Oil Price and Leverage for Mining Sector Companies in Indonesia

Sudjono, Sudjono (2021) Oil Price and Leverage for Mining Sector Companies in Indonesia. International Journal of Energy Economics and Policy, 11 (4). pp. 24-30. ISSN 2146-4553


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Official URL: https://doi.org/10.32479/ijeep.11237


The research was conducted to prove empirically the impact of oil prices, interest rates, profitability, company size, and liquidity on leverage in mining sector companies in Indonesia. The study population was 47 companies in the mining sector, using the purposive sampling method, the research sample was selected as many as 32 companies in a period of 5 years from 2014 to 2018 so that 160 observations were obtained. The data analysis method used a random-effects model selected from panel data regression. The empirical findings show that profitability, liquidity, world oil prices,and interest rates have a negative effect on leverage, while firm size has no impact. The empirical findings of this study can help the mining sector industry in Indonesia in making decisions about corporate debt policies that are significantly influenced by oil prices, profitability, liquidity, and interest rates to create optimal debt policies.

Item Type: Article
NIM/NIDN Creators: 0311025901
Uncontrolled Keywords: Oil Price, Leverage, Mining Sector Companies, Indonesia
Subjects: 300 Social Science/Ilmu-ilmu Sosial > 330 Economics/Ilmu Ekonomi
600 Technology/Teknologi > 620 Engineering and Applied Operations/Ilmu Teknik dan operasi Terapan > 622 Mining and Related Operations/Operasi Pertambangan dan Operasi Terkait
Divisions: Fakultas Ekonomi dan Bisnis > Manajemen
Depositing User: NAJLA
Date Deposited: 19 Feb 2024 04:09
Last Modified: 19 Feb 2024 04:09
URI: http://repository.mercubuana.ac.id/id/eprint/86223

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