MACROECONOMIC FACTORS INFLUENCINGECONOMIC GROWTH IN SOUTHERN OF LAOS

In this study, the macro-economic factors that affect the growth of the economy of 4 provinces in the south are Champasak Province, Saravan Province, Sekong Province...

Abstract

In this study, the macro-economic factors that affect the growth of the economy of 4 provinces in the south are Champasak Province, Saravan Province, Sekong Province and Attaphu Province. The purpose of the study is to study the economic growth of the 4 southern provinces and the macroeconomic factors that affect the economic growth of the 4 southern provinces from 2006-2020. For this study, geographic data (second-hand data) was used to arrange the data in the form of Panel Data obtained from the National Statistics Center, Ministry of Planning and Investment, Department of Planning and Investment, Department of Industry-Trade, Department of Finance of the 4 southern provinces by using the test method used. There are 3 methods as follows: Pooled Ordinary Least Square, Fixed Effects Model and Random Effects Model for analysis. The results of the study found that in 2020, the economy of the four southern provinces continued to increase from 2019, namely Champasak province with a gross domestic product value of 20,553,286 million kip, Saravan province with 4,503,570 million kip, Sekong province with a value of 1,792,582 million kip and Attapeu province with 2,532,466 million kip. For The results of the research found that the macro-economic factors that have an effect on economic growth by using panel data which includes the number of provinces in 4 provinces and the period from 2006 to 2020. In the estimation, the Fixed Effect Model method was used. 90% respectively. As for the import of goods, it is seen that there is a relationship in a positive direction, but the level of confidence does not reach 90%