Determinants of Inflation in West Sumatra

Robert Indra () and Alpon Satrianto
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Robert Indra: Universitas Negeri Padang
Alpon Satrianto: Universitas Negeri Padang

A chapter in Proceedings of the 10th Padang International Conference on Education, Economics, Business and Accounting (PICEEBA-10 2022), 2025, pp 287-296 from Springer

Abstract: Abstract The purpose of this study is to examine four factors related to inflation in West Sumatra: (1) the impact of fuel prices on inflation, (2) the impact of the provincial minimum wage on inflation, (3) the impact of interest rates on inflation, and (4) the partial impact of fuel prices, minimum wages, and interest rates on inflation. This study employs time series data from 1991 until 2020 with numerous regression analysis techniques. Secondary data from Bank Indonesia and the West Sumatra Province Central Statistics Agency serve as the data source. The study’s findings indicate that (1) West Sumatra’s inflation is positively impacted by the gasoline price variable, but not significantly. (2) The minimum salary in each province is a variable.

Keywords: Inflation; Fuel Prices; Provincial Minimum Wage; Interest Rate (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:spr:advbcp:978-94-6463-839-4_25

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DOI: 10.2991/978-94-6463-839-4_25

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