Chulalongkorn University Theses and Dissertations (Chula ETD)
Other Title (Parallel Title in Other Language of ETD)
ผลกระทบกิจกรรมทางเศรษฐกิจของจังหวัดที่มีผลต่อรายได้ขององค์กรปกครองส่วนท้องถิ่น: กรณีศึกษาองค์การบริหารส่วนจังหวัด (อบจ.) ในประเทศไทย
Year (A.D.)
2021
Document Type
Independent Study
First Advisor
Panutat Satchachai
Faculty/College
Faculty of Economics (คณะเศรษฐศาสตร์)
Degree Name
Master of Arts
Degree Level
Master's Degree
Degree Discipline
Business and Managerial Economics
DOI
10.58837/CHULA.IS.2021.472
Abstract
Fiscal decentralization is a tool for government to delegate the authority to local government organizations (LAOs) in order to reduce the income gaps across regions. The government has responsibility to transfer funds to LAOs and reshape local revenue arrangements. The Provincial Administrative Organizations (PAOs) are the higher tier of LAOs at the provincial level. The majority of PAOs’ revenue comes from locally levied revenue, surcharge and shared revenue and intergovernmental transfer. Among the change of the development of Thailand’s provincial economy in Thailand, the revenue of the PAOs is significantly linked to economic growth in each province, which comes from different provincial economic activities. This study aims to analyze the impact of different economic activities on PAOs’ revenue by applying the Ordinary Least Squares (OLS) using data from Department of Local Administration and Fiscal Policy Office during periods of 2015 to 2019. The study finds that the provincial economic activity in service sector has a significantly positive impact on PAOs’ revenue while agricultural sector has a significantly negative impact on PAOs’ revenue. However, the provincial economic activities have no significant effects on PAOs’ intergovernmental transfer. The conclusion suggests that policymakers and economists should take some related provincial economic activities into consideration of reshaping PAOs’ revenue and transferring intergovernmental transfer.
Creative Commons License
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Recommended Citation
Puangnuam, Tanut, "The impact of different provincial economic activities on local government's revenue: The case of Provincial Administrative Organizations (PAOs) in Thailand" (2021). Chulalongkorn University Theses and Dissertations (Chula ETD). 73485.
https://digital.car.chula.ac.th/chulaetd/73485