P-ISSN: 2808-0467
E-ISSN: 2808-5051
Homepage: https://iss.internationaljournallabs.com/index.php/iss
1153 This work is licensed under CC BY-SA 4.0
THE INFLUENCE OF LEADERSHIP, THE ROLE OF LOCAL
GOVERNMENT, THE ROLE OF THE DPRD AND LOCAL REVENUE
ON THE EFFECTIVENESS OF BUSINESS LICENSING IN JAYAPURA
CITY
John Kennedy Thesia
1*
, Musa Hubeis
2
, Josy Adiwisastra
3
, Budi Supriyatno
4
1
Candidate Doctor of Government Study, Satyagama University, West Jakarta, DKI Jakarta, Indonesia
2
Professor of Public Policy Field of Government Science, Agricultural Institute, Bogor, West Java, Indonesia
3
Professor of Public Policy Field of Government Science, Pajajaran University, Bandung, West Java,
Indonesia
4
Senior Lecturer, Satyagama University, West Jakarta, DKI Jakarta, Indonesia
*
johnkennedythesia@gmail.com
PAPER INFO ABSTRACT
Received: May
2022
Revised: June
2022
Approved: June
2022
Background: Every implementation of autonomy affairs is expected to
achieve effective and efficient use of resources. His desire to create an image
that local governments can use resources, both in the form of human
resources, regional revenue budgets, equipment and work procedures in
carrying out their main duties effectively and efficiently in good governance.
Aim: This study aims to analyze the influence of leadership, the role of local
government, the role of the Jayapura City DPRD and local revenues together
to partially compile the effectiveness of business license in Jayapura City.
This research uses a descriptive quantitative methodology.
Method: To obtain a comprehensive and in-depth picture, a descriptive
method with a quantitative approach is used to analyze existing empirical
data and correlate with concepts related to special autonomy policies.
Findings: First, leadership has a partial significant effect on the effectiveness
of business licensing in Jayapura City. Second, the role of local governments
partially has a significant effect on the effectiveness of business license in
Jayapura City. Third, the role of the DPRD partially has a significant effect
on the effectiveness of nusaha license in Jayapura City. Fourth, the original
regional income partially affects the effectiveness of business licensing in
Jayapura City. Fifth, leadership, the role of local governments, the role of the
DPRD and local revenue simultaneously have a significant effect on the
effectiveness of business license in Jayapura City.
KEYWORDS
leadership, local government, revenue, effectiveness, licensing
INTRODUCTION
In order to organize government, community services and development. Therefore, the
government essentiallyhas three main functions, namely the allocation function (covering
economic resources in the form of goods and services of the community), the development
distribution function, and the stabilization function which includes security defense and
monetary economics (Sutrisna, 2020).
The central and regional financial relationship concerns the division of responsibility for
carrying out certain activities between the government level and the division of revenue sources
to cover expenses due to these activities (Pulungan et al., 2022). The main objective of the
central and regional relations is to achieve a balance between the division of potential and
resources in accordance with the role played by the Daerah Government (Kurniati, 2014). To
determine the amount of availability of funds between local governments, the principle of
The Roles of Leadership, Regional Government, DPRD, and Local Revenue on Business Licensing’s
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1154 Interdisciplinary Social Studies, 1(9), Jun 2022
regional needs is used through the division of functions reflected in the policy of regional
autonomy, which regulates the division of authority as well as financing the central government
and local governments (Mardiasmo, 2021). To realize regional autonomy and broad, real and
responsible decentralization, it is necessary to manage regional finances economically,
efficiently, effectively, transparently and accountably (Mardiasmo, 2021). In the context of
public accountability, local governments are obliged to optimize the budget which is carried
out efficiently and effectively to improve community welfare (Pramono, 2014).
In carrying out the government, the local government is equipped with a set of financing
capabilities as regulated in Law Number 33 of 2004 concerning Regional Central Financial
Balance. The sources of funds in the implementation of the Daerah Government consist of
Regional Native Income (PAD), Balance Fund, and Other Legitimate Income (Nurdiwaty et
al., 2017).
PAD is income sourced from the results of regional taxes, the results of regional levies,
the results of the management of segregated regional wealth and other legitimate income with
the aim of providing flexibility to regions in exploring sources of revenue to support the
implementation of Special Autonomy as a manifestation of regional autonomy (Asih, 2018).
Regional Native Income is one of the benchmarks of regional ability in organizing and realizing
otonomi daerah, besides that it is also a reflection of regional independence (Alisman & Nasir,
2014). PAD, although it can be the main capital for the implementation of government and
development, from year to year its receipts always increase, but its condition is not adequate
as the main capital (Kharisma, 2013).
After more than three decades of living in a centralistic government, since January 2001,
the Government of Indonesia has granted special autonomy to Papua by authorizing the
district/city government to regulate and take care of the interests of local communities
according to its own initiatives based on the aspirations and basic rights of the people, except
in the fields of monetary, religious, judicial, security and defense, foreign relations and across
districts/cities (Asnawi & Andrizal, 2021). As a very radical change, the implementation of
Special Autonomy has given rise to pros and cons in society.
Manyconcerns have emerged that Special Autonomy will worsen public services, expand
the practice of Corruption Collusion and Nepotism (KKN) and give rise to small kings who are
difficult to control by civil society which in the regions in general is still very weak. On the
other hand, the implementation of Special Autonomy gave birth to various new kinds of
optimism such as the emergence of a more responsive, accountable and participatory
government. The implementation of Special Autonomy can accelerate the realization of better
governance in the regions (Savitri, 2014).
Law of the Republic of Indonesia Number 35 of 2008 concerning the Establishment of
Government Regulations in Lieu of Law Number 1 of 2008 concerning Amendments to Law
Number 21 of 2001 concerning Special Autonomy for the Province of Papua Into Law
(Undang-Undang Republik Indonesia Nomor 35 Tahun 2008 Tentang Penetapan Peraturan
Pemerintah Pengganti Undang-Undang Nomor 1 Tahun 2008 Tentang Perubahan Atas
Undang-Undang Nomor 21 Tahun 2001, 2008) there have been various fundamental changes
in the regulation of local government in Papua. As a logical consequence is the need to organize
various elements relating to Local Government as a manifestation of Special Autonomy.
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1155 Interdisciplinary Social Studies, 1(9), Jun 2022
In carrying out research on Local Government in Jayapura City, it will be related to two
laws, namely Law No. 23 of 2014 (Undang-Undang No 23 Tahun 2014 Tentang Pemerintahan
Daerah, 2014) concerning Regional Government and Law No. 21 of 2001 which was changed
to Law No. 35 of 2008 concerning Special Autonomy. There are many researches and studies
of experts and academics related to the implementation of special autonomy in Papua with
various variables and different points of view. Then the results will also vary depending on the
characteristics of each region and city government. This research is intended to capture its
implementation with a case study in the Jayapura City Government, concerning indicators of
the implementation of special autonomy policies and the factors that influence them. To obtain
a comprehensive and in-depth picture, a descriptive method with a quantitative approach is
used to analyze existing empirical data and correlate with concepts related to special autonomy
policies.
METHOD
This research is included in the type of quantitative research that is descriptive analytical.
This research not only wants to clearly describe the city of Jayapura, but also tries to explain
the influence of leadership, the role of the regional government, the role of the Jayapura City
DPRD, PAD and the effectiveness of business licensing.
The population in this study was related agencies in Jayapura City and various groups that
were considered to be related to the problems studied were 1,566 people. To determine the size
of the sample, the proportionate stratified random sampling method is used, which is sampling
in a random way, where each subject of the population is viewed equally.
In an effort to obtain the necessary data and information, several data collection techniques
were used. Such techniques are interviews, observations, documentation, as well as the
dissemination of questionnaires.
The research model uses simple and multiple linear regression analysis with the model
below.
Figure 1. Research Analysis Model
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1156 Interdisciplinary Social Studies, 1(9), Jun 2022
Information:
X
1
: Leadership X
2
: The Role of Local Government
X
3
: The Role of the Jayapura City DPRD level II X
4
: Regional Original Income
Y:
Effectiveness of Business Licensing
ε (Epselon): Factors outside of X
1
, X
2
and X
3
that affect Y but were not studied
RESULTS AND DISCUSSION
Leadership Variable Data Description (X
1
)
The leadership variable data derived from the spread questionnaire the lowest score is 2.60
and the highest score is 5.00. Thus, the range of scores that appear is 2.40. The figures after
analysis produce:
1)
Average score (Mean) = 3.9547
2)
Median value (Median) = 3.9333
3)
Modus (Mode) = 3,93
4)
Varians (Variance) = 0,162
5)
Standard Deviation = 0.40303
From the explanation above, it can be interpreted that leadership is agreed upon by
respondents who play an important role in increasing the effectiveness of business licensing in
Jayapura City.
Description of Local Government Role Variable Data (X
2
)
The variable data on the role of local governments derived from the poll spread the lowest
score was 2.80 and the highest score was 4.93. Thus, the emerging range of scores (range) is
2.13. These figures after analysis produce :
1) Average score (Mean) = 3.9168
2) Median value (Median) = 3.9333
3) Modus (Mode) = 3,93
4) Varians (Variance) = 0,110
5) Standard Deviation = 0.33234
From the explanation above, it can be interpreted that the role of the local government was
agreed upon by the respondents who played an important role in increasing the effectiveness
of business license in Jayapura City.
DPRD Role Variable Data Description (X
3
)
The DPRD role variable data derived from the questionnaire spread the lowest score is
2.80 and the highest score is 4.87. Thus, the range of scores that appear is 2.07. These figures
after analysis produce :
1) Average score (Mean) = 4.0233
2) Median value (Median) = 4.0667
3) Modus (Mode) = 4,07
4) Varians (Variance) = 0,165
5) Standard Deviation = 0.40637
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1157 Interdisciplinary Social Studies, 1(9), Jun 2022
From the explanation above, it can be interpreted that the role of the DPRD is agreed upon
by respondents who play an important role in increasing the effectiveness of business license
in Jayapura City.
Description of Regional Native Income Variable Data (X
4
)
The local original income variable data derived from the poll spread the lowest score was
2.53 and the highest score was 4.87. Thus, the range of scores (range) that appears is 2.33.
These figures after analysis produce:
1) Average score (Mean) = 4.0531
2) Median value (Median) = 4.0667
3) Modus (Mode) = 4,00000000
4) Varians (Variance) = 0,139
5) Standard Deviation = 0.37285
From the explanation above, it can be interpreted that the original regional income was
agreed upon by the respondents who played an important role in increasing the effectiveness
of business license in the city of Jayapura.
Description of Business Licensing Effectiveness Variable Data (Y)
Data on the variable of business licensing fecundity derived from the lowest spread
questionnaire score was 2.93 and the highest score was 4.87. Thus, the range of scores that
appear is 1.93. These figures after analysis produce:
1)
Average score (Mean) = 3.9952
2)
Median value (Median) = 4.0000
3)
Modus (Mode) = 4,00
4)
Varians (Variance) = 0,125
5)
Standard Deviation = 0.35338
From the explanation above, it can be interpreted that the effectiveness of business
licensing is agreed upon by respondents who play an important role in improving the
effectiveness of business licensing in Jayapura City.
Hypothesis Testing
From the results of testing with the program SPSS 16.0 for Windows obtained the results
of the equation for each of the hypotheses as follows.
Partial Analysis
In partial analysis consists of 4 (three) sub-stages. Each of the stages is outlined as follows:
1)
The first hypothesis: "There is an influence of leadership on the effectiveness of
business licensing in Jayapura City". The weak influence between the leadership
variable (X
1
) and the effectiveness of business licensing (Y) can be known through
a simple determination analysis. Meanwhile, to find out the form of influence
between these variables, a simple regression analysis is carried out. For each of the
first hypothesis tests are described as follows:
a) Test F Results: From the results of computer processing based on the calculation
of SPSS version 16.0, the value of the coefficient F
count
as follows is obtained:
The Roles of Leadership, Regional Government, DPRD, and Local Revenue on Business Licensing’s
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1158 Interdisciplinary Social Studies, 1(9), Jun 2022
Table 1. F
count
and F
table
of the First Hypothesis
Equation
F
count
F
table
Sig.
Leadership (X
1
) on the Effectiveness of
Business Licensing (Y)
40,000
3,89
0,000
Source: Processed Data
From table 1 it is known that the F
count
is 40,000. Meanwhile, the critical price of
the table F value with a numerator-free degree of 1 and a denominator of 273 in
α (0.05) is 3.89. Thus F
count
> F
table
, so that clearly Ho is rejected and H
a
is
accepted. This shows that leadership has a significant and positive effect on the
effectiveness of business licensing in Jayapura City.
b) T-Test Result: From the results of data processing with the SPSS Vers. 16.0
program, the t
count
is obtained as follows:
Table 2. t
count
and t
table
of the First Hypothesis
Equation
t
count
t
table
Sig.
Leadership (X
1
) on the Effectiveness of
Business Licensing (Y)
11,151
1,960
0,000
Source: Processed Data
Based on table 2,
t
count
of 11.151 is obtained, while the t
table
with free degrees at
α (0.05) is 1.960. Thus t
count
> t
table
, so that clearly Ho is rejected and H
a
is
accepted. This shows that leadership has a significant and positive effect on the
effectiveness of business licensing in Jayapura City.
c) Coefficient of Determination Test Results (R
2
): From the results of data
processing with the SPSS Version 16.0 program, a Coefficient of Determination
(R
2
) value of 0.566 was obtained. This shows that 56.6% of the diversity of
business licensing effectiveness in Jayapura City is due to leadership diversity,
while the remaining 43.4% is due to other factors.
d) Simple Regression Equation: From the calculation results of SPSS Version 16.0,
the following results were obtained:
Ŷ = a + b
1
X
1
Ŷ = 3,998 + 0,591X
1
This equation means that every 1 score of the leadership variable (X
1
), affects the
business licensing effectiveness variable (Y) of 0.591, assuming the other
variables have a constant value.
e) Sensitivity Test Result (Beta Coefficient): The value of Beta Coefficients on the
leadership variable (X
1
) is 0.690. The beta value of the coefficient contains the
understanding that every increase of 1 standard deviation of the leadership
variable (X
1
), will increase 0.690 standard deviation from the variable of business
license effectiveness (Y).
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1159 Interdisciplinary Social Studies, 1(9), Jun 2022
2)
Hypothesis Two: "There is an influence of the role of local governments on the
effectiveness of business license in Jayapura City". The weak influence between the
variable role of local governments (X
2
) and the effectiveness of business license (Y)
can be seen through simple determination analysis. Meanwhile, to find out the form
of influence between these variables, a simple regression analysis is carried out. For
each of the tests of the second hypothesis is outlined as follows:
a) F Test Results: From the results of computer processing based on the calculation
of SPSS version 16.0, the value of the coefficient F
count
as follows is obtained:
Table 3. F
count
and F
table
of the Second Hypothesis
Equation
F
count
F
table
Sig.
The role of local governments (X
2
)
on the effectiveness of business
license (Y)
41,600
3,89
0,000
Source: Processed Data
From table 3 it is known that the F
count
is 41,600. Meanwhile, the critical price of
the table F value with a numerator-free degree of 1 and a denominator of 273 in
α (0.05) is 3.89. Thus F
counts
> F
table
, so that clearly Ho is rejected and H
a
is
accepted. This shows that the role of local governments has a significant and
positive effect on the effectiveness of business licensing in Jayapura City.
b) Test Result t: From the results of data processing with the SPSS Vers. 16.0
program, the
calculated
t value is obtained as follows:
Table 4. The value of t
count
and t
table
of the Second Hypothesis
Equation
Calculated
t-value
Table
t
value
Itself.
The role of local governments (X
2
) on
the effectiveness of business license (Y)
11,906
1,960
0,000
Source: Processed Data
Based on table 4, a t
count
of 11.906 was obtained, while t
table
in α (0.05) was 1.960.
Thus t
count >
t
table
, so that obviously H
o
is rejected and H
a
is accepted. This shows
that the role of local governments has a significant and positive effect on the
effectiveness of business licensing in Jayapura City.
a)
Coefficient of Determination Test Results (R
2
): From the results of data
processing with the SPSS Version 16.0 program, a coefficient of determination
(R
2
) value of 0.584 was obtained. This shows that 58.4% of the diversity of
business licensing effectiveness in Jayapura City is due to the diversity of the role
of local governments, while the remaining 41.6% is due to other factors.
b)
Simple Regression Equation: From the calculation results of SPSS Version 16.0,
the following results were obtained:
The Roles of Leadership, Regional Government, DPRD, and Local Revenue on Business Licensing’s
Effectiveness
1160 Interdisciplinary Social Studies, 1(9), Jun 2022
Ŷ = a + b
2
X
2
Ŷ = 3,677 + 0,762X
2
This equation means that every 1 score of the local government role variable (X
2
),
affects the business licensing effectiveness variable (Y) of 0.762, assuming other
variables have a constant value.
c)
Sensitivity Test Results (Beta Coefficient): The value of Beta Coefficients in the
local government role variable (X
2
) was 0.724. The beta value of the coefficient
contains the understanding that every increase of 1 standard deviation variable of
the role of local governments (X
2
), will increase 0.724 standard deviations from
the variable effectiveness of business licensing (Y).
3)
The third hypothesis: "There is an influence of the role of the DPRD on the
effectiveness of business licensing in Jayapura City". The weak influence between
the role variables of the DPRD (X
3
) and the effectiveness of business license in
Jayapura City (Y) can be seen through a simple determination analysis. Meanwhile,
to find out the form of influence between these variables, a simple regression analysis
is carried out. For each of the third hypothesis tests are described as follows :
a)
Test F Results: From the results of computer processing based on the calculation
of SPSS version 16.0, the value of the coefficient F
count
as follows is obtained:
Table 5. F
count
and F
table
of Third Hypothesis
Equation
F
count
F
table
Sig.
The role of the DPRD (X
3
) on the effectiveness
of business licensing (Y)
50,834
3,89
0,000
Source: Processed Data
From table 5, it is known that
F
count
is 50.834. Meanwhile, the critical price of
the table F value with a numerator-free degree of 1 and a denominator of 273 in
α (0.05) is 3.89. Thus F
counts
> F
table
, so that clearly Ho is rejected and H
a
is
accepted. This shows that the role of the DPRD has a significant and positive
effect on the effectiveness of business licensing in Jayapura City.
b)
T-Test Result: From the results of data processing with the SPSS Vers. 16.0
program, the t
count
is obtained as follows:
Table 6. The t
count
and t
table
of the Third Hypothesis
Equation
t
count
t
table
Sig.
The role of the DPRD (X
3
) on the effectiveness
of business licensing (Y)
15,440
1,960
0,000
Source: Processed Data
Based on table 6, t
count
of 15.440 was obtained, while the t
table
in α (0.05) was
1.960. Thus t
count
> t
table
, so that clearly Ho is rejected and H
a
is accepted. This
shows that the role of the DPRD has a significant and positive effect on the
effectiveness of business licensing in Jayapura City.
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1161 Interdisciplinary Social Studies, 1(9), Jun 2022
c)
Coefficient of Determination Test Results (R
2
): From the results of data
processing with the SPSS Version 16.0 program, a Coefficient of Determination
(R
2
) value of 0.781 was obtained. This shows that 78.1% of the diversity of
business licensing effectiveness in Jayapura City is due to the diversity of the role
of the DPRD, while the remaining 21.9% is due to other factors.
d)
Simple Regression Equation: From the calculation results of SPSS Version 16.0,
the following results were obtained:
Ŷ = a + b
3
X
3
Ŷ = 2,986 + 0,772X
3
This equation means that every 1 score of the DPRD role variable (X
3
), affects
the business licensing effectiveness variable (Y) of 0.772, assuming other
variables have a constant value.
e)
Sensitivity Test Results (Beta Coefficient): The value of Beta Coefficients in the
DPRD role variable (X
3
) is 0.799. The beta value of the coefficient contains the
understanding that every increase of 1 standard deviation of the DPRD role
variable (X
3
), will increase 0.799 standard deviation from the business license
effectiveness variable (Y).
4)
Fourth Hypothesis: "There is an influence of local income on the effectiveness of
business licensing in Jayapura City". The strong influence between the variables of
local income (X
4
) and the effectiveness of business licensing in Jayapura City (Y)
can be seen through a simple determination analysis. Meanwhile, to find out the form
of influence between these variables, a simple regression analysis is carried out. For
each of the fourth hypothesis tests are outlined as follows:
a)
Test F Results: From the results of computer processing based on the calculation
of SPSS version 16.0, the value of the coefficient F
calculated
as follows is obtained:
Table 7. F
count
and F
table
of Fourth Hypothesis
Equation
F
count
F
table
Sig.
Local revenue (X
4
) to the effectiveness of
license effort (Y)
49,480
3,89
0,000
Source: Processed Data
From table 7 it is known that the calculated F value is 49,480. Meanwhile, the
critical price of the table F value with a numerator-free degree of 1 and a
denominator of 273 in α (0.05) is 3.89. Thus F
count
> F
table
, so that obviously Ho
is rejected and H
a
is accepted. This shows that the original regional income has a
significant and positive effect on the effectiveness of business licensing in
Jayapura City.
b)
T-Test Result: From the results of data processing with the SPSS Vers. 16.0
program, the
t
count
is obtained as follows:
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Table 8. The value of t
count
and t
table
of the Fourth Hypothesis
Equation
t
value
t
table
Sig.
The role of the DPRD (X
3
) on the effectiveness
of business licensing (Y)
12,228
1,960
0,000
Source: Processed Data
Based on table 8, a
t
count
value of 12.228 was obtained, while the t
table
in α (0.05)
was 1.960. Thus t
count
> t
table
, so that clearly Ho is rejected and H
a
is accepted.
This shows that the original regional income has a significant and positive effect
on the effectiveness of business licensing in Jayapura City.
c)
Coefficient of Determination Test Results (R
2
): From the results of data
processing with the SPSS Version 16.0 program, a Coefficient of Determination
(R
2
) value of 0.613 was obtained. This shows that 61.3% of the diversity of
business licensing effectiveness in Jayapura City is due to the diversity of local
indigenous income, while the remaining 38.7% is due to other factors.
d)
Simple Regression Equation: From the calculation results of SPSS Version 16.0,
the following results were obtained:
Ŷ = a + b
4
X
4
Ŷ = 3,278 + 0,697X
4
This equation means that every 1 score of the local original income variable (X
4
),
affects the business licensing effectiveness variable (Y) of 0.697, assuming the
other variables are constant in value.
e)
Sensitivity Test Results (Beta Coefficient) : The value of Beta Coefficients on
the original regional income variable (X
4
) was 0.735. The beta value of the
coefficient contains the understanding that every increase of 1 standard
deviation of the local original income variable (X
4
), will increase 0.735 standard
deviation from the business license effectiveness variable (Y).
The Influence of Leadership (X
1
) on the Effectiveness of Business Licensing (Y) in
Jayapura City
There is a significant and positive influence of leadership on the effectiveness of business
licensing in Jayapura City. This can be seen from the results of hypothesis testing obtained a
F
count
of 40,000. Meanwhile, the critical price of the table F value with numerator-free degree
1 and denominator 273 in α (0.05) is 3.89. Thus F
count
> F
table
, so it is clear Ho is rejected and
Ha is accepted. This shows that leadership has a significant and positive effect on the
effectiveness of business licensing in Jayapura City, and hypotheses are proven.
The simple linear regression equation formed between the leadership variable (X
1
) and the
effectiveness of business licensing (Y) in Jayapura City is Ŷ = 3.998 + 0.591 X
1
. The results
of these statistics show that the leadership makes a significant and positive contribution to the
effectiveness of business licensing in Jayapura City. This means that the more qualified the
leadership, the more it will increase the effectiveness of business licensing in Jayapura City.
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1163 Interdisciplinary Social Studies, 1(9), Jun 2022
The Effect of the Role of Local Government (X
2
) on the Effectiveness of Business
Licensing (Y) in Jayapura City
There is a significant and positive influence on the role of local governments on the
effectiveness of business license in Jayapura City. This can be seen from the results of
hypothesis testing obtained an F
count
of 41,600. Meanwhile, the critical price of the table F value
with numerator-free degree 1 and denominator 273 in α (0.05) is 3.89. Thus F
count
> F
table
, so
it is clear Ho is rejected and Ha is accepted. This shows that the role of local governments has
a significant and positive effect on the effectiveness of business licensing in Jayapura City, and
hypotheses are proven.
The simple linear regression equation formed between the variable role of local
government (X
2
) and the effectiveness of business licensing (Y) in Jayapura City is Ŷ = 3.677
+ 0.762 X
2
. The results of these statistics show that the role of local governments contributes
significantly and positively to the effectiveness of business license in Jayapura City. This
means that the higher the quality of the role of the local government, it will increase the
effectiveness of business license in Jayapura City.
The Effect of the Role of DPRD (X
3
) on the effectiveness of business licensing (Y) in
Jayapura City
There is a significant and positive influence on the role of the DPRD on the effectiveness
of business licensing in Jayapura City. This can be seen from the results of hypothesis testing
obtained a F
count
of 50,834. Meanwhile, the critical price of the table F value with numerator-
free degree 1 and denominator 273 in α (0.05) is 3.89. Thus F
count
> F
table
, so it is clear Ho is
rejected and Ha is accepted. This shows that the role of the DPRD has a significant and positive
effect on the effectiveness of business licensing in Jayapura City, and the hypothesis is proven.
The simple linear regression equation formed between the DPRD role variable (X
3
) and
the effectiveness of business licensing (Y) in Jayapura City is Ŷ = 2.986 + 0.772 X
3
. The results
of these statistics show that the role of the DPRD contributes significantly and positively to the
effectiveness of business licensing in Jayapura City. This means that the greater the role of the
DPRD, the greater the effectiveness of business licensing in Jayapura City.
Effect of Regional Original Income (X
4
) on the Effectiveness of Business Licensing (Y) in
Jayapura City
There is a significant and positive influence of local income on the effectiveness of
business licensing in Jayapura City. This can be seen from the results of hypothesis testing
obtained a F
count
of 49,480. Meanwhile, the critical price of the table F value with numerator-
free degree 1 and denominator 273 in α (0.05) is 3.89. Thus F
count
> F
table
, so it is clear Ho is
rejected and Ha is accepted. This shows that local income has a significant and positive effect
on the effectiveness of business licensing in Jayapura City, and hypotheses are proven.
The simple linear regression equation formed between the local original income variable
(X
4
) and the effectiveness of business licensing (Y) in Jayapura City is Ŷ = 3.278 + 0.697 X
3
.
The results of these statistics show that local income contributes significantly and positively to
the effectiveness of business licenses in Jayapura City. This means that the greater the original
regional income, the more it will increase the effectiveness of business licensing in Jayapura
City.
The Roles of Leadership, Regional Government, DPRD, and Local Revenue on Business Licensing’s
Effectiveness
1164 Interdisciplinary Social Studies, 1(9), Jun 2022
The Influence of Leadership, the Role of Local Government, the Role of the DPRD and
Local Revenue on the Effectiveness of Business Licensing in Jayapura City
There is a significant and positive influence of leadership, the role of local government,
the role of the DPRD and local revenues on the effectiveness of business license in Jayapura
City. This can be seen from the results of hypothesis testing obtained an F
count
of 28,739. While
the critical price of the table F value with a numerator-free degree of 4 and a denominator of
270 in α (0.05) of 2.41. Thus F
count
> F
table
, so it is clear Ho is rejected and Ha is accepted. This
shows that the leadership, the role of local government, the role of the DPRD and local revenue
have a significant and positive effect on the effectiveness of business licensing in Jayapura
City, and the hypothesis is proven.
The multiple regression equation formed between the leadership variables (X
1
), the role of
local government (X
2
), the role of the DPRD (X
3
) and regional original income (X
4
) with the
effectiveness of business licensing (Y) in Jayapura City is Ŷ = 2.213 + 0.096X
2
+ 0.144X
2
+
0.262X
3
+ 0.241X
4
. The statistical results show that the leadership, the role of local
government, the role of the DPRD and local revenues make a significant and positive
contribution to the effectiveness of business licensing in Jayapura City. This means that the
more qualified the leadership, the role of the local government, the role of the DPRD and the
original regional income, it will increase the effectiveness of business license in Jayapura City.
CONCLUSION
Based on the results of the research that has been discussed in the previous chapter, it can
be concluded as follows:
1)
Leadership partially has a significant effect on the effectiveness of business licensing
in Jayapura City, the better the leadership, the better the effectiveness of business
licensing;
2)
The role of the local government partially affects the effectiveness of business
licensing in Jayapura City, the better the role of the local government, the better the
effectiveness of business licensing;
3)
The role of the DPRD partially has a significant effect on the effectiveness of business
licensing in Jayapura City, the better the role of the DPRD, the better the effectiveness
of business licensing;
4)
The original regional income partially affects the effectiveness of business licensing
in Jayapura City, the higher the original regional income, the better the effectiveness
of business licensing;
5)
The leadership, role of local government, role of DPRD and local revenue
simultaneously have a significant effect on the effectiveness of business licensing in
Jayapura City.
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