Abstract

This research aims to examine the effect of sharia monetary policy transmissionagainst inflation rate in Indonesia partially and simultaneously. The approach that is used in this research is the quantitative approach, using multiple linear regression analysis technique and quantitative descriptive. The data that is used is secondary data from the official website of Bank Indonesia and the Financial Services Authority. The result of this research indicates that PUASand partial sharia financing have partial positive significant effect on inflation rate in Indonesia, while JUB (M1) has a partially negative significant effect on inflation rate in Indonesia. Simultaneously PUAS, sharia financing and JUB (M1) have positive significant effects against inflation rate in Indonesia at the level of 48,7%, while the remaining 51,3% is influenced by other variables that aren’t examined by the writer.

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