THRESHOLD OF REAL EXCHANGE RATE AND THE PERFORMANCE OF MANUFACTURING INDUSTRY IN INDONESIA
Abstract
This paper analyzes the presence of the threshold of the real rupiah exchange rate which influences the profitability of manufacturing industry in Indonesia. By using a non-dynamics panel data over medium and large scale companies during 2001-2009, we found the threshold of 82.4 for the real rupiah exchange rate (REER). The REER index ranging from 82.24 to 101.13 with the change value between -5.01% and 20.09% (yoy) is secure for the profitability of Indonesian manufacturing industry. This paper also conform the significant affect of Total Factor Productivity on firm’s profitability. Keywords: Profitability, Manufacturing industry, exchange rate JEL classification: F1, D21, L6Downloads
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References
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Boediono, DR., “Seri Sinopsis Pengantar Ilmu Ekonomi No.1 Ekonomi Mikro”, BPFE, edisi 2, 1999.
Depari, Y., dkk, “Perilaku Pembentukan Harga Produk Manufaktur dari sisi Produsen, Distributor dan Pengecer”, Bank Indonesia, 2009.
Fung, L., et.al, “Firm Survival, Performance, and the Exchange Rate “, University of Calgary,2007.
Firdaus, Muhammad, “ Ekonometrika untuk Data Panel”, Materi Pelatihan di Bank Indonesia,April 2010.
Hansen, Bruce E., “Threshold Effects in Non-Dynamic Panels: Estimation, Testing, and Inference”, Boston College, February 1998.
J. Baggs, E. Beaulieu, L. Fung, “Firm Survival, Performance, and the Exchange Rate”, University of Calgary Discussion Paper, 2007.
J. Baggs, E., et.al., “Exchange Rate Movements and Firm Dynamics in Canadian Retail Industries”, 2011.
Kurniati, Yati, dkk., “Dinamika Industri Manufaktur dan Respon terhadap Siklus Bisnis”, Direktorat Riset dan Kebijakan Moneter, Bank Indonesia, 2010.
Mishra, SK, “A Brief History of Production Function” Department of Economic North-Eastern Hill University Shillong (India).
Nugroho, Wahyu Agung, dkk., “Struktur Biaya dan Perilaku Pembentukan Harga pada Industri Manufaktur Indonesia”, Bank Indonesia, 2005
Pindyck, Robert S., dan Daniel L. Rubinfeld, “Microeconomics”, edisi ke-4, Prentice-Hall, 1998.
Sidek, Noor Zahirah Mohd, “Malaysia : How Much Exchange Rate Misalignment is Detrimental to Export”, Department of Economics, UiTM Malaysia, 2011
Simatupang, P., dkk, “Pengaruh Kenaikan Harga Bahan Bakar Minyak (BBM) Maret 2005 Terhadap Profitabilitas Usaha Jasa Alsintan dan Usaha Tani Padi (Kasus Kab. Sidrap, Sulawesi
Selatan dan Kab. Nganjuk, Jawa Timur), Pusat Sosial Ekonomi dan Kebijakan Pertanian, Badan Litbang, Departemen Pertanian, 2005. 394 Buletin Ekonomi Moneter dan Perbankan, Volume 16, Nomor 4, April 2014
Stierwald, A., “Determinants of Profitability: An Analysis of Large Australian Firms”, Melbourne Institute Working Paper Series No.3/10, April 2010.
Surjaningsih, Ndari, dkk., “Rigiditas Penawaran : Faktor-faktor Penyebab Melemahnya Kinerja Industri”, Working Paper No.10/2011, Bank Indonesia.
Wooldridge, Jeffrey M. “Introductory Econometrics A Modern Approach”, South-Western Cengace Learning, 2009
Yanuarti, Tri, “Dampak Apresiasi Nilai Tukar terhadap Kinerja Industri Pengolahan”, (2006), Catatan Riset, Bank Indonesia, 2006.
Published
2014-10-27
How to Cite
Surjaningsih, N., Maryaningsih, N., & Savitri, M. (2014). THRESHOLD OF REAL EXCHANGE RATE AND THE PERFORMANCE OF MANUFACTURING INDUSTRY IN INDONESIA. Buletin Ekonomi Moneter Dan Perbankan, 16(4), 373-394. https://doi.org/10.21098/bemp.v16i4.25
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Buletin Ekonomi Moneter dan Perbankan / Bulletin of Monetary Economics and Banking is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
