Analysis Impact of Fiscal Capacity Direct Expenditure and Social Inequality Between Regions in Papua Province

摘要

This research aims to analysis fiscal capacity to direct expenditure and social inequality between regions in Papua province. This research uses Structural Equation Modeling model namely WarPLS 5. The results of the study indicate that the fiscal capacity has a positive effect on the local direct expenditure, quality of education and revenue inequality, but has no effect on the public health quality. Direct expenditure has no effect on the inequality of income, quality of education and public health quality.