The Determination Analysis of Inflation in North Sumatra

DOI

10.2991/aebmr.k.200305.093How to use a DOI?

Keywords

inflation, population, regional minimum income, price of rice, economic growth

Abstract

The differences in inflation rates among several cities in North Sumatra still occur even though local governments have been struggling to control it. There are many conditions and uniqueness in North Sumatra that may bring the unique figure of inflation. This research aims to analyze the factors causing inflation based on four cities, that is Sibolga, Padang Sidempuan, Pematang Siantar, and Medan, as the distribution line for the basic needs in North Sumatra. Variables that will be examined as independent variables are inflation, population, regional minimum wages, economic growth, and rice prices from 2007-2017. Data are taken from various related sources, such as Bank of Indonesia, Central Bureau of Statistics, Departement of National Development and Planning, and Government of Medan City. Data will be investigated the approvement of its classical assumption before analyzed using Panel Data Regression. Results indicate that the population, regional minimum wages, population, and price of rice have a positive effect, while economic growth and regional minimum wages have a negative impact on the inflation rate in North Sumatra.

Copyright

© 2020, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Fitrawaty
AU  - Ainul Mardiyah
AU  - Indra Maipita
PY  - 2020
DA  - 2020/03/10
TI  - The Determination Analysis of Inflation in North Sumatra
BT  - Proceedings of the 4th Padang International Conference on Education, Economics, Business and Accounting (PICEEBA-2 2019)
PB  - Atlantis Press
SP  - 375
EP  - 383
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.200305.093
DO  - 10.2991/aebmr.k.200305.093
ID  - 2020
ER  -