How Does the Role of Government Improve the Quality of Education and How Its Provision? The Case of Public Junior Secondary Schools in Indonesia

Abstract

This study aims to examine the role government through the Law No. 20/2003 of National Education System and government expenditures on education qualities in public junior secondary schools among provinces in Indonesia during the period of 2000-2004 and to analyze government’s role in providing education of public junior secondary schools using panel data analysis. The results showed that the role of government through Law No. 20/2003 of National Education System and routine expenditure for public junior secondary school is significant improving the quality of education on public secondary schools level among provinces in Indonesia. Meanwhile, the education level of public junior secondary schools in Indonesia is the common resource, which has rivalry and non-excludable characteristics.

Keywords: Law No. 20/2003 of National Education System, Government Expenditures, Public junior Secondary Schools, Panel Data, Common Resource