Analysis of The Influence Rupiah Exchange Rate on Economic Growth in Indonesia

DOI

10.2991/aebmr.k.220104.009How to use a DOI?

Keywords

Rupiah Exchange Rate; Dummy Covid-19; Economic Growth

Abstract

Economic growth as a benchmark of achievement of economic activity in Indonesia in obtaining additional income for its people from one period to the next. As a result of the Covid-19 pandemic, Indonesia’s economic growth and even the world has experienced a setback. Therefore, the Indonesian state made various efforts to increase economic growth. Currency stability is the key to accelerating the pace of economic growth in any country. The purpose of this study is to analyze the short- and long-term effects of the rupee exchange rate on Indonesia’s economic growth. The data used in this study are secondary time series data for Bank Indonesia Q1 2011 - Q2 2021. The analysis method used in this study is ECM (Error Correction Model). The results showed that in the short term, the rupiah exchange rate had a significant positive impact on economic growth and the Covid 19 dummy had a significant negative impact on economic growth. In the long run, the rupiah exchange rate and the Covid19 dummy will not have a significant impact on Indonesia’s economic growth.

Copyright

© 2022 The Authors. Published by Atlantis Press International B.V.

Open Access

This is an open access article under the CC BY-NC license.

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TY  - CONF
AU  - Bima Hardi
AU  - Indra Maipita
AU  - Fitrawaty
PY  - 2022
DA  - 2022/01/17
TI  - Analysis of The Influence Rupiah Exchange Rate on Economic Growth in Indonesia
BT  - Proceedings of the 2nd International Conference of Strategic Issues on Economics, Business and, Education (ICoSIEBE 2021)
PB  - Atlantis Press
SP  - 59
EP  - 65
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.220104.009
DO  - 10.2991/aebmr.k.220104.009
ID  - Hardi2022
ER  -