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2017•Andalas University eThesis (Andalas University)Open access

THE RELATIONSHIP BETWEEN FOREIGN DIRECT INVESTMENT, INFLATION AND UNEMPLOYMENT IN INDONESIA

Andika Iza

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Abstract

The aim of this study was to analyze the relationship between foreign direct investment, \ninflation, gross domestic product and unemployment in Indonesia and autoregressive \ndistributed lag (ARDL) approach based on annual data start from 1986-2015 period. This \nstudy uses autoregressive distributed lag (ARDL) to find the relationship of foreign direct \ninvestment, inflation, gross domestic product and unemployment in short term and long term \ncondition. The study clearly stated that foreign direct investment have the positive relationship \nwith unemployment in long term and also in short term. While inflation and gross domestic \nproduct have postive relationship with unemployment in long term and in short term. \nKeywords: foreign direct investment, inflation, gross domestic product, ardl

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The aim of this study was to analyze the relationship between foreign direct investment, \ninflation, gross domestic product and unemployment in Indonesia and autoregressive \ndistributed lag (ARDL) approach based on annual data start from 1986-2015 period. This \nstudy uses autoregressive distributed lag (ARDL) to find the relationship of foreign direct \ninvestment, inflation, gross domestic product and unemployment in short term and long term \ncondition. The study clearly stated that foreign direct investment have the positive relationship \nwith unemployment in long term and also in short term. While inflation and gross domestic \nproduct have postive relationship with unemployment in long term and in short term. \nKeywords: foreign direct investment, inflation, gross domestic product, ardl

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Available abstract

The aim of this study was to analyze the relationship between foreign direct investment, \ninflation, gross domestic product and unemployment in Indonesia and autoregressive \ndistributed lag (ARDL) approach based on annual data start from 1986-2015 period. This \nstudy uses autoregressive distributed lag (ARDL) to find the relationship of foreign direct \ninvestment, inflation, gross domestic product and unemployment in short term and long term \ncondition. The study clearly stated that foreign direct investment have the positive relationship \nwith unemployment in long term and also in short term. While inflation and gross domestic \nproduct have postive relationship with unemployment in long term and in short term. \nKeywords: foreign direct investment, inflation, gross domestic product, ardl

Key concepts: Distributed lag, Foreign direct investment, Gross domestic product, Economics, Unemployment, Inflation (cosmology), Monetary economics, Term (time)

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THE RELATIONSHIP BETWEEN FOREIGN DIRECT INVESTMENT, INFLATION AND UNEMPLOYMENT IN INDONESIA — Research Paper | ScholarLens