THE DETERMINANT FACTORS OF FOREIGN DIRECT INVESTMENT (FDI) ON INDONESIAN ECONOMY
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Date
2020
Journal Title
Journal ISSN
Volume Title
Publisher
International Journal of Psychosocial Rehabilitation, Vol. 24, Issue 2
Abstract
Economic capacity has main role in developing countries including Indonesia, many factors can
impact economic capacity in a country. This study analyses the impact of FDI on economy using cross-section
regression in 2012 and 2016. The model is used Ordinary Least Square (OLS). Independent variables are Human
Development Index (HDI), Labor Force in log lormal (Ln LF). Foreign Direct Investment (FDI) and Domestic
Investment (DI). Dependent Variable is Economy Capacity is measured by Gross Domestic Regional Bruto in log
normal (Ln GDRB). Our results suggest that foreign direct investment has positif impact on Indonesia’s economy in
2012 and 2016.
Description
Keywords
Foreign direct investment, Economy, Indonesia