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All Journal Diponegoro Journal of Economics
Nugroho Sumarjiyanto Benedictus Maria
Department of Economics and Development Studies, Faculty of Economics and Business, Universitas Diponegoro, Semarang
Economics, Econometrics & Finance

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Analysis of the Correlation of the Non-Cash Payment System and the Money Supply on the Inflation in Indonesia Asrina Dwi Nugraheni; Nugroho Sumarjiyanto Benedictus Maria
Diponegoro Journal of Economics Vol 13, No 1 (2024)
Publisher : Universitas Diponegoro

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.14710/djoe.42683

Abstract

The payment system has progressed from time to time along with advances in technology which has brought non-cash payment systems to be used more and more frequently. The ease of transactions using digital money has impacted the financial condition of a country. The study aims to identify and analyze the correlation between non-cash payment systems and inflation or financial and economic stability in Indonesia. This research uses a quantitative method with secondary data from several sources, including the Bank Indonesia and the Badan Pusat Statistik from January 2020 until December 2022. It was analyzed with the VECM Estimation Model. The results showed that money supply has a positive and significant effect on a dependent variable, inflation. Meanwhile, the e-money unit does not affect inflation. The researcher is expected to give an idea that e-money can help to improve economic growth in Indonesia.
Co-Authors Asrina Dwi Nugraheni