WHICH VARIABLES PREDICT INDONESIA'S INFLATION?

Authors

Susan Sunila Sharma, Deakin University, AustraliaFollow

Document Type

Article

Abstract

We use an exhaustive list of Indonesia’s macroeconomic variables in a comparative analysis to determine which predictor variables are most important in forecasting Indonesia’s inflation rate. We use monthly time-series data for 30 macroeconomic variables. Using both in-sample and out-of-sample predictability evaluations, we report consistent evidence of inflation rate predictability using 11 out of 30 macroeconomic variables.

Recommended Citation

Sharma, Susan Sunila (2019) "WHICH VARIABLES PREDICT INDONESIA'S INFLATION?," Bulletin of Monetary Economics and Banking: Vol. 22: No. 1, Article 3.
DOI: https://doi.org/10.21098/bemp.v22i1.1038
Available at: https://bulletin.bmeb-bi.org/bmeb/vol22/iss1/3

First Page

87

Last Page

102

Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License

Country

Australia

Affiliation

Deakin University