Analysis of Factors Affecting Tuition Fee in a Private University: A Data Mining Using VAR Model

Abstract

The purpose of this study is to deals with a data mining to extract knowledge regarding factors which affect tuition fee and predict future amount of the tuition fee. Specifically this paper aims to know what factors do affect tuition fee of a private university in eastern part of Indonesia. We used a vector autoregressive (VAR) model with variables including tuition fee, inflation rate, number of enrolled students and regional minimum wage. The data covers from January 2010 to December 2018 and were collected from the private university, the Bank Indonesia, the Central Bureau of Statistics (CBS), and the South Sulawesi office CBS. We carried out a step-by-step procedure that consists of stationarity test, optimal lag determination, and significance of parameters test as well as un-correlatedness of residuals and structure stability tests. We found that the tuition fee and the number of students are affected by inflation. This result gives impact on tuition fee prediction.