Efficiency Of Local Government Expenditure On Human-Economic Development And Environmental Quality Performance In The Sumatra Region: A Data Envelopment Analysis (DEA) Approach

The efficiency of regional government spending serves as an embodiment of income redistribution policies, balancing public expenditures, minimizing fiscal deficits, and optimizing government resources. This research aims to analyze the efficiency of regional government expenditure realization in Sumatra. The data sources used in this study are secondary data from the Central Bureau of Statistics (BPS) and the Ministry of Environment and Forestry (KLHK) covering 10 provinces from 2013-2022. The analysis method used is Data Envelopment Analysis (DEA) with an input-output approach. The input variable used is the realization of regional government expenditure, while the output variables are the Growth Rate of Regional Gross Domestic Product, the Human Development Index, and the Environmental Quality Index. The study results show that overall, the efficiency level in Sumatra reaches 57 percent with an average relative score of 0.980. The province with the highest efficiency level is Aceh, with a perfect score of 1, while Lampung has the lowest efficiency ranking with a score of 0.909.Efficiency of Local Government Expenditure