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.
Sharma, Susan Sunila
"WHICH VARIABLES PREDICT INDONESIA'S INFLATION?,"
Bulletin of Monetary Economics and Banking: Vol. 22:
1, Article 3.
Available at: https://bulletin.bmeb-bi.org/bmeb/vol22/iss1/3