Hasil dari studi ini menunjukkan bahwa belanja pendidikan pemerintah dan tata kelola pemerintahan dapat menurunkan angkaputus sekolah baik pada jenjang SD maupun SMP.Sedangkan belanja pendidikan pemerintah tidak berpengaruh terhadap enrollment rate SD dan SMP, begitupun dengan tata kelola pemerintah hanya berpengaruh terhadap enrollment rate SMP.
This study aims to determine the effect of government education spending on educational output which is associated with governance in each province and district.This study uses panel data with fixed effect analysis method. The data used cover 32 provinces with the period from 2005 to 2016. The dependent variable used is the net enrollment rate and the drop out rate in primary and junior secondary education (7-15 year). The contribution of this study is how much influence the government education spending and governance affect the output of education in Indonesia.
The results of this study indicate that government education spending and governance can reduce dropout rates both in elementary and junior secondary levels. While government education expenditures do not affect the enrollment rate of elementary and junior high schools, as well as the governance only affect the enrollment rate of SMP.