Proceedings of the International Conference on Economics and Business Studies (ICOEBS 2022)

Analysis of the Effect of Interest Rates, Exchange Rate Inflation and Foreign Investment (PMA) on Economic Growth in Indonesia in 1986-2020

Authors
Wuri Nur Indah Sari1, Eni Setyowati2, *, Sherlyna Mandassari Putri3, Sitti Retno Faridatussalam4
1-4Department of Economic Development, Faculty of Economics and Business, Universitas Muhammadiyah Surakarta, Surakarta
Corresponding author. Email: es241@ums.ac.id
Corresponding Author
Eni Setyowati
Available Online 13 June 2022.
DOI
https://doi.org/10.2991/aebmr.k.220602.041How to use a DOI?
Keywords
Economic Growth; Foreign Investment; Interest Rate; Indonesia; Multiple Regression
Abstract

This study aims to examine several factors influencing economic growth. The independent variables in this study encompass several macroeconomic variables of interest rates, inflation, exchange rates, and foreign investment. This study employed the Ordinary Least Square (OLS) approach to analyze time-series data during 1986-2020, and the estimation steps comprised classical assumption, model goodness, and regression coefficient tests. The study results revealed that the variables of interest rates, inflation, exchange rates had a negative and significant effect on economic growth in Indonesia. However, foreign investment did not affect economic growth.

Copyright
© 2022 The Authors. Published by Atlantis Press International B.V.
Open Access
This is an open access article distributed under the CC BY-NC 4.0 license.

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Volume Title
Proceedings of the International Conference on Economics and Business Studies (ICOEBS 2022)
Series
Advances in Economics, Business and Management Research
Publication Date
13 June 2022
ISBN
978-94-6239-582-4
ISSN
2352-5428
DOI
https://doi.org/10.2991/aebmr.k.220602.041How to use a DOI?
Copyright
© 2022 The Authors. Published by Atlantis Press International B.V.
Open Access
This is an open access article distributed under the CC BY-NC 4.0 license.

Cite this article

TY  - CONF
AU  - Wuri Nur Indah Sari
AU  - Eni Setyowati
AU  - Sherlyna Mandassari Putri
AU  - Sitti Retno Faridatussalam
PY  - 2022
DA  - 2022/06/13
TI  - Analysis of the Effect of Interest Rates, Exchange Rate Inflation and Foreign Investment (PMA) on Economic Growth in Indonesia in 1986-2020
BT  - Proceedings of the International Conference on Economics and Business Studies (ICOEBS 2022)
PB  - Atlantis Press
SP  - 313
EP  - 320
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.220602.041
DO  - https://doi.org/10.2991/aebmr.k.220602.041
ID  - Sari2022
ER  -