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Aga Lumayung, G., Ramadhona Amalia Lubis, F., Ngulum Fadilah, N., Faudzi, M., & Sukarniati, L. (2024). The Effect of GDP, FDI, and Inflation to Trade Balance in 12 APEC Countries. KnE Social Sciences, 9(4), 668–679. https://doi.org/10.18502/kss.v9i4.15110

https://doi.org/10.18502/kss.v9i4.15110

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authors

  • Galih Aga Lumayung

    Galih Aga Lumayung

    Department of Economic Development, Faculty of Economics, Universitas Ahmad Dahlan
    https://orcid.org/0000-0002-1702-6296
  • Firsty Ramadhona Amalia Lubis

    Firsty Ramadhona Amalia Lubis

    Department of Economic Development, Faculty of Economics, Universitas Ahmad Dahlan
  • Nizaul Ngulum Fadilah

    Nizaul Ngulum Fadilah

    Department of Economic Development, Faculty of Economics, Universitas Ahmad Dahlan
  • Maman Faudzi

    Maman Faudzi

    Department of Economic Development, Faculty of Economics, Universitas Ahmad Dahlan
  • Lestari Sukarniati

    Lestari Sukarniati

    Department of Economic Development, Faculty of Economics, Universitas Ahmad Dahlan

Published Date

  • Jan 24, 2024

The Effect of GDP, FDI, and Inflation to Trade Balance in 12 APEC Countries

KnE Social Sciences / The 6th International Research Conference on Economics and Business (6th IRCEB) / Pages 668–679

Abstract

This research analyzes the factors that affect the trade balance in 12 APEC countries because trade balance is one of the important factors for economic growth. The level of prosperity and economy of a country can be measured by its active trading activities. This activity can be a source of income for countries. So, it can be said that the strength of a country’s economy is its trade. Through trade, a country can establish diplomatic relations with other countries. This research uses panel data model with trade balance as a dependent variable, and gross domestic product (GDP), foreign direct investment (FDI), and inflation as independent variables. This research uses data from 2011-2020. The result is that GDP does not have significance with the trade balance, FDI has a positive significance for trade balance, and inflation has a negative significance with trade balance.


Keywords: APEC, data panel, trade balance

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