Impacts of Macroeconomic Indicators on Economic Growth in Southeast Asia: A Panel Data Analysis
Keywords:
Indicator, Economic Growth, Panel Data, Southeast Asia.Abstract
The article explores influences of
macroeconomic indicators on economic
growth in six developing countries in
Southeast Asia for the past two decades (1997-
2016) by employing a panel dataset. In both
fixed-effect and random effect models, we
found that export value and value added of
manufacturing have positive influences on
economic growth, while import value presents
a negative and significant impact on economic
growth in Southeast Asia. Our results also
demonstrated that during the period of 1997-
2016, economic growth of Indonesia was
slower than that of its counterparts. However,
in the same period, economic growth of Vietnam
was faster than that of other countries in
the region. For the fixed-effect model, we
found that the unemployment rate presents a
positive relationship with economic growth in
Southeast Asia. Finally, fiscal and monetary
policies are recommended to achieve targets in
economic growth and sustainable development
in Southeast Asia.
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