Human Falah Jurnal Ekonomi dan Bisnis Islam | State Islamic University of Sumatera Utara Meda (original) (raw)

Volume 2, No. 1 Januari - Juni 2015 by Human Falah Jurnal Ekonomi dan Bisnis Islam

The role of the capital market as a source of funding companies that have significant implication... more The role of the capital market as a source of funding companies that have significant implications for the country's economy is not just an alternative but has been able to become a major funding source. Funds offered in the capital market through some corporate action such as recording the initial stock (initial public offering / IPO), the listing of new shares (rights issue) as well as the issuance of bonds annually assessed far more efficient than the funding obtained from the company's bank loans. Especially when inflation trends are increasing, which indirectly affects the interest rates of bank loans. The number of companies listed IPO, rights issue or bonds as well as funds raised from the three corporate action recorded significant results in each year. Although there are fluctuations in comparison, which is influenced by the economy at home and abroad, in each year, but it did not dampen the interest of companies to keep funding in the capital markets.

In economic literature, the term distribution has two connotations, namely; first; distribution a... more In economic literature, the term distribution has two connotations, namely; first; distribution associated with the production or the continuation of production activities. Second; distribution associated with income distribution. distribution are various strategies that do (marketing strategy) so that the product can be up to the hands of consumers by the number, the place and the right time. Distribution of the meaning of the spread of prosperity is essential in the teaching of Islam, as revealed by Allah in the Qur'an. al-Hashr / 59: 7, namely that wealth (assets) not circulate among the rich only. This verse contains the teaching that poor people become the responsibility of affluent people to sympathize and give social security. Party sufficiency and sympathize this in the Islamic view assumed by the state.

Special Economic Zones (SEZs) Sei Mangkei located in Simalungun has a location adjacent to the Po... more Special Economic Zones (SEZs) Sei Mangkei located in Simalungun has a location adjacent to the Port Hub International Kuala Tanjung. Location of KEK Sei strategic Mangkei connected by train along the 20 miles of High City to Kuala Tanjung. Railroad construction is planned to be completed and can be used in 2014. Intermodal connectivity between KEK Sei Mangkei to the Port of Kuala Tanjung very necessary to reduce stagnation and damage to roads and to support the customs facilities required in a special economic zone. In the establishment of special economic zones, will create an interconnected agglomeration that can improve the industry for the surrounding area and the spirit of entrepreneurship. In the study contained in www.kemenperin.go.id/artikel/22/ explained that a number of industries are being and will be built in the area of Palm Oil Industrial Cluster Sei Mangke, North Sumatra, which was built to increase the added value of palm oil in Indonesia. Besides the addition of plant oil kelaps (MCC) PTPN 3 with a total capacity of 75 tons per hour, also will be built a few other industries. Start of power plant 2 x 35 mega watt, will also be built palm kernel oil mill berkapsitas 400 liters per day, biodiesel plants.

This paper is a study to analyze the linkage of the phenomenon of migration and its impact on fam... more This paper is a study to analyze the linkage of the phenomenon of migration and its impact on families and the regions they left behind. This study measured factors (push factor) and pull factors (pull factor) labor to move to the destination through the framework of the hedonic approach (hedonic approach). This study uses econometric models that are multiple choice models as tools to map the labor mobility trends using logistic multinominal approach. The study was conducted in nine underdeveloped areas, namely Ngawi, Bojonegoro, Tuban, Lamongan, Nganjuk, Bangkalan, Sampang, Pamekasan and Sumenep. Multinominal logistic model estimation results indicate that all variables in the model have a significant influence on decision making migrants.

Bayt al-Māl wa al-Tamwīl (BMT), which by law in Indonesia BMT is called as Koperasi Jasa Keuangan... more Bayt al-Māl wa al-Tamwīl (BMT), which by law in Indonesia BMT is called as Koperasi Jasa Keuangan Syariah (KJKS, Sharia Financial Service Cooperatives), is an ideal sharia banking activities, where those activities involve all of community component: micro, small, medium, and high economic class. BMT is also classified as a constitutional sharia financial institution in Indonesia. Based on that fact, with appropriate to the law, BMT could involve in sharia financial industry and market complexities. The activities and involvements would bring consequences that BMT is included as financial institution that must be supervised and must allow periodic supervision related to its operational soundness. The research in this paper offers an analyzing of BMT operational soundness based on CAMELS rating system plus examination. The system is composed of integration of sharia banking CAMELS rating system that was researched by Muljawan and Sharia Banking Directorate – Bank Indonesia, and BMT performance calculation system that was formulated by Pusat Inkubasi Bisnis dan Usaha Kecil (Pinbuk, Center for Micro Enterprise Incubation). CAMELS plus system is sharia banking CAMELS that accommodates all of aspects of BMT character. CAMELS rating system plus is tested for analyzing BMT operational soundness. The accurate process is applied to synthetic and actual data of BMT, particularly with mathematics, accounting, and banking economics approximation. This system is accurate and capable for processing and analyzing step by step operational soundness of BMT: quantitative and qualitative aspects, including sharia aspects compliance. CAMELS plus assessment results are a composite rating of BMT operational soundness that is classified: quite sound (P1), sound (P2), sound enough (P3), less sound (P4), or unsound (P5); analysis and rating of soundness of every indicator, major area, and component of CAMELS; constructive advices of BMT soundness quality improvements; action plan and analysis of operational continuities. CAMELS plus results, which is continued with action plan and analysis of operational continuities, will give the best solution, whether BMT must stand in or improve its soundness qualities, for quite sound of BMT continuities.

This study aims to identify the monetary transmission process from Islamic financing of Islamic b... more This study aims to identify the monetary transmission process from Islamic financing of Islamic banks mechanisms in Indonesia and prove whether the Islamic financing mechanism will create a balance between the monetary and the real sector, causing a reduction in the rate of inflation. The variables of this study were the rate of inflation, PUAS, SBIS and Islamic financing of Islamic banks using time series data. Data were analyzed using the VAR. The results showed that in the short term total PUAS, total SBIS and total Islamic financingof Islamic bank in a stable relationship to therate of inflation.

This research aims at empirically examiing the differences between conventional and Islamic stock... more This research aims at empirically examiing the differences between conventional and Islamic stock returns. It also attempted to test the differences between the average return of 30-day before Eid and 30-day after Eid, and the effects of weekend, January and Ramadan on the rate of closing daily stock returns of the Jakarta Islamic Index and Index of LQ-45 in the Indonesian Stock market during the period December 1, 2009 to January 30, 2014. The method of analysis used to test the differences between the conventional and Islamic stock returns is the Independent sample t-test, while the dependent sample t-test is used to test the differences between the average return of 30-day before Eid and 30-day after Eid. Finally, to empirically examine the influence of the effects of the weekend, the January effect, and the Ramadan effect on the stock returns, the study used the Ordinary Least Square regression. The study documented that that there was no difference between the returns of Islamic and conventional stocks in Indonesia. The study also found that there was no difference between the average return of 30-day before Eid Fitri and 30-day after Eid. Finally, the study also found that there was an absence of the phenomenon of the weekend effect, January effect and the effect of Ramadan during the study period both in the Islamic and conventional stocks in Indonesia.

Islamic economics as a discipline has a foundation of epistemology. The main problem in the devel... more Islamic economics as a discipline has a foundation of epistemology. The main problem in the development of economics and Islamic finance in Indonesia is still the gap between the needs of industry and graduate from college. This study aims to analyze how epistemology and the development of Islamic economics and the curriculum structure of Islamic economics in universities that teach Islamic economics and what is effective approach to be applied so that graduates can meet the needs of the financial industry Islamic economics. The method used in this study is a content analysis is used to explain the depth of the curriculum of Islamic economics in college. Based on the results of the study found that the difference was the presence of Islamic economics learning systems in higher education so that graduates produced by universities that teach Islamic economic is still little that can meet the market needs of the Islamic financial industry.

Volume 2, No. 2 Juli - Desember 2015 by Human Falah Jurnal Ekonomi dan Bisnis Islam

BWI-SU existence in waqf plays a very important for developing or not all waqf property. Nazhir a... more BWI-SU existence in waqf plays a very important for developing or not all waqf property. Nazhir assigned the duty to maintain and administer endowments objects, where this sense then in Indonesia developed into a group of persons or legal entities entrusted with the task to maintain and take care of charitable objects. In addition, Nazhir also have an obligation to maintain, develop and preserve the benefits from property for people who are entitled to get it, means that the function and malfunction of an waqf depending on Nazhir. This paper aims to determine the effect of the variable perspective of Nazhir namely managers in BWI SU against the odds increase endowment fund. The authors conducted a survey on the BWI SU. Sampling method used is convenience sampling method on 20 Nazhir or managers of waqf. Writer using multiple regression method. In this study the variable perspective endowment managers at BWI SU consists of professionalism, socialize, network and data base where these variables is the source of the increase in endowment funds. So the goal of the author that in order to maintain the professionalism, continue to socialize and build a network line and further increase in the application database.

This research aims to know the: (1) partially there was significant influence between the religio... more This research aims to know the: (1) partially there was significant influence between the religious factor, economic interests and against the preference of employees of UIN-SU in saving in Islamic banks, and (2) simultaneous significant influence among religious factors, economic interests and against the preference of employees of UIN-SU in saving in the Islamic bank. This research uses a quantitative research method. A quantitative approach is an approach that emphasizes on testing theories or hypotheses through measurements of the variables research in numbers and perform data analysis with statistical procedures. The research design used the design quantitative research using multiple linear regression analysis technique is supported by a test model and statistical tests. This paper give For variables of interest and economic variables have no significant influence on the trend of saving.

Humans are basically predisposed negative predisposition, Recognizing the negative elements in th... more Humans are basically predisposed negative predisposition, Recognizing the negative elements in the form of lust soul (al-hawa, al-syahwah), then the best way to fight lust other than through education (ta'dib), is through training (al-tajribah, al-mu'anah, and al-riyadhah). Therefore, author wanted to explain the need for guidance to align human behavior is based on the concept of economic philosophy of Islam and Islam as a benchmark will give birth to the Islamic mindset and if practiced will lead to a pattern of behavior that is worth Worship Islamic. In general it can be called: basically Human behavior can be directed and patterned suit establishmen their shapes, an important role or even very important in the context of this establishment, good education comes from ling-kungan family, school, and the environmental community, and the policy and the will of the government.

Philosophy is the mother of all sciences. The development of each discipline basically begins wit... more Philosophy is the mother of all sciences. The development of each discipline basically begins with philosophical thinking. Thinking philosophy on an object, thought to the roots of the birth of an object. In a simple philosophy can be defined as thinking in order freely and with deep, so get to the bottom of the issue (Muslih, 1973: 3). In the development of the study of philosophy that gave birth to the science studied scientifically. Sociological developments make knowledge of the results of the study of philosophy into a lifestyle even become worldview (Weltanschauung). This happens not only among scientists but also among ordinary people in general, whether consciously or not, has hegemony by the authority of a particular mindset (Muslih, 1973: 26-27). In realizing the happiness of the world and the hereafter can be extracted from the Qur'an and Sunnah. In this case, the concept of Islamic economics explore the concept of happiness in the level of economic practice. In the context of Islamic economics, happiness (Falah) is the main aim of the economy. It can be seen from the definition of economics itself, the efforts of the allocation of resources to produce goods and services in accordance with the instructions of Allah to earn His pleasure (Ahmad, 1993: 177), comes with a foundation of morality is very thick, and make falah as the main goal. Maslahah concept is the foundation to solve the problem "relative scarcity" of natural resources and human resources. This will regulate how natural resources are distributed evenly through the consumption of the commodities needed to realize maslahah. Production of the commodity in order to maslahah reached. Distribution of resources and commodities to the public so that every individual can reach maslahah.

s This research examines the practice of profit and loss sharing (PLS) in fishery system in Tapak... more s This research examines the practice of profit and loss sharing (PLS) in fishery system in Tapak Kuda village of Tanjung Pura, District of Langkat. This system is implemented by the fishermen and involved many parties. This kind of profit and loss sharing system has been a local wisdom of the community of this village. This reseach finds that this type of local wisdom is a result of internalization process in the context of social construction since long time ago. This internalization involved many factors. For further study, this research recommends a deeper study on local wisdom related to Islamic economic activity of Indonesian society.

In Islamic law known as waqf property are ibdal and istibdal. Three schools namely, Shafi'i, Mali... more In Islamic law known as waqf property are ibdal and istibdal. Three schools namely, Shafi'i, Maliki, Ja'fari impressed and very cautious in allowing the sale and replacement of goods endowments. Basically, the community hold the principle that the waqf land should only be attempted or managed by the trust Wakif, in general, because the donated land is handed over to the mosque, then using or utilization should also be utilized for mosques. Perwakafan circumstances contained in Aceh Besar district, especially in the two sub objects once the research potential to be developed primarily to finance the education sector.

This paper discusses the policy of national financial reserves as a source of long-term developme... more This paper discusses the policy of national financial reserves as a source of long-term development funds. The issue is whether a policy or strategy should be tailored to the identity of Indonesia with due regard to the prevailing generality or generally accepted business condition. How is the impact on poverty, employment and welfare of the citizens of the Nation. Very influential national financial reserve also to the welfare of society. Therefore, the establishment of a social security system program becomes necessary.

Interest is an additional charging on the transaction of money loan that can be calculated in pri... more Interest is an additional charging on the transaction of money loan that can be calculated in primarily loan without considering the benefit of this loan. Now days, Muslims could not avoid their selves from muamalah with the conventional banks who use the system of interest in all aspects of life, including their religious life and primarily their economic life. Nevertheless, Islamic banking is expected to avoid the application of the interest system and consistency in applying the mudhrabah system. Therefore, where the mudarabah system is a business cooperation agreement between the two parties, in which the first party provides the overall of capital, while others become managers. Mudarabah business profits are divided according to the contract agreement, whereas if the loss, responsible by the owners of the capital as long as the loss is not due to negligence of manager. Had the losses caused by fraud or negligence of the manager, then the manager should be responsible for the losses. Therefore, Islamic banks also apply Wadi'ah system which can be interpreted as a pure deposit of one party to the other, both individuals and legal counsel entities that must be preserved and restored anytime depositors' wills. Therefore, Islamic economic principles which have been applied in this case are Mudarabhah, Musharakah, and Murabahah.

Volume 1, No. 1 Januari-Juni 2014 by Human Falah Jurnal Ekonomi dan Bisnis Islam

Lemma is a statement that can be accepted as a theoretical assumptions derived from axioms. A the... more Lemma is a statement that can be accepted as a theoretical assumptions derived from axioms. A theory is formed as a reflection of reality and proportion of the lemma is sourced from the axiom that the level of its truth comes from revelation. This paper aims to explore qawâ'id al-fiqhiyah, including al-dhararu yuzâl, as a statement from the ultimate source of truth, revelation (al-Quran and Hadith) as a lemma to build Axioma in economic studies. This axiom then is made as basic arguments in the compilation of Islamic economic theory.

The Islamic scholars and its institutions have an important role in strengthening the knowledge a... more The Islamic scholars and its institutions have an important role in strengthening the knowledge and horizons in Mu'amalat Fiqh and Syari'ah economics so such an important role can be effectively implemented. However, in this case the most important things is a commitment; firstly need to be built a strong commitment among the Islamic scholars and the religious teaching institutions to develop syari'ah economics, for the welfare of the people and the nation.

The following article depicts the impact of the implementation of modernization of rural economic... more The following article depicts the impact of the implementation of modernization of rural economic-politic (system) in the new order era towards its natural resources, which had put them, the peasant community, in disadvantaged position, especially those belong to the poor group of civil society, since they prioritized more on the preservation of the foreign investments which at the end led to the issue of the maintaining the status quo of the new order regime and their political interests; as well as illustration of the rural renewal strategy.

The research is aimed to identify Zakat problems encountered in Indonesia. The programs and probl... more The research is aimed to identify Zakat problems encountered in Indonesia. The programs and problems were faced by Zakat institutions (OPZ) in carrying out its functions on collecting, distributing, and empowering Zakat and proposing some ideas to solve the problems. The method used was modified action research by carrying out two main steps namely problems identification and ideas proposal as the solution to the problems. The informants of the research are Zakat stakeholders including The Directorate of Zakat Empowerment, the state-supported Zakat Collecting Board (BAZNAS), the privately run institution of National Zakat Collectors (LAZNAS) of Dompet Dhuafa, Zakat practitioners, mustahiq (Zakat recipients), and muzakki (Zakat payers). The research results show that Indonesia " s problems of Zakat which include the remaining disagreement among Zakat stakeholders on the organization models of Zakat collector and distributor, the lack of synergies employed by Zakat organizations and the limited number of Zakat officials. Besides that, can be identified that zakat empowerment and distribution are divided into two groups namely charity and empowerment. Related to the problems of Zakat institutions, the problems are the overlapping of empowerment programs among the institutions, the inaccurate data of mustahiq and muzakki, the limited number of partnerships among zakat institutions, expensive promotion model, and the limited number of professional Zakat officials. The ideas proposed for solving the above problems are the government to accommodate all the existing Zakat institutions with the approach of affiliation, the synergy among the institutions with the approach of area, collecting programs, distribution and empowerment and the standardization of Zakat officials. While the agenda of action that related to the Zakat institution problems are the compilation of mustahik and muzaki " s data through the role of mosques, the preparation of Zakat officials in the cooperation with higher education, making Zakat as a national program across departments, the collaboration with the affiliation of Indonesian preachers (IKADI) and the Board of Mosque Management (DKM).

In today's modern economy, there is no doubt that the distribution is the most important sector i... more In today's modern economy, there is no doubt that the distribution is the most important sector in economic activity. Included in the Islamic economic perspective, the study of income distribution of profession zakat attract serious attention from Muslim economists because it has an important role for the welfare of society. The teachings of Islam called on every Muslim who has an income property that in their property threre are rights of others that must be fulfilled / distributed. Property income that is distributed to charity will positively impact the welfare of society in the islamic economic dimension.

This article discusses the empowerment of the poor through social capital approach. The formulati... more This article discusses the empowerment of the poor through social capital approach. The formulation of the specific problem is; (1) How does the social capital approach to improve the empowerment of the poor. (2) How is the effort done to solve the problem of poverty, but poverty persisted even show symptoms increase, although statistically likely to be reported decreased. Regardless of how the poverty statistics explores poverty reduction, poverty is in fact becoming increasingly worrisome problem. Study is a social science perspective. This study is an overview of poverty in Indonesia. Data were collected by means of describing and analyzed using descriptive analytical models. The results showed: (1) Poverty is a social problem that is becoming increasingly complex and complicated. (2) A lot of effort was made to solve the problem of poverty, but poverty persisted even show symptoms increase, although statistically likely to be reported decreased.

Islamic financial institutions have a very important position as an institution of sharia-based I... more Islamic financial institutions have a very important position as an institution of sharia-based Islamic economics in the national development process and can keep people from usury economic system. The existence of Islamic financial institutions, both banks and non-bank affects the religious life of Muslims as a whole, regardless of sex male or female. Especially on non-bank financial institutions in the form of Islamic financial services cooperative that is in the villages will be showing the involvement of women in policy making and operation of the financial institution. In addition, with the position of women as housewives who take an important role in regulating the domestic financial system. Islamic microfinance institutions in Tanah Datar District pioneering majority are women so that they directly act as manager thus everything that is related about the policy and decision-making for the development of financial institutions and Mikros dominant operation is done by women. Thus women in Islamic microfinance institutions in Tanah Datar has major role in determining the development of the Islamic microfinance institutions.

This study aims to identify and analyze the influence of the Capital Adequacy Ratio (CAR) against... more This study aims to identify and analyze the influence of the Capital Adequacy Ratio (CAR) against Non-Performing Loans (NPLs) industry banking. Keyword: capital adequacy ratio (car), kredit non-performing, industry banking. Abstrak Penelitian ini bertujuan untuk mengidentifikasi dan menganalisis pengaruh Capital Adequacy Ratio (CAR) terhadap Kredit Non-Performing (NPL) industri perbankan. Kata kunci: capital adequacy ratio (car), kredit non-performing, industri perbankan.

Tourism is one of the means of developing the concept of Islamic economics is taken from the Kora... more Tourism is one of the means of developing the concept of Islamic economics is taken from the Koran. Allah has given human gesture to take a trip whose purpose is to strengthen the faith and confidence as well as to provide motivation. With the gesture is at least could pave the way for the development of sharia-based businesses other than banking.

Insurance is an effort of anticipating the life to reduce the risks that can arise at any time in... more Insurance is an effort of anticipating the life to reduce the risks that can arise at any time in human beings in the future. Islam also have warned people to prepare for a better tomorrow. Insurance began to be developed in the western world in the system of human life since decades. However, fundamentally, a lot of things on the way along with the other financial institutions that are not in line of Sharia principles. Even in their own insurance there are new innovations in its development trajectory that increasingly can not escape from Maysir (gambling), Gharar (deceit) and Riba (interest). Therefore, insurance have become essential human needs, including Muslims, it is very important to know what has been formulated by Muslim scolars associated with the implementation of systems and mechanisms Islamic insurance which is in line with the values of Islam.

This paper aimed to compare the performance of Amil Zakat Board and Amil Zakat Institutions in ma... more This paper aimed to compare the performance of Amil Zakat Board and Amil Zakat Institutions in managing zakat funds in the region of West Sumatra province, based on data in 2010. The Comparisons were made by measuring the performance of these two institutions which include five aspects of assessment namely 1) Performance of Shariah compliance, legality and institutional 2)

The object of this study is consumen of Islamic bank. But this study different with mostly study ... more The object of this study is consumen of Islamic bank. But this study different with mostly study which is focus on factor that influence customer choosing Islamic Banking. By focus on mapping for Islamic bank " s customer in Indonesia according to their characteristic such as age, income level, level og education, and sex, this research elaborate customer's demand basic on their characteristic. Methods use of the study by proposed a model of demand on customer. Reseach use proposed model by Dar (2008) in demand index. By this model, we found that there is 3 cateogries of Islamic Bank's Customer with different characteristic. As a conclusion this study give recommendation how bank create their product basic on the availability of their customer based on their demand.

Financing activities which is one of the main tasks of Islamic banks, also became one of the sour... more Financing activities which is one of the main tasks of Islamic banks, also became one of the sources of revenue for Islamic banks, namely when the business is financed successfully giving the profit sharing in accordance with the target. Instead, the bank will experience a loss when the Shari'ah is apparently stalled investment, as channeled to companies that are not growing, or even bankruptcy. In order to the investment made by Islamic banks can provide a profit as expected, it is necessary to do investment analysis and monitoring. This paper will review about the investment management for Islamic banks.

Syari'ah banks today are growing rapidly, both in Indonesia and internationally. Syari'ah banks p... more Syari'ah banks today are growing rapidly, both in Indonesia and internationally. Syari'ah banks provide a new alternative for users of banking services to customers enjoy products with a profit-sharing system, a wide range of products covenants contained therein, including in the case of a partnership contract, in which the Islamic bank as a business corporation berproduk Musharaka mutanaqishah describe the activities and institutions that produce banking services for financing partnership assets decreased according to customer needs, but there is still debate about the implications for both the practical and the academic world.

This article explains that the murabahah contract applications on Shariah banking has some deviat... more This article explains that the murabahah contract applications on Shariah banking has some deviation (deviation), including murabahah financing practices that often occur in Shariah banks are not purely as a seller of goods as in the trade industry that sells goods directly to the buyer, because at large banks (Ba'i) do not have the goods. The role of banks as ba'i in murabahah financing is more aptly described as a financier and not a seller of goods, because the bank does not hold the goods, nor to take risks with it. Banks work as ba'i almost everything is only associated with the handling of documents. Markup imposed on murabahah contract is basically not much different from the system of interest. On the basis of these deviations, then the application syari'ah murabahah in the banking system cannot be expressed fully in accordance with the principles of shariah economy.

Inflation control in Indonesia is conducted through the monetary sector by the Bank of Indonesia ... more Inflation control in Indonesia is conducted through the monetary sector by the Bank of Indonesia as monetary authority through coordination with several ministries and regional leaders by means of TPID (Tim Pengendalian Inflasi Daerah – Team to Control Regional Inflation). However, inflation remains high on average. Such situation is unwelcome for the economy, one major reason being the general reduction of societal purchasing power. This article asserts that political economic method of controlling inflation through the monetary sector which is still based on bank interest is contradictive due to its very nature of increasing inflation. This method should be slowly changed to one that is based on profit-and-loss sharing. The role played by TPID in inflation control is an ideal concept to control inflation through the creation of a perfect market, as such TPID's seriousness is needed to execute programs which can contribute to inflation control. Society has an important role in inflation control through self-restraint based on transaction ethics. Transaction ethics is self-restrain to not increase price arbitrarily which could burden society itself. The amount of profit is indeed not limited, but it will be more socially beneficial (maslahat) when all society's members exercise self-restraint and do not raise price of one good arbitrarily, which can lead to the increase of price of other goods and prolonged inflation.