The Response of Bank of Indonesia’s Interest Rates to the Prices of World Crude Oil and Foreign Interest Rates

Volume: 6 Number: 2 June 1, 2016
  • Pasrun Adam
International Journal of Energy Economics and Policy Cover
International Journal of Energy Economics and Policy
PDF Download
EN

The Response of Bank of Indonesia’s Interest Rates to the Prices of World Crude Oil and Foreign Interest Rates

Abstract

This research aimed to investigate the response of interest rates set by Bank of Indonesia to the prices of world crude oil and foreign interest rates. It analyzed monthly data which spanned from July 2005 to October 2015. The tool of analysis used was the difference equation model. Result of the test showed that there was a positive response of the interest rate determined by Bank of Indonesia to the price of world crude oil and foreign interest rates. The interest rates maintained by Bank of Indonesia increased (decreased) by 0.135% in response to each 1% increase (decrease) in the price of world crude oil. The interest rates also increased (decreased) by 0.081% in response to each 1% increase (decrease) in foreign interest rates

Keywords

Details

Primary Language

English

Subjects

-

Journal Section

-

Authors

Pasrun Adam This is me

Publication Date

June 1, 2016

Submission Date

June 1, 2016

Acceptance Date

-

Published in Issue

Year 2016 Volume: 6 Number: 2

IZ

https://izlik.org/JA45JY48CZ

Cite

RIS / Bibtex
APA
Adam, P. (2016). The Response of Bank of Indonesia’s Interest Rates to the Prices of World Crude Oil and Foreign Interest Rates. International Journal of Energy Economics and Policy, 6(2), 266-272. https://izlik.org/JA45JY48CZ
AMA
1.Adam P. The Response of Bank of Indonesia’s Interest Rates to the Prices of World Crude Oil and Foreign Interest Rates. IJEEP. 2016;6(2):266-272. https://izlik.org/JA45JY48CZ
Chicago
Adam, Pasrun. 2016. “The Response of Bank of Indonesia’s Interest Rates to the Prices of World Crude Oil and Foreign Interest Rates”. International Journal of Energy Economics and Policy 6 (2): 266-72. https://izlik.org/JA45JY48CZ.
EndNote
Adam P (June 1, 2016) The Response of Bank of Indonesia’s Interest Rates to the Prices of World Crude Oil and Foreign Interest Rates. International Journal of Energy Economics and Policy 6 2 266–272.
IEEE
[1]P. Adam, “The Response of Bank of Indonesia’s Interest Rates to the Prices of World Crude Oil and Foreign Interest Rates”, IJEEP, vol. 6, no. 2, pp. 266–272, June 2016, [Online]. Available: https://izlik.org/JA45JY48CZ
ISNAD
Adam, Pasrun. “The Response of Bank of Indonesia’s Interest Rates to the Prices of World Crude Oil and Foreign Interest Rates”. International Journal of Energy Economics and Policy 6/2 (June 1, 2016): 266-272. https://izlik.org/JA45JY48CZ.
JAMA
1.Adam P. The Response of Bank of Indonesia’s Interest Rates to the Prices of World Crude Oil and Foreign Interest Rates. IJEEP. 2016;6:266–272.
MLA
Adam, Pasrun. “The Response of Bank of Indonesia’s Interest Rates to the Prices of World Crude Oil and Foreign Interest Rates”. International Journal of Energy Economics and Policy, vol. 6, no. 2, June 2016, pp. 266-72, https://izlik.org/JA45JY48CZ.
Vancouver
1.Pasrun Adam. The Response of Bank of Indonesia’s Interest Rates to the Prices of World Crude Oil and Foreign Interest Rates. IJEEP [Internet]. 2016 Jun. 1;6(2):266-72. Available from: https://izlik.org/JA45JY48CZ