Influence Of Macroeconomic Variables Research Articles

An ARDL estimation is conducted to examine the dynamical connection among energy use and joblessness in Saudi Arabia

The rate of joblessness in Saudi Arabia has been a major worry in the past few years, exhibiting swings because of several economic causes. The nation has the formidable task of accommodating a substantial influx of fresh graduates into the labor market annually, posing an obstacle for government officials to offer sufficient employment prospects. Nevertheless, there has been a lack of comprehensive research on the influence of macroeconomic variables, such as energy consumption, on joblessness. The objective of this study is to examine the influence of several macroeconomic factors, such as foreign and domestic investment, trade liberalization, inflation, urbanization, economic growth, and energy consumption, on the levels of unemployment in Saudi Arabia. The ARDL estimate method was used to assess the yearly data spanning from 1971 to 2022. The findings indicate a varied anticipated influence of the independent and dependent variables over an extended period of time. While there is a short-term negative correlation between energy consumption and rate of joblessness, this relationship does not hold true in the long term. The study culminates with a compilation of policy suggestions.

The Influence of Macroeconomic Variables on Asean- 5 Countries' Foreign Exchange Reserves Long-Term Relationship and Causality (Empirical Data Year 2014 to 2021)

The country's foreign exchange reserves are an important factor in supporting the economic development process in ASEAN-5 countries. The country's foreign exchange reserves are greatly influenced by macroeconomics so macroeconomic changes will have a large and rapid impact on foreign exchange reserves. So this research aims to determine the influence of macroeconomics, namely the rate of inflation, exchange rate, export value, and economic growth on the foreign exchange reserves of ASEAN-5 countries. The data processing was carried out using the multiple panel data regression method, empirical data from 2014 to 2021. The results of the data processing that has been carried out show that the model test, together with the inflation rate, exchange rate, export value, and economic growth, has an effect of 94.9867 percent. to the foreign exchange reserves of ASEAN-5 countries. Meanwhile, partially the export value and economic growth variables have a significant effect on ASEAN countries' foreign exchange reserves and are positively proportional, but the inflation rate and exchange rate have no effect on ASEAN countries' foreign exchange reserves and are negatively proportional. Apart from that, the role of the government is also very influential in maintaining the country's foreign exchange reserves because macroeconomics is determined by government policies.

A Microstructure Study of Indian Corporate Bond Market: A Review

This Review study explores various dimensions of the Indian capital market, encompassing both equity and bond markets. It delves into the influence of equity market factors, macroeconomic variables, and corporate bond market growth on the overall financial landscape. The relationship between equity market returns, equity market volatility (VIX), and the rupee-dollar exchange rate on bond yields. They highlight that increasing volatility in the equity market leads to a higher demand for fixed income securities, subsequently reducing bond returns. The underscores the significance of a robust corporate bond market for financial system stability, credit availability, and mitigating corporate sector crises. It reviews the growth of the Indian corporate bond market and its implications for monetary, fiscal, and economic variables. The results indicate that a comprehensive corporate bond market does not exhibit a significant positive or negative association with these variables. However, GDP emerges as a crucial factor for India's bond market development, particularly in terms of foreign participants. Lastly, the influence of macroeconomic variables on the Indian corporate bond market over a 23-year period. They reveal a significant correlation between corporate bond market issuance and foreign exchange reserves. Through multiple regression analysis, they found that all selected variables, except GDP and trade openness, significantly explain the volumes of corporate bonds. Collectively, their findings contribute to a comprehensive understanding of the interplay between equity market dynamics, corporate bond market growth, and macroeconomic factors in the Indian capital market. The study provides valuable insights for policymakers and investors, aiding in informed decision-making regarding investment strategies, market stability, and economic growth.

The Influence of Macroeconomic Variables on Inflation After Inflation Targeting Framework Implementation in Indonesia

The global economic crisis that occurred in 1997, which led to the collapse of the rupiah exchange rate and soaring inflation, made the country realize the importance of economic stability. The problem was then responded by Bank Indonesia by implementing the Inflation Targeting Framework policy. The focus of this study is to observe the inflation condition in Indonesia after the implementation of the Inflation Targeting Framework policy. The purpose of this study is to see the influence of macroeconomic variables such as Gross Domestic Product (GDP), Interest Rates, and Exchange Rates on Inflation in Indonesia. The method used is Vector Error Correction Model (VECM) analysis with the research period from 2005Q4-2021Q4. The results found that GDP and interest rates have a positive effect on inflation. While the Exchange Rate has a negative effect on inflation in Indonesia.

The Influence of Macroeconomic Variables on Problematic Financing in the Sector of Manufacturing

This study intends to examine how Indonesia's problematic manufacturing industry sector funding in Islamic banking is affected by macroeconomic factors such exchange rates, inflation, BI rates, and export growth. Monthly time series data from January 2018 to December 2022 were used in this investigation. The multiple linear regression test is the statistical analysis employed in this investigation. The findings demonstrated that the troublesome financing of the Manufacturing Industry sector was significantly influenced by a combination of macroeconomic factors, including exchange rate, inflation, BI rate, and export growth. Partly, the difficult financing of the Manufacturing Industry sector is significantly impacted by both inflation and the BI Rate in both positive and negative ways.

Influence of Macroeconomic Variables on Indian Commodity Futures Prices: Case of Agricultural Commodities

Influence of Macroeconomic Variables on Indian Commodity Futures Prices: Case of Agricultural Commodities

Influence of Macroeconomic Variables (Balance of Payments, Inflation, Economic Growth, and Unemployment) in the Process of Policy-Making in a Country

This paper mostly analyses the microeconomic variable effects in the economic structure of the country. The effects on unemployment and inflation decrease the economic growth of the country. For analysing the economic structure of the country, this research study has adopted secondary qualitative data analysis and a descriptive research design. In this case, unemployment and inflation are related to each other. Mostly unemployment increases then inflation decreases and if inflation decreases then unemployment increases. For this reason, to develop the country's economic condition, an effective policy-making process can help to improve this situation. With the bits of help of economic policies, the country can get the chance to build a strong economic structure in an effective manner Keywords : Microeconomic, Phillips’s curve, inflation

NON-PERFORMING LOANS, MACROECONOMIC AND BANK-SPECIFIC VARIABLES IN SOUTHEAST ASIA DURING COVID-19 PANDEMIC

This study examines the relationship between bank-specific variables, macroeconomic variables and non-performing loans (NPLs) in the seven countries of Southeast Asia (Cambodia, Indonesia, Malaysia, Philippines, Singapore, Thailand and Vietnam) during the pre-COVID-19[Formula: see text]and COVID-19 pandemic. This study adopts panel data regression and distributed lagged regression to examine the impact of bank-specific variables and macroeconomic variables as NPL determinants. The results show that bank-specific variables significantly correlate to NPL, but limited evidence indicates the influence of macroeconomic variables during pre-COVID. Nonetheless, macroeconomic variables are significant to NPL with the emergence of the pandemic, while the bank-specific variables are found to be insignificant. It shows that macroeconomic variables have a greater impact during the turbulent period as they affect most businesses, especially during the pandemic. Furthermore, macroeconomic variables are observed to have a stronger influence on developed countries, but the impact of bank-specific variables is stronger in emerging countries. The results of this study assist policymakers, regulators, banks and governments in identifying the determinants of high NPL as the indicator of a financial crisis. Greater emphasis shall be given to the changes in macroeconomic variables.

The Influence of Macroeconomic Variables on the Stock Market Performance

The purpose of the study is to empirically analyze the influence of the macroeconomic indicators onIndia's stock market performance. The macroeconomic variables considered are inflation, interest rate, money supply,industrial production, and exchange rates in India. The study covers the period from April 2005 to April 2021. The ADFtest has been employed to explore the stationarity of the variables, and the ARDL methodology has been administeredto unearth the association between the macroeconomic variables and stock market return. The study found thatindustrial production, interest rate, and exchange rate have long term negative relationship with stock return. Morespecifically, the exchange rate has a significant impact on the stock market performance. At the same time, inflationexhibits a negative short-term relationship with the stock market return. Though money supply has a positiverelationship, the magnitude is insignificant.

The impact of the selected macroeconomic indicators’ volatility on the performance of South African JSE-listed companies: a pre-and post- Covid-19 study

The influence of macroeconomic variables on aspects of business and the country's economy has been a subject of robust discussion. This study was conducted to identify the effect of macroeconomic variables, namely inflation rate, economic growth, exchange rate and share price, on listed companies in South Africa. The goal was to study the long run and short run effects of macroeconomic volatility on company performance because of the world’s recent pandemic experience. To achieve this objective, the study applied the panel Autoregressive Distributed Lag (ARDL) model on annual panel data from 2010 to 2020 to analyse the short run and long run effects of macroeconomic variables on a company’s performance. The study results suggested a positive impact of economic growth, exchange rate and share price on asset returns, whilst a company's equity return is supported by economic growth and share price in the long run. The short run revealed that none of the independent variables has a sufficiently significant effect to influence a company's performance changes in the short run. Based on the findings, it was recommended that policymakers and economic authorities should introduce and implement strategies that favour and enhance the country's economic growth and stable exchange rate in order to improve company performance. Additionally, given that the company's short-run performance may highly depend on internal factors such as corporate governance, internal policies and business strategies, these decisions should be taken with precaution and a high level of professionalism.

Does Corruption and Government Regulation Matter to Foreign Portfolio Investment: Evidence from Asian and the European Union Countries

Economic integration in various countries impacts fluctuations in and out of capital and multiple economic cooperation between countries. The investment that is one form of implementation of economic integration positively influences a country's capital reserves. The study analyzed the influence of macroeconomic variables and proxied institutions with corruption variables and government regulations on foreign portfolio investment fluctuations in the twenty Asian and EU countries with the largest funds flows. The data used in this study is a data panel with a period from 2002-2019. The analysis method used in this study uses two methods at once, namely the Generalized Method of Moment (GMM) and the Panel Vector Error Correction Model (PVECM), to analyze the cost of the analysis results. The study found that macroeconomic instruments projected with GDP variables had a positive and significant influence on foreign portfolio investments, while exchange rate variables negatively affected foreign portfolio investments. Important findings in this study that corruption consistently negatively and significantly affects foreign portfolio investments are based on both GMM test results and PVECM tests in the long term. In contrast, the results of PVECM tests in the short term do not have any macroeconomic variables or institutions that significantly affect foreign portfolio investment. This means that investors' consideration in investing in Asian countries and Europe is based on a long-term perspective than on short-term economic dynamics. In addition, regulatory variables have a positive and significant effect on foreign investment portfolios in twenty Asian countries and the European Union with the largest portfolio investment fund flow.

The Influence of Macroeconomic Variables on the Stock Market Performance

The purpose of the study is to empirically analyze the influence of the macroeconomic indicators on India’s stock market performance. The macroeconomic variables considered are inflation, interest rate, money supply, industrial production, andexchange rates in India. The study covers the period from April 2005 to April 2021. The ADF test has been employed to explore the stationarity of the variables, and the ARDL methodology has been administered to unearth the association between the macroeconomic variables and stock market return. The study found that industrial production, interest rate, and exchange rate have long term negative relationship with stock return. More specifically, the exchange rate has a significant impact on the stock market performance. At the same time, inflation exhibits a negative short-term relationship with the stock market return.Though money supply has a positive relationship, the magnitude is insignificant.

PENGARUH VARIABEL MAKROEKONOMI TERHADAP PROFITABILITAS BANK KONVENSIONAL BUKU 4 DI INDONESIA

This study explains the extent of the influence of macroeconomic variables on the profitability of BUKU 4 banks in Indonesia. The macroeconomic variables consist of economic growth (X1), inflation (X2), Bank Indonesia Interest Rate (BI Rate) (X3, and Profitability is measured by the ROA (Return) ratio. On Asset). This study combines cross section data of 7 banks with time series from 2010-2019, with the Panel Regression method with the Random Effect model selection test. The results show that: (1) Economic growth has a positive and significant effect on bank profitability. conventional BUKU 4 in Indonesia, (2) Inflation has a positive and insignificant effect on the profitability of conventional BUKU 4 banks in Indonesia, (3) the Bank Indonesia Interest Rate (BI Rate) has a positive and insignificant effect on the profitability of conventional BUKU 4 banks in Indonesia.

Differences in Local Rice Price Volatility, Climate, and Macroeconomic Determinants in the Indonesian Market

Rice is a staple food in most Asian countries, and food security is often viewed as having a rice supply to avoid a food crisis. The large number of people who have low incomes means there is a risk of household economic conditions being threatened when food prices are not controlled. We present a different approach by measuring rice price volatility at the local market level with climate and macroeconomic variables. The model succeeds in representing the variables that affect rice prices by an average of 75% nationally. The influence of macroeconomic variables and climate dynamics was found to have a non-uniform pattern from one region to another. The factors that dominate the volatility of rice prices in each province were different. To help address these problems, it is suggested to model and integrate climate data and macroeconomic variables. The output can be used to determine national policies for controllable factors and anticipate climate dynamics to reduce the risk that communities will have difficulty accessing food.

The Influence of Macroeconomic Variables on the Stock Market Performance

The Influence of Macroeconomic Variables on the Stock Market Performance

Analisis Pengaruh Indikator Ekonomi Makro terhadap Perkembangan PT. Bank Cimb Niaga Tbk

This study aims to discuss the influence of macroeconomic variables on the performance of PT Bank CIMB Niaga Tbk. The study was conducted based on financial ratios of PT Bank CIMB Niaga Tbk. During the period September 2006 until December 2010. The study used multiple linear regression method to determine the dependent variable is the ratio of CAMELS (CAR, PPAP, ROA, ROE, NIM, BOPO and LDR) and independent variables are macroeconomic variables (inflation rate, Exchange Rate Euro Against Dollar, Interest Rate SBI and the Money Supply (M2)). The results using SPSS version 19.0 including tests of normality, multicollinearity test, test heteroscedasticity, autocorrelation test and multiple linear regression test showed that the macroeconomic variables that most influence on the performance of PT Bank CIMB Niaga Tbk is the exchange rate of rupiah against the U.S. dollar negatively (not direction) of the ROE of 97.28%. And in PT Bank CIMB Niaga Tbk, which have increased after the merger is the ratio of PPAP, ROA, ROE and NIM. While the ratio of CAR, and LDR BOPO PT. CIMB Niaga Tbk has decreased.

Pricing of Presale Contracts with Macroeconomic Factors and Stochastic Basis Risk

This study analyzes the stochastic basis risk (presale price minus spot housing price) of presale housing from the viewpoint of forward pricing. We employ the modified Brownian bridge process to deal with the time-varying volatility and price convergence of presale and existing houses. The finding reveals an asymmetric effect of macroeconomic factors on the presale price in different market conditions. Such results might reflect the investors’ behaviors of overreaction and/or over-pessimism. In addition, the influence of macroeconomic variables is greater on the basis price than on the prices of existing houses, especially in a depressed housing market. Our results emphasize the importance of considering basis risk and the influence of macroeconomic factors when pricing presale houses to manage housing risk.

The influence of macroeconomic variables, processing industry, and education services on economic growth in Indonesia

This study aims to look at the effect of Human Development Index (HDI), consumption, investment, and imports on economic growth in Indonesia and especially in the Province of Yogyakarta from 2010 to 2018. The research model used was panel data. The findings showed that HDI had a negative influence on economic growth. This happens because the education fee and health costs are expensive in Indonesia. Other findings implied that the number of imported goods did not have an influence on economic growth in the Special Province of Yogyakarta. Therefore, this issue needs to be studied seriously since it will have an impact on unemployment.

Islamic Bank Credit Risk: Macroeconomic and Bank Specific Factors

The purpose of this research is to investigate the influence of macroeconomic and banking factors on credit risk in Islamic banking.The methodology used is panel data regression analysis. The data set is consisting of secondary data from banking financial statements contained in the respective websites, as well as macroeconomic variables obtained from the Central Bureau of Statistics and Central Bank Indonesia for the period 2010 to 2016. The results support the hypothesis that the SIZE of the bank is influencing positively and significantly the credit risk. Other variables tested were financing expansion, financing quality, GDP and inflation which have been proven to influence negatively and significantly the credit risk. These results support the results of another study by Effendi and Yuniarti (2018) regarding the influence of macroeconomic variables on credit risk. The contribution of this article is that similar conclusions have been made regarding the influence of banking factors on credit risk. Both results lead to the conclusion that Islamic banking could be affected negatively if it does not regulate the quality and the expansion of its financing properly.

Do China or the US Macroeconomic Conditions Affect Asian Public Real Estate Markets?

In retrospect of China’s increasing significance and active role in the global economy alongside with prominence in Asian economic growth, this paper investigates the relative impact of China’s and US’s macroeconomic factors on Asian real estate excess return performance. Although past literature covered extensively the influence of macroeconomic variables on the domestic stock markets, little had been done in the research of foreign macroeconomic factors on domestic real estate markets. This paper attempts to contribute along this direction. Using a set of 10 Asia-Pacific (APAC) and the US real estate market monthly excess returns, as well as several macroeconomic factors and economic policy uncertainty indices from January 1988 to April 2017, we implement multiple regression analysis, linear and nonlinear causality analysis and generalized impulse response functions to reach a robust conclusion. We find that there are insignificant correlations between China macroeconomic variables and APAC, as well as between the U.S macroeconomic variables and APAC real estate market excess returns in both the full and sub-period analysis. The observations would agree with the conventional wisdom that foreign macroeconomic factors have weaker correlations with the real estate returns, as compared to its domestic counterparts. Nevertheless, the US macroeconomic factors show stronger causal relationship with the APAC real estate excess returns during the full period analysis, while China macroeconomic variables have witnessed a stronger causal relationship in shorter sub-period analysis. Key macroeconomic variables such as Industrial Production Output Index, Long Term Interest Rates and Economic Policy Uncertainty had observed significant fluctuated responses for both US and China. Overall, it can be concluded from the study that the US economy continues to have a dominant influence in Asian real estate markets. However, during economic crises, the impact of China’s economy conclusively outweighs that of U.S. The key macroeconomic factors that are the most impactful include industrial output growth, long-term interest rate and economic policy uncertainty. Finally, the results reported in this paper might have portfolio and policy implications.