KETIMPANGAN DANA DAN PEMBIAYAAN DALAM NEGERI, HARUSKAH DIPENUHI DENGAN HUTANG LUAR NEGERI?

Edy Rahmantyo Tarsilohadi(1*)

(1) Fakultas Ekonomi Universitas Bengkulu
(*) Corresponding Author

Abstract

This research examined the effect of the foreign debt toward the development of Indonesian economy by using caucality test: Final Prediction Error.

Examination of the data, indicates the causality linkage between the foreign debt and the gross domestic product, vice versa; the causality linkage between the foreign debt and the depreciation of the rupiah.

This result indicates that the foreign debt was failed to push economic.

Keywords

the foreign debt; the gross domestic product; the foreign exchange rate

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