Special Allocation Funds, Stunting, and Regional Policy Typologies in West Java: Panel Evidence

Abstract

This study examines how previous-year Physical and Non-Physical Special Allocation Fund (DAK) allocations relate to stunting prevalence across 27 regencies and municipalities in West Java. A balanced panel of 135 observations was estimated using regional fixed effects with HC1 cluster-robust errors, CR2-Satterthwaite correction, targeted wild cluster bootstrap, and year fixed effects. The analysis also assessed proximal indicators, a limited indirect linkage, regional typologies, and policy-document evidence. Physical DAK remained negatively signed across specifications: a 10% allocation increase was associated with a 0.213-percentage-point decline in the main model, although support weakened under bootstrap and year-effect checks. Non-Physical DAK had no stable direct association. Three diagnostic typologies were identified: High-Priority, Transition/Strengthening, and Relatively Better. DAK optimization should integrate infrastructure and operations, verified territorial targeting, implementation readiness, and results-chain accountability rather than rely on nominal allocation increases alone.

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