Analysis of the Determination of the Composite Stock Price Index in Indonesia Stock Exchange, 1996-2017

Siti Delvi Jarniati, Fitrawaty, Eko Wahyu Nugrahadi

2018

Abstract

This research aims to analyze the relationship of long-term and short-term macroeconomic variables between the money supply, the interest rate of Bank Indonesia, exchange rates and gross domestic product against the composite stock price Index on the stock exchange Indonesia in 1996-2017. To answer these problems the study Econometrics model analysis tools used error correction (Error Correction Model). Research results showed in the short term the money supply, interest rates and gross domestic product of Bank Indonesia effect negatively and significantly to the composite stock price index. While the exchange rate in the short term has no effect against the composite stock price index. In the long run, the money supply, interest rates and exchange rates of Bank Indonesia have no effect against the composite stock price index. While the gross domestic product in the long run a positive and significant effect against the composite stock price index. Together the same macroeconomic variables of the money supply, the interest rate of Bank Indonesia, exchange rates and gross domestic product of influential significantly to the amount of money in circulation, Bank Indonesia interest rates, exchange rates and gross domestic product on the extent trust 75.69 percent.

Paper Citation

in Harvard Style

Jarniati S., Fitrawaty. and Nugrahadi E. (2018). Analysis of the Determination of the Composite Stock Price Index in Indonesia Stock Exchange, 1996-2017.In Proceedings of the 1st Unimed International Conference on Economics Education and Social Science - Volume 1: UNICEES, ISBN 978-989-758-432-9, pages 561-568. DOI: 10.5220/0009506305610568

in Bibtex Style

@conference{unicees18,
author={Siti Delvi Jarniati and Fitrawaty and Eko Wahyu Nugrahadi},
title={Analysis of the Determination of the Composite Stock Price Index in Indonesia Stock Exchange, 1996-2017},
booktitle={Proceedings of the 1st Unimed International Conference on Economics Education and Social Science - Volume 1: UNICEES,},
year={2018},
pages={561-568},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0009506305610568},
isbn={978-989-758-432-9},
}

in EndNote Style

TY - CONF

JO - Proceedings of the 1st Unimed International Conference on Economics Education and Social Science - Volume 1: UNICEES,
TI - Analysis of the Determination of the Composite Stock Price Index in Indonesia Stock Exchange, 1996-2017
SN - 978-989-758-432-9
AU - Jarniati S.
AU - Fitrawaty.
AU - Nugrahadi E.
PY - 2018
SP - 561
EP - 568
DO - 10.5220/0009506305610568