The Effect of Budgeting Participation, Organizational Commitment, and Self Esteem on Village Budgetary Slack in Mengwi Sub-district

ABSTRACT : Budget slack is the difference between the reported budget and the budget according to the bestestimate of an organization that occurs as a result of the desire of organizational members to more easily achieveits performance targets. Agency theory explains that the cause of agency conflict is due to differences ininterests between principals and agents. The purpose of this study is to obtain empirical evidence of the effect ofbudgeting participation, organizational commitment, and self-esteem on village budgetary slack in Mengwi Subdistrict. This research was conducted in 8 villages in Mengwi District and 5 respondents were selected for eachvillage in order to obtain 40 respondents. The sampling method used in this study was purposive sampling andthe data analysis technique used in this study was multiple linear regression analysis. Based on the analysisconducted, it is found that budgeting participation has a positive effect on budgetary slack and organizationalcommitment and self-esteem has a negative effect on budgetary slack.

Keywords: budgeting participation, organizational commitment, self-esteem, budgetary slack