The Opportunity of Internet Literacy to Increase Consumption and Attract Foreign Investor in Indonesia

English

Abstract

This study aims to determine the response and impulse of the variables of consumption, investment, and internet users. Where investment in this study focuses on FDI or foreign direct investment. Because FDI has a direct impact on the real sector and is a net cash inflow. To achieve this goal, an vector autoregressive is used. All data are secondary data from world banks. We found that the internet is a medium that unites the world community through a computer network known as a digital network. Internet literacy indicated by the number of internet users called internet users provides new opportunities and hopes for increasing consumption and attracting foreign investors to invest in Indonesia.