Government Subsidies, Consumption and Economic Growth in Indonesia

Abstract

This study aims to investigate Government Subsidies, Consumption and Economic Growth in Indonesia. This study uses secondary data from world banks and processed regression using the moving average autoregression method. We find that consumption and government subsidies are positively related, which means that there are subsidies from the government to the poor or less able to increase consumption and boost the economy through the process of encouraging the domestic market. The existence of subsidies from the government for the poor or less able to increase consumption and boost the economy through the process of encouraging the domestic market.