ANALISIS PENGARUH NILAI TUKAR RUPIAH DAN TINGKAT SUKU  BUNGA TERHADAP PENANAMAN MODAL ASING DI INDONESIA  MELALUI PENDEKATAN TAYLOR RULE TAHUN 1999-2021

Eka Afifah Apriliana; Daryono Soebagiyo

Authors

Eka Afifah Apriliana Prodi Ekonomi Pembangunan, Fakultas: Ekonomi dan Bisnis, Universitas Muhammadiyah Surakarta, Indonesia
Daryono Soebagiyo Prodi Ekonomi Pembangunan, Fakultas: Ekonomi dan Bisnis, Universitas Muhammadiyah Surakarta, Indonesia

Keywords:

Foreign Investment, Taylor Rule, Exchange Rates, Interest Rates, National Incom

Abstract

This study aims to determine the effect of the rupiah exchange rate, interest rate, and national income on foreign investment in Indonesia through the Taylor Rule approach for 1999-2021. The data used is time series data for 1999-2021 with Error Correction Model (ECM) regression analysis. The results of the study show that in the short term the Rupiah Exchange Rate (Exchange) has a significant effect on Foreign Investment in Indonesia and in the long term the Interest Rate (r) has a significant effect on Foreign Investment in Indonesia. Meanwhile, National Income (Y) has no influence on Foreign Investment in Indonesia, in the short term or long term.