Interactive Effect of Participative Budgeting, Budget Emphasis, Information Asymmetry and Self-Control on Budgetary Slack-Evidence from Local Government in Malaysia

• 發表在: ASIAN JOURNAL OF ACCOUNTING AND GOVERNANCE
• Main Authors: Sairazi, Nur shahirah adilah mohd; Rahman, Mara ridhuan che abdul; Mukhtar, Dzulkifli; Ibrahim, Norzawani; Razak, Razli che
• 格式: Article
• 語言: Malay
• 出版: PENERBIT UNIV KEBANGSAAN MALAYSIA 2024
• 主題: Business & Economics
• 在線閱讀: https://www-webofscience-com.uitm.idm.oclc.org/wos/woscc/full-record/WOS:001418983100004

Budgeting is a key tool in managerial accounting; however, the presence of budgetary slack can distort resource allocation and hinder the main goal of budgeting. This study aims to develop a comprehensive model that elucidates the creation of budgetary slack by integrating self-control, participatory budgeting, budget emphasis, and asymmetric information into a unified framework. Data was gathered from 188 department heads in local government organisations across Peninsular Malaysia using a cross-sectional survey methodology and analysed with SPSS PROCESS. The results suggest that participative budgeting fosters an environment discouraging budgetary slack creation. Furthermore, the findings indicate that department heads are less likely to create budgetary slack when participative budgeting, budget emphasis, and information asymmetry are all high simultaneously. The study shows a connection between participative budgeting and budgetary slack in high budget emphasis and information asymmetry scenarios, especially when department heads possess high self-control. The findings are thoroughly analysed in terms of their theoretical significance and practical applications.