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The government proliferantion in Indonesia become a consequence of the existence of a policy of fiscal desentalisasi. The existence of the government proliferantion is expected to shorten the span of control so that the goal of improving the well-being of society and the public service can be achieved. This study goals to analyze the impact of the government proliferantion on the regional educational and economic outcomes against on 491 Kabupaten/Kota in Indonesia. This research uses the Difference in Difference as a tool of analysis. Data obtained from the Indodapoer-World Bank year 2001 until 2014. The impact of the presence of the government proliferantion against outcomes education is lowering the level of literacy through a decrease in the number of buildings on the SD output though it is insignificant and its impact on economic outcomes effect increasing income per capita community that in proxy through household spending per capita and GDP per capita, increasing the number of workers, and lower levels of poverty through increased output in the electricity, road access to the village dirt road, and the village gravel road. The impact in General of the expansion area is a local Government has succeeded in transferring funds to the poor but not with a business climate that is shown by the results of the constant price GDP as a whole which indicates significant results negative. Keywords: Government Proliferantion, Difference in Difference, Educational, Economic.JEL : R1, H00, I21, I25

Marriage unites man and woman in a sacred bond to which economic theories may apply. The economics of marriage includes the analysis of household formation and break up, as well as production and distribution decisions within the household. Marriage usually involves the arrangement of wedding ceremony. Nonetheless, consumption spending on wedding ceremony may differ for each household, depending on their personal preferences. On that account, this study aims to examine the determinants of wedding consumption in Indonesia, which include household income, age, sex, educational attainment, area of residence, and financial literacy level of the household head. This study uses regression method to analyze expenditure data from the National Socio-Economic Survey (Susenas) in 2016. Our findings show that income, age, sex, education, and financial literacy have a significant effect on wedding consumption. This finding has important implications for governments to support the effort to improve financial literacy, especially among couples who are interested in marriage Keywords: Wedding Reception and Ceremonies Expenditures, Marriage Economics, Financial Literacy.JEL: D140, G390, G290

The village (desa) is the lowest level of government administration in Indonesia. In the pre-decentralization, although by law a village should held a regular election to select their leader, in practice the election is highly influenced and intervened by higher level of government. The new decentralization law has provided rural village governance with free election of village head and autonomy to design and decide budget and regulation without approval from the district government. The main purpose of this paper is to investigate the determinants of corruption in village government of Indonesia in the more decentralized system of government introduced in 2001, focusing on the interrelationship between democracy and ethnic fractionalization at village level. Applying a Probit model to the IFLS (Indonesian Family Life Survey) data set on the perception of corruption incidence and the changes in governance at village government in 256 communities, this paper finds that an ethnic diversity at village level is positively associated with corruption if democracy is practiced before the decentralization, and, in contrast, is negatively associated with corruption if the democracy is newly adopted following the decentralization reform. These results are robust, with and without inclusion of budget autonomy, which found to have positive association with corruption. Keywords: Corruption, Decentralization, Democracy, Ethnic Diversity, Budget AuthorityJEL : D73, H11, Z10

This study examines the relationship between firm-level political connections and stock price crash risk in Indonesia. It employs the difference-in-difference design to deal with the self-selection bias issue regarding the choice of the firms to become a politically connected firm. We use the sudden resignation of the former President of Indonesia, Suharto, to show that politically connected firms are associated with lower stock price crash risk and that the risk for these politically connected firms increased after Suharto resigned. Furthermore, we found evidence that these negative associations are more pronounced in firms with more complex firm structures.

This study examines the relationship between firm-level political connections and stock price crash risk in Indonesia. It employs the difference-in-difference design to deal with the self-selection bias issue regarding the choice of the firms to become a politically connected firm. We use the sudden resignation of the former President of Indonesia, Suharto, to show that politically connected firms are associated with lower stock price crash risk and that the risk for these politically connected firms increased after Suharto resigned. Furthermore, we found evidence that these negative associations are more pronounced in firms with more complex firm structures.

This study examines the relationship between firm-level political connections and stock price crash risk in Indonesia. It employs the difference-in-difference design to deal with the self-selection bias issue regarding the choice of the firms to become a politically connected firm. We use the sudden resignation of the former President of Indonesia, Suharto, to show that politically connected firms are associated with lower stock price crash risk and that the risk for these politically connected firms increased after Suharto resigned. Furthermore, we found evidence that these negative associations are more pronounced in firms with more complex firm structures.