Research Article
Of Several Monetary Variables on Economic Growth and Its Implications on FDI (Studies Analysis in Indonesia and Malaysia)
@INPROCEEDINGS{10.4108/eai.30-10-2021.2315832, author={Zainal Arifin H. Masri and Cicih Ratnasih and Yolanda Yolanda}, title={Of Several Monetary Variables on Economic Growth and Its Implications on FDI (Studies Analysis in Indonesia and Malaysia)}, proceedings={Proceedings of the First Multidiscipline International Conference, MIC 2021, October 30 2021, Jakarta, Indonesia}, publisher={EAI}, proceedings_a={MIC}, year={2022}, month={1}, keywords={monetary variables; indonesia; malaysia; time series; linear regression multiple}, doi={10.4108/eai.30-10-2021.2315832} }- Zainal Arifin H. Masri
Cicih Ratnasih
Yolanda Yolanda
Year: 2022
Of Several Monetary Variables on Economic Growth and Its Implications on FDI (Studies Analysis in Indonesia and Malaysia)
MIC
EAI
DOI: 10.4108/eai.30-10-2021.2315832
Abstract
This study analyzes the effect of the money supply, interest rate, inflation, public saving and exchange rate variables on economic growth and their implications for FDI, in Indonesia and Malaysia. The data used is secondary data during the period 1980-2019. This research uses multiple linear regression model of data in a time series. The findings revealed that the monetary factors had a considerable impact on economic development and foreign direct investment in both countries. Interest rates, inflation, and exchange rates all had a substantial impact on Indonesia's economic growth. In the meanwhile, the currency rate is important for FDI. Which have a huge impact on economic growth in Malaysia are interest and inflation, on FDI are economic growth and inflation.