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THE LONG-TERM EFFECT OF FOREIGN DEBT AND FOREIGN DIRECT INVESTMENT (FDI) ON ECONOMIC GROWTH IN INDONESIA Meilisa Meilisa; Hefrizal Handra; Efa Yonnedi
JOURNAL OF MANAGEMENT, ACCOUNTING, GENERAL FINANCE AND INTERNATIONAL ECONOMIC ISSUES Vol. 3 No. 2 (2024): MARCH
Publisher : Transpublika Publisher

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.55047/marginal.v3i1.1004

Abstract

In light of Indonesia's status as a developing nation with constrained financial resources, the imperative for strategic decision-making by the government to foster sustained economic growth becomes evident. This research delves into an analysis of the enduring repercussions of foreign debt and foreign direct investment (FDI) on Indonesia's economic landscape. The study employs a comprehensive examination of time series data spanning from 1990 to 2022, employing both the Bounds test cointegration approach and the ARDL model to scrutinize the dynamics at play. The empirical findings underscore the multifaceted influence of foreign debt and FDI on Indonesia's economic growth, illustrating that these factors exert both short- and long-term impacts. Moreover, the research identifies the export control variable as a pivotal factor, indicating an immediate effect on Indonesia's economic development albeit without a lasting impact. Consequently, this unveils a nuanced interplay of variables that contribute to the nation's economic trajectory. In light of these insights, the study posits that the Indonesian government must adopt a judicious and discerning approach in formulating and executing policies related to exports, foreign debt, and FDI. Recognizing the dual temporal impact of foreign debt and FDI, policymakers are urged to balance short-term economic imperatives with a commitment to long-term sustainable growth. The immediate influence of the export control variable further underscores the need for agile and adaptive policy management to navigate the intricacies of Indonesia's economic landscape.
SHORT AND LONG-TERM IMPACT OF EDUCATIONAL ENROLLMENT RATES ON ECONOMIC GROWTH: FOR INDONESIA'S SUSTAINABLE DEVELOPMENT OF HUMAN CAPITAL Meilisa Meilisa; Elfindri Elfindri; Yulia Anas; Edi Ariyanto
CURRENT ADVANCED RESEARCH ON SHARIA FINANCE AND ECONOMIC WORLDWIDE Vol. 3 No. 2 (2024): JANUARY
Publisher : Transpublika Publisher

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.55047/cashflow.v3i2.1029

Abstract

This research explores the relationship between Indonesia's economic growth and school participation rates. Using the ARDL model and Bounds test cointegration method, the study examines this relationship and finds that investing more in education, particularly at higher levels, can contribute to long-term economic growth. The study emphasizes the role of education in shaping human resources and promoting sustainable economic development. It suggests that increased investment in education can create a stronger pool of skilled workers, leading to economic growth. The research also reveals a temporary increase in employment as a result of education-driven growth, contributing to the sustainable development of human resources. The study highlights the importance of education funding in nurturing human capital and advocates for policy interventions that prioritize education as a driver of Indonesia's long-term development goals. Overall, this study emphasizes the transformative potential of investing in human capital for Indonesia's economy. In conclusion, this study sheds light on the relationship between economic growth and education, emphasizing the transformative potential of investing in human capital for the sustainable development of Indonesia's economy.