DAMPAK GUNCANGAN VARIABEL MAKROEKONOMI TERHADAP REAL EFFECTIVE EXCHANGE RATE INDONESIA

AGHSILNI AGHSILNI

Abstract


This study examines the effect of macroeconomics variables on the real effective exchange rate in Indonesia. This study used time series data from 2013q1-2020q4 and Julius-Johansen and Error Correction Model (ECM). There are two main finding in this study. Fisrt, economic growth and trade openness have a significant effect on real effective exchange rate in Indonesia, however FDI has no significant effect. Second, in the short term, trade openness significantly affect the real effective exchange rate. FDI and econonomic growth distrupt the balance of real effective exchange rate, althought in the long terms will return to its equilibrium.

Keywords


real effective exchange rate (REER), FDI, economics growth, trade openness

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DOI: http://dx.doi.org/10.15548/jebi.v6i2.590

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