Budapest International Research and Critics Institute-Journal (BIRCI-Journal): Humanities and Social Sciences
Vol 4, No 2 (2021): Budapest International Research and Critics Institute May

The Effect of Inflation, Exchange, SBI Interest Rate and Dow Jones Index on JCI on IDX 2013 – 2018

Hasanudin Hasanudin (Unknown)



Article Info

Publish Date
30 Apr 2021

Abstract

This analysis aims to display inflation, exchange rates of currencies, SBI, and the Dow Jones Index on IHSG and IDX from 2013 to 2018. Quantitative testing approaches using the SmartPLS 3 technology and Structural Equation Modeling (SEM) analysis techniques. Inflation has a large positive effect on the JCI. Which indicates that as inflation rises, the JCI value falls. Exchange rates significantly impact the JCI. Therefore, the exchange rate indicator directly affects the path of the high exchange rate, which reduces the JCI figure. The SBI rate has no Impact and negative on JCI. This means JCI would not be affected by the increased number of SBI interest rates. For the Dow Jones Index, the JCI is significantly positive. Which suggests that the Dow Jones index's rise has an effect on the JCI. The Dow Jones Index has the most impact on work motivation, at 0.982, in contrast to the inflation, exchange rate, and SBI interest rate variables against the IHSG of IDX from 2013 to 2018.

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Journal Info

Abbrev

birci

Publisher

Subject

Religion Arts Humanities Economics, Econometrics & Finance Social Sciences

Description

Budapest International Research and Critics Institute (BIRCI-Journal) : Humanities and Social Sciences is a peer-reviewed journal published in February, May, August and November by Budapest International Research and Critics University Journal (BIRCU-Journal). BIRCI welcomes research papers in ...