Analysis Of The Effect Of Government Expenditure, Investment And Sharia Bank Financing On Growth Economy In Indonesia

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Mahlel, Dwi Kresna, Andri Soemitra, Iskandar Muda, Sugianto


The purpose of this study was to determine how the relationship between government spending, investment and Islamic bank financing on economic growth. The data in this study are secondary data obtained from BPS, KEMENKEU and BKPM. This research uses quantitative research with Partial Least Square analysis model with the help of WarpPls 7.0 application. Partial Least Square is a statistical data analysis methodology that is at the intersection between regression models, structural equation models, and multiple table analysis methods. With the results of government spending has a positive and insignificant effect of 0.18 on economic growth. Investment has a positive and insignificant effect of 0.05 on Economic Growth. And Islamic bank financing has a positive and significant impact on economic growth of 0.76.

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