Foreign Investment Intervention on Economic Growth in Indonesia
- DOI
- 10.2991/978-94-6463-146-3_45How to use a DOI?
- Keywords
- Foreign Investment; Economic Growth; Inflation; Interest Rates; Exchange Rates
- Abstract
This study aims to examine and analyze foreign investment interventions on the economic growth in Indonesia. Economic growth is a vital indicator of the prosperity of a country. Intervention on foreign investment is necessary from time to time in order to ensure benefits for all parties. As a developing country, Indonesia requires substantial funds to carry out national development. The analytical method used is path analysis using secondary data. The results of this study indicate that inflation does not directly affect economic growth or indirectly through the mediation of foreign investment. Moreover, interest rates have a direct and significant negative effect on economic growth, but interest rates have a positive and significant indirect effect on economic growth through foreign investment. This study also finds that the exchange rate has no direct effect on economic growth, however the exchange rate has a negative and significant indirect effect on economic growth through foreign investment.
- Copyright
- © 2023 The Author(s)
- Open Access
- Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.
Cite this article
TY - CONF AU - Abdul Hamid Paddu PY - 2023 DA - 2023/05/29 TI - Foreign Investment Intervention on Economic Growth in Indonesia BT - Proceedings of the 7th International Conference on Accounting, Management and Economics (ICAME-7 2022) PB - Atlantis Press SP - 461 EP - 467 SN - 2352-5428 UR - https://doi.org/10.2991/978-94-6463-146-3_45 DO - 10.2991/978-94-6463-146-3_45 ID - Paddu2023 ER -