during 5 years. Thus, the total data were 165 observations. Furthermore, the data analysis technique used
multiple regression. Based on hypothesis test result concluded Local Government size had negative and significant
effect on Local Government Financial Performance which based on independence. On the other hand, Local-owend
Source Revenue had positive and significant effect on Local Government Financial Performance which based on
independence. In contrast, balanced budget had negative and significant effect on Local Government Financial
Performance of districts/cities in East Java, which based on independence.
Keywords: local government size, local-owned source revenue, balanced budget