THE INFLUENCE OF REDENOMINATION TOWARDS PURCHASING POWER OF MIDDLE CLASS FAMILY IN INDONESIA

Abstract

Redenomination is an elimination in denomination currency. Indonesia has plan redenomination starting from 2014 until 2022 which this plan may eliminate 3 zeroes. Many possibility that may be going to happen after redenomination. For example, it may cause the change of price and value of the product, affect the people’s phsycology, and governement regulation. The objective of the research is to find out the most significant variable that influence of the purchasing power of middle class family in Indonesia as middle class family is the biggest percentage in Indonesia’s social economy class towards the redenomination. This research used qualitative research methodology which focused on phenomenology approach. In collecting the data, the researcher interview some potential participantss with different background of occupations. Then the researcher is going to study several individuals that share their purchasing behavior experience. The total participantss that being interviewed was 3 participants. In analyzing the data, the researcher look for significant statements, meaning of statements which is called as horizontalization, themes the meaning or cluster them and exhaust description of phenomenon into the essence. In the end the researcher will construct a figure which shows the possibility of redenomination according to participant’s point of view. The result of this research shows that purchasing power of Indonesian especially the middle class family are going to affected by redenomination.