Flypaper effect at the local governments: an empirical analysis for Aceh Province

Irham Iskandar


The objective of this reseach is to test the phenomenon of flypaper effect in local governments in Aceh Province during 2008 to 2012. The research used panel data analysis. Technically, it regresses the independent variables of the local owned revenue and unconditional grants on dependent variable of public spending where the institutions as a moderating variable. The flypaper effect was found in the case of public and infrastructure expenditures. The study also found that the institution is capable to reduce the use of unconditional grants. It means that by the role of institution the local owned revenue can be optimized.


Flypaper effect, institution, expenditure, public spending

Full Text:


Article Metrics

Metrics Loading ...

Metrics powered by PLOS ALM

Copyright (c) 2016 Economic Journal of Emerging Markets

Economic Journal of Emerging Markets (EJEM)

ISSN 1410-2641 (print), 2502-180X (online)

Indexed in:


Creative Commons License

Economic Journal of Emerging Markets by is licensed under a Creative Commons Attribution 4.0 International License.