Digital Economy in The Global Collaboration Economic Age

English

Abstract

The purpose of this research is to find out more about the confounding influence between internet users, domestic consumption, and economic growth in Indonesia and Malaysia. This study uses vector calculations where each regression relationship will be brought together so that each variable will alternately become the dependent variable and the independent variable. In this study, we look at internet users, consumption, and GDP use in Indonesia and Malaysia. The following multivariate regression model was used to investigate the causal association between variables internet users, consumption, and GDP in Indonesia and Malaysia. We found the readiness of the countries of Indonesia and Malaysia in the application of the digital economy has differences including the application of blockchain technology and cryptocurrency which is indicated by a causal relationship between internet users, domestic consumption, and economic growth. Although the two countries indicate that there has not been a digital economy boost in national economic growth, which is signed by the negative correlation between internet users and GDP in both countries, it can be concluded that both countries are more dominant in applying the traditional economy.