Research Article
The Analysis of Indonesia’s Coal Export Value Using the Gravity Model
@INPROCEEDINGS{10.4108/eai.7-10-2021.2316236, author={Nurbetty Sitorus and Hafizd Ramadhan}, title={The Analysis of Indonesia’s Coal Export Value Using the Gravity Model}, proceedings={Proceedings of the 4th International Conference of Economics, Business, and Entrepreneurship, ICEBE 2021, 7 October 2021, Lampung, Indonesia}, publisher={EAI}, proceedings_a={ICEBE}, year={2022}, month={4}, keywords={coal exports gdp distance inflation real exchange rate error correction model (ecm)}, doi={10.4108/eai.7-10-2021.2316236} }- Nurbetty Sitorus
Hafizd Ramadhan
Year: 2022
The Analysis of Indonesia’s Coal Export Value Using the Gravity Model
ICEBE
EAI
DOI: 10.4108/eai.7-10-2021.2316236
Abstract
This study aims to prove whether the variables of Indonesia's GDP, trading partner countries’ GDP, distance, inflation, and the real exchange rate in the gravity model proved significant in explaining the value of Indonesia's coal exports in the long and short term. This study used the value of Indonesia’s coal exports as the dependent variable, while the independent variables include Indonesia's GDP, Indonesia's trading partner countries’ GDP, distance, inflation, and real exchange rate. The type of data used in this study is secondary data in the form of time series data, with a time period of 2010 Q4 – 2019 Q4. The analytical method used in this research is the Error Correction Model (ECM. The results of this study indicates that Indonesia's GDP, GDP of Indonesia's trading partner countries, distance, inflation, and the real exchange rate have a significant effect on the value of Indonesian coal exports.