The development economic growth for sustainable development with augmented dickey fuller (empirical study for neoclassical economic growth from solow and swan)

Abstract

This study analyzes the influence of government spending and several variables related to economic growth such as exports, imports, population, inflation, and labor wages and many more. This study uses data analysis consisting of the years 2011-2020. The data used has been tested for stationarity using the Augmented Dickey Fuller (ADF) – Fisher test for panel data recommended by Madalla and Wu (1999). As a result, the data is stationary at the first difference level. This research shows that the real government expenditure coefficient is significantly positive. This means that government spending has an important role in increasing economic growth in Indonesia. This study analyzes the effect of aggregate government spending.