Analysing decentralisation and corruption in Indonesia: a fraud triangle approach

Pipin Prasetyono

MPRA Paper from University Library of Munich, Germany

Abstract: Implementation of a decentralisation system in 2001 has brought a fundamental change in institutional arrangements between central and local government in Indonesia. Despite its success story to foster local development and economic growth in Indonesia, decentralisation has also been regarded as one of the responsible factors in the growing number of corruption cases in local areas. This paper attempts to systematically examine the rising corruption phenomena at local level in Indonesia’s decentralisation system from the perspective of fraud triangle which are perpetrators’ non-shareable pressure, perceived opportunity and rationalisation to engage in corrupt activities. This paper argues that decentralisation systematically shapes pressure and creates opportunity for the emergence of corruption in Indonesia, while growing corruption cases and a corrupt justice system become two strong rationalisation factors towards corrupt behaviour.

Keywords: decentralization; corruption; fraud (search for similar items in EconPapers)
JEL-codes: H11 H30 H77 Y80 (search for similar items in EconPapers)
Date: 2017-04-30
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://mpra.ub.uni-muenchen.de/97722/1/MPRA_paper_97722.pdf original version (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:97722

Access Statistics for this paper

More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter ().