The Equilibrium Analysis of Domestic Consumption and Import (A Case Study in Indonesia)

DOI

10.2991/aebmr.k.200305.076How to use a DOI?

Keywords

domestic consumption, domestic import, 2SLS (two stages least square)

Abstract

This article aims to explain the influence of domestic import and production, price level, and income per capita to domestic consumption. Furthermore, the influence of domestic consumption, domestic product, exchange rate, and income per capita to domestic import is also analyzed. The data time series of this research is between1980 to 2017. This research utilizes the Two Stages Least Square Model. This research discovers four important facts, the first being the significant influence of domestic import, domestic production, and income per capita on domestic consumption. Secondly, the significant influence of domestic production, exchange rate, and income per capita on domestic import. Due to these facts, it is suggested that the Indonesian government to reduce domestic import and increase domestic production, while simultaneously setting a low local price, thus increasing local consumption

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  - Nadya Resti
AU  - Hasdi Aimon
PY  - 2020
DA  - 2020/03/10
TI  - The Equilibrium Analysis of Domestic Consumption and Import (A Case Study in Indonesia)
BT  - Proceedings of the 4th Padang International Conference on Education, Economics, Business and Accounting (PICEEBA-2 2019)
PB  - Atlantis Press
SP  - 257
EP  - 262
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.200305.076
DO  - 10.2991/aebmr.k.200305.076
ID  - Resti2020
ER  -