THE DETERMINANTS OF INFLATION RATE IN INDONESIA

<p>This study is try to analyzed the influence of some independent variables which believed has impact towards inflation in Indonesia, which also as one of the variables that is watched by the central bank (Bank Indonesia) as a variable that could influence inflation stability in Indonesia bas...

Descripción completa

Guardado en:
Detalles Bibliográficos
Autores principales: Lilies Setiartiti, Yuni Hapsari
Formato: article
Lenguaje:EN
Publicado: Universitas Muhammadiyah Yogyakarta 2019
Materias:
Acceso en línea:https://doaj.org/article/a4725448714448dfa3ad9f99f58f37af
Etiquetas: Agregar Etiqueta
Sin Etiquetas, Sea el primero en etiquetar este registro!
Descripción
Sumario:<p>This study is try to analyzed the influence of some independent variables which believed has impact towards inflation in Indonesia, which also as one of the variables that is watched by the central bank (Bank Indonesia) as a variable that could influence inflation stability in Indonesia based on its volatility.  Those independent variables are, money supply, exchange rate, and BI rate as the interest rate, and gross domestic product.  This study used an Error correction model (ECM) to get the equilibrium model and find out the influence of every independent variables on the short-run and long-run. Overall, this research summarize the findings that has been conducted and offers some recommendation that could be taken to improve and strengthen the model’s estimation and also hoping that the model’s estimation become more relevant for the future implementation.</p>