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Is Fiscal Decentralization Conflict Abating? Routine Violence and District Level Government in Java, Indonesia

Author

Listed:
  • Mansoob Murshed

    (Institute of Social Studies, The Hague)

  • Zulfan Tadjoeddin

    (Institute of Social Studies, The Hague)

Abstract

Utilising a newly created data set we examine the relationship between routine/everyday violence and fiscal decentralization in 98 districts of the Indonesian island of Java. By examining possible relationships between fiscal decentralization and routine violence, this paper fills a gap in the literature where the analysis of the relation between fiscal decentralization and violence is relatively scant. Routine violence, which is different from both civil war and ethno-communal conflict, centres around group brawls, popular justice or vigilante violence. Despite the uniform implementation of fiscal decentralization, sub-national entities exhibit varying experiences with decentralization, but a common consequence is the increased size of local government. Fiscal decentralization, and the increased size of local government, can alleviate pent-up frustrations with a centralized state, as local government expenditure is seen to satisfy the needs of communities that people identify with more closely. Our results show that this is indeed the case, but the capacity to do so mainly lies with richer districts.

Suggested Citation

  • Mansoob Murshed & Zulfan Tadjoeddin, 2008. "Is Fiscal Decentralization Conflict Abating? Routine Violence and District Level Government in Java, Indonesia," Research Working Papers 7, MICROCON - A Micro Level Analysis of Violent Conflict.
    • Handle: RePEc:mcn:rwpapr:7
    as

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    File URL: http://www.microconflict.eu/publications/RWP7_MM_ZT.pdf
    File Function: First version, 2008
    Download Restriction: no
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    References listed on IDEAS

    as
    1. Cornes,Richard & Sandler,Todd, 1996. "The Theory of Externalities, Public Goods, and Club Goods," Cambridge Books, Cambridge University Press, number 9780521477185, September.
    2. Charles M. Tiebout, 1956. "A Pure Theory of Local Expenditures," Journal of Political Economy, University of Chicago Press, vol. 64(5), pages 416-416.
    3. Barron, Patrick & Kaiser, Kai & Pradhan, Menno, 2004. "Local conflict in Indonesia : Measuring incidence and identifying patterns," Policy Research Working Paper Series 3384, The World Bank.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Sudarno Sumarto & Marc Vothknecht & Laura Wijaya, "undated". "Explaining the Regional Heterogeneity of Poverty: Evidence from Decentralized Indonesia," Working Papers 276, Publications Department.
    2. Raul Caruso & Ilaria Petrarca & Roberto Ricciuti, 2014. "Climate Change, Rice Crops and Violence. Evidence from Indonesia," CESifo Working Paper Series 4665, CESifo.

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    More about this item

    Keywords

    Asia; Indonesia; routine violence; fiscal decentralization;
    All these keywords.

    JEL classification:

    • D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances; Revolutions
    • H71 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Taxation, Subsidies, and Revenue
    • H72 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Budget and Expenditures

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