APAKAH PERKEMBANGAN FINANSIAL MEREDAM ATAU MEMPERBESAR DAMPAK SUATU KEJUTAN?
This paper analyzes the role of financial development on economic output in Indonesia. Using vector autoregressive method, the results confirm the positive impact of financial development on output growth. The interaction between the financial development and the shock either in financial or real se...
| Main Authors: | , , |
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| Format: | Article |
| Language: | Indonesian |
| Published: |
Bank Indonesia
2012-01-01
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| Series: | Bulletin Ekonomi Moneter dan Perbankan |
| Online Access: | https://www.bmeb-bi.org/index.php/BEMP/article/view/459 |
| Summary: | This paper analyzes the role of financial development on economic output in Indonesia. Using vector autoregressive method, the results confirm the positive impact of financial development on output growth. The interaction between the financial development and the shock either in financial or real sector shows that the financial development has a positive role to dampen the negative impact of the shock on the output growth, while strengthen the positive one. Another variable on the model, which significantly affect the output growth are excess money, term of trade, and the price. Compare to these variables, the marginal effect of financial development on output is smaller.
JEL Classification : E44, O16
Keywords : Financial development, shock, output volatility, VAR |
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| ISSN: | 1410-8046 2460-9196 |