Eliminating the effects of external environmental factors to improve the analysis of local government financial condition: a study in Indonesia

References

• Adeyemi, T. O. (2011). The effective use of standard scores for research in educational management. Research Journal of Mathematics and Statistics, 3(3), 91–96.
   Google Scholar
• Alam, A. B. M. M., Alam, M., & Hoque, A. (2017). Measuring financial condition of urban local government: A study of municipalities in Bangladesh. The Journal of Developing Areas, 51.
   Google Scholar
• Ammons, D. N., Coe, C., & Lombardo, M. (2001). Performance-comparison projects in local government: Participants’ perspectives. Public Administration Review, 61(1), 100–110.
   Web of Science ®Google Scholar
• Arunachalam, M., Chen, C., & Davey, H. (2017). A model for measuring financial sustainability of local authorities: Model development and application. Asia-Pacific Management Accounting Journal, 12(1), 39–76.
   Google Scholar
• Barnett, R., Levaggi, R., & Smith, P. (1992). Local authority expenditure decisions-A maximum-likelihood analysis of budget setting in the face of piecewise linear budget constraints. Oxford Economic Papers, 44(1), 113–134.
   Web of Science ®Google Scholar
• Bergstrom, T. C., & Goodman, R. P. (1973). Private demands for public goods. The American Economic Review, 63(3), 280–296.
   Web of Science ®Google Scholar
• Berne, R. (1992). The relationships between financial reporting and the measurement of financial condition. GASB.
   Google Scholar
• Berne, R., & Scharamm, R. (1986). The financial analysis of government. Prentice Hall.
   Google Scholar
• Bisnis.com. (2020). Ridwan Kamil protes ke pemerintah: Pembagian dana transfer daerah tidak adil. https://ekonomi.bisnis.com/read/20200623/9/1256557/ridwan-kamil-protes-ke-pemerintah-pembagian-dana-transfer-daerah-tidak-adil-.
   Google Scholar
• Bisogno, M., Cuadrado-Ballesteros, B., Santis, S., & Citro, F. (2018). Budgetary solvency of Italian local governments: An assessment. International Journal of Public Sector Management, 32(2), 122–141.
   Web of Science ®Google Scholar
• Borcherding, T. E., & Deacon, R. T. (1972). The demand for the services of non-federal governments. The American Economic Review, 62(5), 891–901.
   Web of Science ®Google Scholar
• Boyne, G. A. (1996). Constraints, choice and public policies. Jai Press.
   Google Scholar
• Boyne, G. A., Ashworth, R. E., & Powell, D. M. (2001). Environmental change, leadership succession and incrementalism in local government. Journal of Management Studies, 38(6), 859–878.
   Web of Science ®Google Scholar
• Brown, K. W. (1993). The 10-point test of financial condition: Toward an easy-to-use assessment tool for smaller cities. Government Finance Review, 9, 21–26.
   Google Scholar
• Brusca, I., Manes-Rossi, F., & Aversano, N. (2015). Drivers for the financial condition of local government: A comparative study between Italy and Spain. Lex Localis—Journal of Local Self-Government, 13, 161–168.
   Web of Science ®Google Scholar
• Cabaleiro, R., Buch, E., & Vaamonde, A. (2013). Developing a method to assessing the municipal financial health. The American Review of Public Administration, 43, 729–751.
   Web of Science ®Google Scholar
• Carmeli, A. (2002). A conceptual and practical framework of measuring performance of local authorities in financial terms: Analysing the case of Israel. Local Government Studies, 28, 21–36.
   Web of Science ®Google Scholar
• Carmeli, A. (2007). The effect of fiscal conditions of local government authorities on their economic development. Economic Development Quarterly, 21(1), 91–98.
   Web of Science ®Google Scholar
• Carmeli, A., & Cohen, A. (2001). The financial crisis of the local authorities in Israel: A resource-based analysis. Public Administration, 79(4), 893–913.
   Web of Science ®Google Scholar
• CICA. (1997). Public sector statements of recommended practice (SORP)-4: Indicators of financial condition. Canadian Institute of Chartered Accountants.
   Google Scholar
• Clark, B. Y. (2015). Evaluating the validity and reliability of the financial condition index for local governments. Public Budgeting & Finance, 35, 66–88.
   Web of Science ®Google Scholar
• De Lancer, P., & Holzer, M. (2001). Promoting utilization of performance measures in public organizations: An empirical study of factors affecting adoption and implementation. Public Administration Review, 61(6), 693–708.
   Web of Science ®Google Scholar
• Downing, P. B. (1973). User charges and the development of urban land. National Tax Journal, 26, 631–637.
   Google Scholar
• Folz, D. H. (2004). Service quality and benchmarking the performance of municipal services. Public Administration Review, 64(2), 209–220.
   Web of Science ®Google Scholar
• Goeminne, S., & George, B. (2019). New development: Determinants of financial performance in public organizations. Public Money & Management, 39, 70–73.
   Web of Science ®Google Scholar
• Gomes, R. C., Alfinito, S., & Albuquerque, P. H. M. (2013). Analyzing local government financial performance: Evidence from Brazilian municipalities 2005-2008. Revista De Administração Contemporânea, 17, 704–719.
   Google Scholar
• Gorina, E., & Maher, C. (2016). Measuring and modeling determinants of fiscal stress in US municipalities. Mercatus Working Paper. George Mason University.
   Google Scholar
• Gorina, E., Maher, C., & Joffe, M. (2018). Local fiscal distress: Measurement and prediction. Public Budgeting & Finance, 38(1), 72–94.
   Web of Science ®Google Scholar
• Groves, M., Godsey, W., & Shulman, M. (2003). Evaluating financial condition: a handbook of local government (3rd edn). The International City/County Management Association.
   Google Scholar
• Hair, F., Black, J., W, C., Babin, B. J., & Anderson, R. E. (2010). Multivariate data analysis: A global perspective (7th edn). Pearson Prentice Hall.
   Google Scholar
• Hammer, R. B., & Green, G. P. (1996). Local growth promotion: Policy adoption versus effort. Economic Development Quarterly, 10(4), 331–341.
   Web of Science ®Google Scholar
• Hendrick, R. (2004). Assessing and measuring the fiscal heath of local governments: Focus on Chicago suburban municipalities. Urban Affairs Review, 40, 78–114.
   Web of Science ®Google Scholar
• Hyman, D. (1990). Public finance. Harcourt Brace College Publishers.
   Google Scholar
• ICMA. (1980). Financial trends monitoring system. International City/County Management Association.
   Google Scholar
• Jones, S., & Walker, R. G. (2007). Explanators of local government distress. Abacus, 43, 396–418.
   Web of Science ®Google Scholar
• Kioko, S. N. (2013). Reporting on the financial condition of the states: 2002-2010. Journal of Public Budgeting, Accounting & Financial Management, 25, 165–198.
   Google Scholar
• Kleynhans, E. P., & Coetzee, C. (2019). Assessment of financial conditions of South African municipalities: A unique model for KwaZulu-Natal. Southern African Business Review, 23(1).
   Google Scholar
• Kloha, P., Weissert, C. S., & Kleine, R. (2005). Developing and testing a composite model to predict local fiscal distress. Public Administration Review, 65, 313–323.
   Web of Science ®Google Scholar
• Kooij, J., & Groot, T. (2021). Towards a comprehensive assessment system of local government fiscal health. Maandblad voor Accountancy en Bedrijfseconomie, 95, 233.
   Google Scholar
• Leone, R. C. (1976). The fiscal decline of older cities: Causes and cures. National Tax Journal, 29(3), 257–260.
   Web of Science ®Google Scholar
• Maher, C. S. (2013). Measuring financial condition: An essential element of management during periods of fiscal stress. The Journal of Government Financial Management, 62(1), 20–25.
   Google Scholar
• Maher, C. S., Oh, J. W., & Liao, W. J. (2020). Assessing fiscal distress in small county governments. Journal of Public Budgeting, Accounting & Financial Management, 32(4), 691–711.
   Google Scholar
• Mamun, T. M., & Chowdhury, S. (2022). Assessing fiscal health of local governments in Bangladesh: Evidence from some south-western municipalities. Public Administration and Policy, 25(1), 50–63.
   Web of Science ®Google Scholar
• Mercer, T., & Gilbert, M. (1996). A financial condition index for Nova Scotia municipalities. Government Finance Review, 12, 36–38.
   Google Scholar
• Nollenberger, K., Groves, S. M., & Valente, M. G. (2003). Evaluating financial condition: A handbook for local government. International City County Management Association.
   Google Scholar
• Nollenberger, K., & Maher, C. S. (2009). Revisiting Kenneth Brown’s ‘10-point test’. Government Finance Review, 25, 61–66.
   Google Scholar
• Park, H. (2021). Municipal fragmentation and local financial condition. Transylvanian Review of Administrative Sciences, 17(64), 131–150.
   Google Scholar
• Petersen, J. E. (1977). Simplification and standardisation of state and local government fiscal indicators. National Tax Journal, 299-311.
   Google Scholar
• Pina, V., Bachiller, P., & Ripoll, L. (2020). Testing the reliability of financial sustainability. The case of Spanish local governments. Sustainability, 12(17), 6880.
   Web of Science ®Google Scholar
• Rencher, A. C. (2002). Methods of multivariate analysis (2nd edn). John Wiley & Sons.
   Google Scholar
• Republik Indonesia. (2020). Peraturan Menteri Dalam Negeri Republik Indonesia nomor 19 tahun 2020 tentang pengukuran indeks pengelolaan keuangan daerah. Kementerian Dalam Negeri.
   Google Scholar
• Republik Indonesia. (2021). Peraturan Menteri Keuangan Republik Indonesia nomor 72 tahun 2021 tentang peta fiskal daerah. Kementerian Dalam Negeri.
   Google Scholar
• Republik Indonesia. (2022). Undang-undang Republik Indonesia nomor 1 tahun 2022 tentang hubungan keuangan antara pemerintah pusat dan pemerintah daerah. Kementerian Sekretariat Negara.
   Google Scholar
• Ritonga, I. T. (2015). Developing a measure of local government’s financial condition. Journal of Indonesian Economy and Business, 29, 142–164.
   Google Scholar
• Ritonga, I. T. (2016). Clustering local government for optimizing local government financial condition analysis: A case study in Indonesia. International Journal of Applied Business and Economic Research, 14(13), 9531–9547.
   Google Scholar
• Ritonga, I. T., Clark, C., & Wickremasinghe, G. (2012). Assessing financial condition of local government in Indonesia: An exploration. Public and Municipal Finance, 1(2), 37–50.
   Google Scholar
• Ritonga, I. T., Clark, C., & Wickremasinghe, G. (2019). Factors affecting financial condition of local government in Indonesia. Journal of Accounting and Investment, 20, 1–25.
   Google Scholar
• Rivenbark, W. C., & Roenigk, D. J. (2011). Implementation of financial condition analysis in local government. Public Administration Quarterly, 35, 241–267.
   Google Scholar
• Rivenbark, W. C., Roenigk, D. J., & Allison, G. S. (2009). Communicating financial condition to elected officials in local government. Popular Government, 75, 4–13.
   Google Scholar
• Rivenbark, W. C., Roenigk, D. J., & Allison, G. S. (2010). Conceptualizing financial condition in local government. Journal of Public Budgeting, Accounting & Financial Management, 22(2), 149–177.
   Google Scholar
• Sarstedt, M., & Mooi, E. (2019). A concise guide to market research: the process, data, and methods using IBM SPSS statistics (3rd edn). Springer.
   Google Scholar
• Šebestová, J., Majerova, I., & Szarowská, I. (2018). Indicators for assessing the financial condition and municipality management. Administration & Public Management Review, (31).
   Google Scholar
• Sheskin, D. J. (2003). Handbook of parametric and nonparametric statistical procedures. Chapman and Hall/CRC.
   Google Scholar
• Singla, A., & Stone, S. B. (2018). Fiscal decentralization and financial condition: The effects of revenue and expenditure decentralization on state financial health. State and Local Government Review, 50(2), 119–131.
   Google Scholar
• Statistics Indonesia. (2019). Indeks Kemahalan Konstruksi Provinsi dan Kabupaten/Kota 2019.
   Google Scholar
• Stone, S. B. (2015). The effect of fiscal decentralization on the financial condition of municipal government. International Journal of Public Administration, 38(6), 453–460.
   Web of Science ®Google Scholar
• Suara NTB. (2018). Dana tak sesuai harapan, Lobar protes pemerintah pusat. Suara NTB. https://www.suarantb.com/dana-tak-sesuai-harapan-lobar-protes-pemerintah-pusat/.
   Google Scholar
• Trussel, J. M., & Patrick, P. A. (2009). A predictive model of fiscal distress in local governments. Journal of Public Budgeting, Accounting & Financial Management, 21, 578–616.
   Google Scholar
• Trussel, J. M., & Patrick, P. A. (2018). Assessing and ranking the financial risk of municipal governments. Journal of Applied Accounting Research, 19, 81–101.
   Google Scholar
• Turley, G., Di Medio, R., & McNena, S. (2020). A reassessment of local government's financial position and performance: The case of Ireland. Administration: Journal of the Institute of Public Administration of Ireland, 68(2), 1–35.
   Google Scholar
• Turley, G., Robbins, G., & McNena, S. (2015). A framework to measure the financial performance of local governments. Local Government Studies, 41(3), 401–420.
   Web of Science ®Google Scholar
• Wang, X., Dennis, L., & Tu, Y. S. (2007). Measuring financial condition: A study of U.S. states. Public Budgeting & Finance, 27, 1–21.
   Google Scholar
• Wang, X., & Liou, K. T. (2009). Assessing the change in financial condition: An analysis of panel data from U.S. states. Journal of Public Budgeting, Accounting & Financial Management, 21, 165–197.
   Google Scholar
• Wilks, D. S. (2019). Statistical methods in the atmospheric sciences (4th edn). Elsevier.
   Google Scholar
• Zafra-Gómez, J. L., López-Hernández, A. M., & Hernández-Bastida, A. (2009a). Developing a model to measure financial condition in local government: Evaluating service quality and minimizing the effects of the socioeconomic environment: An application to Spanish municipalities. The American Review of Public Administration, 39, 425–449.
   Web of Science ®Google Scholar
• Zafra-Gómez, J. L., López-Hernández, A. M., & Hernández-Bastida, A. (2009b). Developing an alert system for local governments in financial crisis. Public Money & Management, 29, 175–181.
   Web of Science ®Google Scholar
• Zafra-Gómez, J. L., López-Hernández, A. M., & Hernández-Bastida, A. (2009c). Evaluating financial performance in local government: Maximizing the benchmarking value. International Review of Administrative Sciences, 75, 151–167.
   Web of Science ®Google Scholar