Journal of Management Small and Medium Enterprises (SME's) (Dec 2020)

PENGARUH INFLASI TERHADAP PERTUMBUHAN EKONOMI DI INDONESIA

  • Erika Feronika Br Simanungkalit

DOI
https://doi.org/10.35508/jom.v13i3.3311
Journal volume & issue
Vol. 13, no. 3 Nov

Abstract

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This study aims to determine the effect of inflation on economic growth in Indonesia since 1983-2014. The analysis used in this research is descriptive analysis and econometric analysis. Econometric analysis in this study uses simple linear regression with the Ordinary Least Squre (OLS) method. The results showed that the independent variable influencing the dependent variable was proven from the probability value (F-statistic) smaller than α = 5%. T Test results show that the Inflation variable influences Economic Growth with a probability value smaller than α = 5%. The results of the coefficient of determination test indicate that the dependent variable can be explained by the independent variable by 74.7588% and the remaining 25.2412% is explained by other variables outside the model. Keywords : Economic Growth, Inflation & Ordinary Least Squre (OLS)