IDEAS home Printed from https://ideas.repec.org/h/spr/atlecp/978-94-6463-508-9_16.html

Cointegration of Interest Rate, Inflation, Exchange Rate, and Economic Growth in Indonesia

In: Proceedings of the Twelfth International Conference on Entrepreneurship and Business Management 2023 (ICEBM 2023)

Author

Listed:
  • Margarita Ekadjaja

    (Universitas Tarumanagara)

  • Halim Putera Siswanto

    (Universitas Tarumanagara)

  • Rorlen Rorlen

    (Universitas Tarumanagara)

  • Christiandinata Tjandra Bravo

    (Universitas Tarumanagara)

  • Wilson Wijaya

    (Universitas Tarumanagara)

Abstract

The economy is the most important thing for a country and plays a big role for the people in that country. The economy of a country that continues to experience consistent growth can make that country undergo a transformation in a better direction so that it can compete with the economies of other countries so that it can improve the welfare of its people and stimulate investor intentions to invest in that country. However, movements in inflation, interest rates and exchange rate fluctuations that continue to fluctuate from year to year can make the economy in Indonesia inconsistent and vulnerable to changes in economic conditions. The purpose of this study is to analyze the cointegration between interest rate movements, inflation, and exchange rate fluctuations with the economic transformation in Indonesia. This research uses data that has been collected based on time intervals, which are measured monthly for the period 2020 to 2022. The results show that there is cointegration and a short-term causal relationship between interest rate movements, inflation, and exchange rate fluctuations on the Indonesian economy during a pandemic and endemic.

Suggested Citation

  • Margarita Ekadjaja & Halim Putera Siswanto & Rorlen Rorlen & Christiandinata Tjandra Bravo & Wilson Wijaya, 2024. "Cointegration of Interest Rate, Inflation, Exchange Rate, and Economic Growth in Indonesia," Atlantis Highlights in Economics, Business and Management, in: Keni Keni & Hetty Karunia Tunjungsari & Teoh Ai Ping (ed.), Proceedings of the Twelfth International Conference on Entrepreneurship and Business Management 2023 (ICEBM 2023), pages 197-208, Springer.
    • Handle: RePEc:spr:atlecp:978-94-6463-508-9_16
    DOI: 10.2991/978-94-6463-508-9_16
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a
    for a similarly titled item that would be available.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    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:spr:atlecp:978-94-6463-508-9_16. 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: https://www.atlantis-press.com/ .

    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.