The financial enforcement of local governments is one dimension that can guarantee regions' ability to explore and manage local financial sources to support the government system and regional development without moving utterly reliant on the central government. One of the regional financial performance measurement tools is the regional independence ratio. Regencies/Cities in DIY are regions whose financial performance is still relatively different. Therefore it needs to investigate the factors that are the matter. The purpose of this study was to analyze the effect of Regional Original Income, Balanced funds, and Capital Expenditures on the financial performance of Regency/City Governments in the Special Region of Yogyakarta. The data adopted in this research is panel data, a combination of data for time-series 2010-2019, and a cross-section of five regencies/cities in DIY. The result of panel data regression analysis shows that the Regional Original Income and Capital Expenditure have a positive and significant effect. In contrast, the Balanced fund has a negative and significant effect on the financial performance of the regency government in DIY.

In general, economic growth is defined as a process which leads to the increase of per capita income of a population in a long term. Inter-region disparity in terms of economic development is a common phenomenon in a region’s economic activities. This study aims to determine the effect of economic growth, economic openness, and the degree of fiscal decentralization on development disparities between provinces in Java within 2001-2017. Panel data regression was used together with the Random Effect Model as a data analysis technique. The data used was panel data consisting of time series data from 2001-2017 and cross-sectional data covering Special Capital Region of Jakarta, West Java, East Java, Special Region of Yogyakarta, Central Java, and Banten. The results show that economic growth and fiscal decentralization significantly influence development disparity between provinces in Java while economic openness does not affect the development inequality.

The economic growth of the Special Region of Yogyakarta (Daerah Istimewa Yogyakarta or DIY) surrounding areas is naturally originated from agglomeration which was driven by the spatial concentration of economic activities including the aspects of space, community level, city scale, and region. This study aims to determine the development and linkages between production agglomeration and population agglomeration to the economic growth that occurs in DIY. The approach used is the estimation method of fixed effect panel data regression using DIY city/regency administration data in 2005-2016.The results showed that population agglomeration had a significant and positive effect on economic growth, while production agglomeration had no effect on economic growth in model I. Whereas in model II, it is known that production and population agglomeration affected economic growth, labor force negatively affected growth, and unemployment positively and significantly affected economic growth. On the other hand, the poverty level and HDI variables have a negative effect on economic growth. Cities/regencies that have a positive fixed cross effect on economic growth are Sleman, Gunungkidul, and Kulonprogo Regency, while Yogya City and Bantul Regency show a negative sign.