ANALISIS PENGARUH KEBEBASAN EKONOMI DAN VARIABEL MONETER
TERHADAP HARGA SAHAM DI LIMA NEGARA ASEAN
ABSTRACT
The purpose of this research was to test whether economic freedom (business freedom, trade freedom, fiscal freedom, government size, monetary freedom, investment freedom, financial f reedom, property rights, freedom from corrupt ion and monetary variables (interest rate, inflation, exchange rate, money supply) had impact to stock prices in five ASEAN countries namely Singapore, Malaysia, Philippine, and Indonesia. We used a quantitative approach by applying principal component analysis and multiple regression with pooling data in the period of 1995-2010. The result showed that there were nine variables influenced stock prices in ASEAN, five variables with positive impact, they were government size, fiscal freedom, financial freedom, monetary f reedom, trade freedom and four variables with negative impact. They were business freedom, property rights, interest rate and inflation. While freedom from corruption, investment freedom, exchange rate and money supply had no impact on stock prices.The result of this research showed that there was a relationship between the institutional aspect of a country and the stock price in the country. This has been shown by the relationship between economic freedom and stock prices in five ASEAN countries. Monetary phenomenon can not be separated from the development of stock price where higher interest rate and inflation will reduce the stock price
Keywords: stock price, economic freedom, inflation, interest rate, exchange rate, money supply
