Effect of Deposit Interest Regional Development Bank, Deposit Interest Rate Government Bank, Inflation, GDP and Money Supply Against Exchange Rate US Dollar

  • Elsyan Rienette Marlissa University of Cendrawasih Papua

Abstract

The purpose of this study is to analyze the effect of Deposit Interest Rate Regional Development Bank, Bank Deposit Interest Rate Government, Inflation, Economic Growth (Real GDP), and the money supply of the rupiah per US dollar. The study uses panel data regression analysis with the model Random Effects Model (REM) method and Pooled EGLS (cross section random effects). The results show that factors of interest rate Regional Development Bank, the interest rate on deposits Bank government, the level of inflation, economic growth, money supply have the simultaneous and significant impact on the rupiah per US dollar. While the partial test results show that the interest rate on deposits BPD and the amount of money circulating have a significant negative effect on the rupiah per US dollar. While variable economic growth (GDP) has insignificant negative impact on the rupiah per US dollar.

Downloads

Download data is not yet available.

References

Adwin, S. (2002). Analysis of Exchange Rate Movements Against US Dollar After Sisitem policy The implementation of Free Floating Exchange Rates in Indonesia. Journal of Accounting and Finance, 4 (1), 69-78 Arifin, S. (1989). Effectiveness of Interest Rate Policy in the Context of the Crisis Stabilization Rupiah. Bulletin of Monetary Economics and Banking, 1 (3), UREM Bank Indonesia. Clostermann, T. & Schnatz, B. (2000). The Determinants of the Eurodollar Exchange Rates: Synthetic Fundamentals and a Non Existing Currency. Discussion Paper, Economic Research Group of the Deutsche Bundesbank, Frankfurt, Germany. Chiang, T. C. (1986). Empirical Analysis on the Predictors of the Future Spot. Rates. Journal of Financial Research, 9 (2), 69-83. David, H. P. (1989). Testing Rational Expectations and Efficiency in the Foreign Exchange Market. Econometrica, 51 (3). Drine, I. & Raulty, C. (2003). On The Long run Determinants of Real Exchange Rates For Developing Countries: Evidence from Africa, Latin America and Asia. JEL Classification. Euro Qua, Sarbonne University. Gujarati, D. N. (2003). Basic Econometric. New York: The McGraw-Hill Companies, Inc. Lepi, T. T. (1999). In general, the cause of the economic crisis in Indonesia is not caused due to weak economic fundamentals, but because of the falling value of the rupiah against the US $. MacDonal, R. & Taylor, M. P. (1987). Exchange Expectation: a Survey. IMF Staff Paper, 39 (1).

Mollick, A. (2000). Effects of U.S. Interest Rates on The Real Exchange Rate in Mexico. Economics Bulletin, 3 (6), 1-15 Nawatmi, S. (2001). Determination of Exchange Rate Through Hybrid Model. Journal of Business and Economics, 2 (1). Putnam & Wodbury. (1989). Testing Rational Expectations and Efficiency in the Foreign Exchange Market. Econometrica, 51 (3). Siregar, Y. & R. Walker, W. C. (2000). Monetary Shocks and the Fundamental Determinants of the Real Exchange Rate under the Hong Kong Currency Board. Ekonomic Asian Journal, 4 (1). Sugiyono. (2004). Statics for research. CV Alfabeta seventh printing, Bandung. Sukirno, S. (2004). Macro Economic Theory Introduction. Third Edition. Rajawali Pers. Jakarta.

Published
2016-04-05
How to Cite
Marlissa, E. R. (2016). Effect of Deposit Interest Regional Development Bank, Deposit Interest Rate Government Bank, Inflation, GDP and Money Supply Against Exchange Rate US Dollar. Journal of Economics and Behavioral Studies, 8(1(J), 79-86. https://doi.org/10.22610/jebs.v8i1(J).1208
Section
Research Paper