IMPACT ANALYSIS OF PHYSICAL SPECIAL ALLOCATION FUND OF THE AFFIRMATIVE REGIONS (DAK FISIK AFIRMASI) IN EDUCATION SECTOR

• Main Author: Dwirizki, Annisa
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/84373
• Institution: Institut Teknologi Bandung

Based on 2018 Potensi Desa (Podes) data, people in 57.4% of villages/sub-districts in the Papua Region experience difficulty in accessing educational facilities. Apart from that, the average distance to educational facilities in the Papua Region reached 32.6 km, while in the Java-Bali Region it was only 3.9 km (Podes, 2018). This indicates that there is disparity between regions in terms of accessibility to educational facilities in Indonesia. Therefore, in 2018 – 2020, the government provided student dormitories and teacher official housing through the Physical Special Allocation Fund of The Affirmative Regions (DAK Fisik Afirmasi) in Education Sector, in order to facilitate student and teacher’s accessibility to educational facilities. This fund is dedicated to affirmative regions, which includes the following regional entities: disadvantaged areas (regencies), state border areas, priority transmigration areas, and all regencies in Papua and West Papua Provinces. Research regarding the impact of the Physical Special Allocation Fund of The Affirmative Regions (DAK Fisik Afirmasi) in Education Sector is very limited. Hadi and Mahi (2024) found that it had a positive and significant impact on the Gross Enrollment Rate (GER) in 118 disadvantaged areas. However, the impact of Physical Special Allocation Fund of The Affirmative Regions (DAK Fisik Afirmasi) in Education Sector on other educational outcomes has not been identified. Through this research, the author seeks to complement previous research by expanding the substance and research area. Using a quantitative approach, this research aims to analyze the impact of the Physical Special Allocation Fund of The Affirmative Regions (DAK Fisik Afirmasi) in Education Sector on the following outcome variables, namely: Nett Enrollment Rate (NER) for elementary, middle and high school; Average Years of Schooling (AYS), Expected Years of Schooling (EYS), and Literacy Rate. The data used is secondary data sourced from official websites and government publications, as well as data from National Socio-Economic Survey (Susenas). The analytical method used is descriptive analysis, and a combination of Propensity Score Matching (PSM) and Difference-in-Differences (DiD) methods operationalized through Fixed-Effect Model (FEM) panel data regression. In this study, the areas studied were divided into two groups, including: treatment group—namely regencies/cities that received the Physical Special Allocation Fund of The Affirmative Regions (DAK Fisik Afirmasi) in Education Sector, and control group, namely districts/cities that did not receive that intervention. PSM analysis aims to select regencies/cities that have similar characteristics, hence the selection bias is minimized. The year 2017 was used as the base year for conducting the PSM analysis, considering that the Affirmation Physical DAK for the Education Sector began to be implemented in 2018. According to PSM analysis, out of 514 regencies/cities, it is found that 488 regencies/cities had similar characteristics, hence eligible to proceed onto the DiD analysis. As for the DiD analysis, the time period used is divided into before (intervention) period, namely 2016 – 2018, and after period, namely 2019 – 2021. The year of outcome variable used in the DiD analysis is one year (t+1) after the intervention. It is because physical development will take at least one budget year. Based on descriptive analysis, it can be concluded that the average achievement of elementary and middle school NER, AYS, EYS, and Literacy Rate has increased after the intervention of Physical Special Allocation Fund of The Affirmative Regions (DAK Fisik Afirmasi) in Education Sector, while the average of high school NER has not. Furthermore, based on the PSM-DiD analysis, the Physical Special Allocation Fund of The Affirmative Regions (DAK Fisik Afirmasi) in Education Sector has a positive and significant impact on AYS, EYS, and Literacy Rate. Furthermore, it also has a positive impact on elementary school NER, even though it is not statistically significant. However, positive impact on middle school and high school NER is not proven