THE FACTORS THAT INFLUENCE AND LOCALLY GENERATED REVENUE EFFECTIVENESS KLATEN REGENCY FROM 2002 TO 2010

Abstract

Klaten has high potential areas covering the industrial sector, tourism, entertainment, agriculture, and others. In 2010 there were 285 industrial with a total of 9,254 businesses and employed 38,388 workers, 126 large and medium industrial and 32,798 small scale. The high potential of regions supported by a good government performance will result in high local revenues. This research purpose are (1) to know the factors that influence locally generated revenue in Klaten Regency, (2) to know that the regional tax, retribution area, regional factory profit, and the others income legally factors are influential as partial and simultaneous to locally generated revenue, (3) to know the factors that the most potential result locally generated revenue in Klaten Regency from 2002 to 2010, (4) to know the most effectiveness result of locally generated revenue between from 2002 to 2010. The research used descriptive quantitative method which used is secondary’s data shaped target and realization of locally generated revenue in Klaten Regency from 2002 to 2010 as representation of the local government performance. Technique of analyzing data which used is technique of double linier regression analysis and effectiveness analysis. The conclusion of the research are (1) based on test of double linier regression analysis about the factors that influence locally generated revenue show us that the regional tax, retribution area, regional factory profit, and the others income legally factors are influential as partial and simultaneous to locally generated revenue in Klaten Regency, (2) based on test of effectiveness analysis locally generated revenue show us that management of the financial from 2002 to 2010 called effective, (3) variable that have the most influence to locally generated revenue in Klaten Regency is the local tax as big as 0,339, (4) based on test of effectiveness anlysis that locally generated revenue show the highest effectiveness level take place on 2006 as big as 110,44%. The academic implications from this research are as a reference to further research on locally generated revenue. Practical implications for local government is as a reference government in making policies to maximize the acquisition of regional tax so that locally generated revenue can be increased.

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