ECONOMIC VARIABLES IMPACT TOWARD AUTOMOTIVE MANUFACTURING INDUSTRY PRODUCTION

Abstract

Purpose The purpose of this research is to find out whether these economic variables (Purchasing Manager’s Index, Interest Rate, Inflation Rate, Unemployment Rate) influence the automotive manufacturing industry production. Design/Methodology/Approach This research use quantitative research method. Data is collected by 7 countries’ economic variables from 2012 to 2016. And finally, the analysis was performed on 35 sets of data. Multiple Linear Regression was performed to find out the independent variables (Purchasing Manager’s Index, Interest Rate, Inflation Rate, Unemployment Rate ) significant influence for dependent variable (Automotive manufacturing industry production). Finding Purchasing manager’s index (PMI) and unemployment rate are not significantly influence automotive manufacturing industry production. Interest rate, Inflation Rate, are significantly influence automotive manufacturing industry production. Originality/Value Authors wants to find out which economic variables can influence the automotive manufacturing industry production.