IDEAS home Printed from https://ideas.repec.org/a/idn/journl/v9y2006i2p1-34.html
   My bibliography  Save this article

Peranan Kebijakan Moneter Dalam Menjaga Stabilitas Perekonomian Indonesia Sebagai Respon Terhadap Fluktuasi Perekonomian Dunia

Author

Listed:
  • M. Maulana Al Arif

    (Brawijaya University)

  • Achmad Tohari

    (ISEID)

Abstract

This paper analyzes the impact of the inflation and the world interest rate on the Indonesian economy and the effectiveness of the Indonesian central bank policy to adopt the domestic macroeconomic fluctuation. Assuming Indonesia as a small-open economy, the Stuctural Vector Autoregressive Model is utilized on the monthly data during the periode of 1999: 1 – 2004: 12 covering the main domestic macroeconomic indicator (output, price, money supply, interest rate and the exchange rate) and the world oil price and world interest rate as the disturbance source. The analysis provides 2 main results, first, the international variables do have impacts on the domestic variables fluctuation, implying the fragility of the domestic economy due to the external shock, second, the monetary policy is effective on supporting the economic growth and stabilizing the price level. However, the Bank Indonesia policy to stabilize the international shock via the exchange rate channel, contributes to a higher impact of the international shock on domestic interest rate.

Suggested Citation

  • M. Maulana Al Arif & Achmad Tohari, 2006. "Peranan Kebijakan Moneter Dalam Menjaga Stabilitas Perekonomian Indonesia Sebagai Respon Terhadap Fluktuasi Perekonomian Dunia," Bulletin of Monetary Economics and Banking, Bank Indonesia, vol. 9(2), pages 1-34, October.
    • Handle: RePEc:idn:journl:v:9:y:2006:i:2:p:1-34
    DOI: https://doi.org/10.21098/bemp.v9i2.203
    as

    Download full text from publisher

    File URL: https://www.bmeb-bi.org/index.php/BEMP/article/download/203/180
    Download Restriction: no
    File URL: https://libkey.io/https://doi.org/10.21098/bemp.v9i2.203?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. purba, martin, 2018. "Analisis Pasar Uang Pada Model Mundell-Fleming Pada Perekonomian Indonesia (Tahun 2010-2017) [Money Market Analysis on the Mundell-Fleming Model in the Indonesian Economy (2010-2017)]," MPRA Paper 97409, University Library of Munich, Germany.
    2. purba, martin & Nababan, Ade, 2019. "Peramalan Pasar Barang Dan Pasar Uang Yang Terjadi Di Indonesia Kajian Pada Model Mundell-Fleming [Marketing Of Goods And Money Markets Happening In Indonesia Study On Mundell-Fleming Model]," MPRA Paper 97410, University Library of Munich, Germany.

    More about this item

    Keywords

    Monetary Policy; Business Cycle; SVAR;
    All these keywords.

    JEL classification:

    • E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • C32 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes; State Space Models
    • F41 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Open Economy Macroeconomics

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:idn:journl:v:9:y:2006:i:2:p:1-34. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Lutzardo Tobing or Jimmy Kathon (email available below). General contact details of provider: https://edirc.repec.org/data/bigovid.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.