Monetary Policy Transmission Using Auto Regressive Distributed Lag (ARDL) Model: Case Of Indonesia

DUDI DERMAWAN SAPUTRA

Monetary Policy Transmission Using Auto Regressive Distributed Lag (ARDL) Model: Case Of Indonesia

dc.contributor.advisor	Sumarno Zain
dc.contributor.advisor	Rina Indiastuti
dc.contributor.author	DUDI DERMAWAN SAPUTRA
dc.date.accessioned	2024-05-20T03:13:38Z
dc.date.available	2024-05-20T03:13:38Z
dc.date.issued	2016-12-08
dc.description.abstract	Since July 2005, Inflation Targeting Framework (ITF) policy has been adopted by Bank Indonesia through its monetary policy. In the ITF policy, Bank Indonesia announced the target of inflation and its monetary policy is aimed to achieve the determined target of inflation. The direction of the monetary policy will be reflected in the determination of policy rate (BI Rate). In this research, we studied the influence of monetary policy transmission in both Islamic and conventional banking used Auto Regressive Distributed Lag (ARDL) model. Based on the results of ARDL Model, in a long run, the models indicated that Interbank Money Market Overnight interest rates had a negative relationship with the lending bank (Islamic and conventional). In this model, if the interest rates rise by 1%, loan distribution will drop by -0.181432%. In a short run, the model used was the Error Correction Model (ECM). ECM coefficient was negative and significant at the 5% level, as much as -0.031682, confirming the existence of long-term relationships between the variables.
dc.identifier.uri	https://repository.unpad.ac.id/handle/kandaga/120130110047
dc.subject	Monetary Policy
dc.subject	Auto Regressive Distributed Lag (ARDL)
dc.subject	Error Correction Model (ECM)
dc.title	Monetary Policy Transmission Using Auto Regressive Distributed Lag (ARDL) Model: Case Of Indonesia