Saving in Indonesia negatively impacts long-term investment, government policy change needed.
The study looked at how saving and investment are related in Indonesia from 1981 to 2018. They used tests to see if saving affects investment in the short and long term. The results showed that in the short term, saving doesn't directly impact investment, but in the long term, saving actually decreases investment. This means that saving could be used as a tool by the Indonesian government to boost investment over time.