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All Journal Signifikan : Jurnal Ilmu Ekonomi
Muhammad Ghafur Wibowo
State Islamic University Sunan Kalijaga Yogyakarta
Economics, Econometrics & Finance

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Public Debt and Economic Growth in The SouthEast Asian Countries Muhammad Ghafur Wibowo
Signifikan: Jurnal Ilmu Ekonomi Vol 6, No 1 (2017)
Publisher : Faculty of Economic and Business Syarif Hidayatullah State Islamic University of Jakarta

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (183.883 KB) | DOI: 10.15408/sjie.v6i1.4779

Abstract

This study examines the relationship between public debt and economic growth in eight countries in Southeast Asia that are members of ASEAN. Through the study will contribute reference for each country to establish their macroeconomic policies. Using 10 years of data from 2006 to 2015 and analysis tools Autoregression Vector (VAR), the study attempts to test the theory of finance led growth. The main finding of this study is that public debt is actually able to increase the economic growth of a country significantly, although it takes a few years of its existence. This finding supports several previous studies that demonstrate the important role of government debt to the economy of a country.DOI: 10.15408/sjie.v6i1.4779
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