Abstract

Every state has The purpose of this research is to asess the affect of Local Government income on the alocation of social budget. This research is replication of previous research which conducted by Novi Pratiwi (2007) about the effect of public alocation fund and local government income on district budget in all of local government in indonesia. The Population of research are all of work unit in local government in Semarang, central java, Indonesia. While samples were selected used purposive random sampling with criterias : first, work unit had reported their financial reporting in periode during 2010 until 2011. Second, work unit must report their budget specially for social budget every year. Regression is used to analys the data. Based on the research result, we can concluded that Local Government income have not affect positif significantly on the alocation of social budget. It is supported by the result of on the regression analys where degree of significancy less than 1,96. This result indicated that all of government organization have to more focus on social budget. It is important because it can reduce sum of poverty in indonesia and this research give evidence that government budget must more focuse on citizen welfare.

Keyword : Local Government, Income resources, Social budget, and Poverty.