Determinants of Trade Openness in Indonesia

Wibowo, Radytia Sambang Ari and , Dr. Eni Setyowati, S.E., M.Si (2023) Determinants of Trade Openness in Indonesia. Skripsi thesis, Universitas Muhammadiyah Surakarta.

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Abstract

International trade is one of the keys to a country's economy. By trading with partners from other countries, economic activity in the country will increase. In addition, certain products that cannot be produced alone can also be fulfilled by transacting with partner countries. This study aims to analyze the effect of world oil prices, inflation, rupiah exchange rate, and government spending on trade openness in Indonesia during the period 1995-2022 using Ordinary Least Square regression analysis tool. The results showed that world oil prices, inflation, and the rupiah exchange rate had a positive effect on trade openness. Meanwhile, government spending has a negative effect on trade openness. The government is expected to maintain the stability of inflation and the rupiah exchange rate so that people's purchasing power remains high. The government also needs to increase national development, especially in infrastructure to support people's economic activities so that production and distribution activities become more efficient and Indonesia's international trade activities can increase. Keywords: world oil price, inflation, trade openness, exchange rate, government spending

Item Type:	Thesis (Skripsi)
Uncontrolled Keywords:	world oil price, inflation, trade openness, exchange rate, government spending
Subjects:	H Social Sciences > HB Economic Theory
Divisions:	Fakultas Ekonomi dan Bisnis > Ilmu Ekonomi dan Studi Pembangunan
Depositing User:	RADYTIA SAMBANG ARI WIBOWO
Date Deposited:	19 Aug 2023 02:54
Last Modified:	19 Aug 2023 02:54
URI:	http://eprints.ums.ac.id/id/eprint/116249

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