Analysis Of The Influence Of Large Trade Price Indices, Dollar Exchange Rates, Interest Rates On Imports Of Capital Goods – AJHSSR

Analysis Of The Influence Of Large Trade Price Indices, Dollar Exchange Rates, Interest Rates On Imports Of Capital Goods

Analysis Of The Influence Of Large Trade Price Indices, Dollar Exchange Rates, Interest Rates On Imports Of Capital Goods

ABSTRACT : Import of capital goods is a decision to help meet the domestic needs of its production sector thatcan produce capital goods to maximize materials in the country. import of capital goods is one way out for acountry to inhabit its domestic needs that can not be produced alone, therefore must buy from other countriesthat are able to make such capital goods. This study aims to find out how the Influence of Large Trade PriceIndex, dollar exchange rate, and Interest Rate on the import of capital goods in the period 2000-2019 bothsimultaneously and partially. In addition, this study aims to find out the variables that have the most effect onthe import of capital goods in the period 2000-2019 by using EViews-9. The results of the data analysis showedsimultaneously indonesia’s large trade price index, the dollar exchange rate against the rupiah and Indonesia’sinterest rate simultaneously influenced the import of capital goods in Indonesia in 2000-2019. Indonesia’s largetrade price index variables and the dollar exchange rate against the rupiah partially positively and significantlyaffect the import of goods in 2000-2019 while the Indonesian interest rate variable partially negatively andsignificantly affects the import of goods in 2000-2019. The variable that has the most influence on the import ofcapital goods is the variable interest rate on the import of capital goods.

Keywords – large trade price index, dollar exchange rate, interest rate, import of capital goods