Millennial Muslim Behaviour towards Money during Covid-19 Pandemic Structural Equation Modelling Approach

Abstract

The millennial generation is a generation that is very reactive to environmental changes that occur around them, and also has more attention to money (wealth). This is no exception when the world is experiencing a crisis due to the Covid-19 pandemic. Millennial Muslims must adhere to ethical guidelines in accordance with Islamic sharia in any condition. This study aims to analyze millennial Muslims' behavior towards money during the Covid-19 pandemic. The research method used is Structural Equation Modelling (SEM). Data processing in this study used the Smart PLS 3.0 program. The results of data processing show that the R Square of Individual Behaviour is 0.401 or 40.1%. Furthermore, the results of the path coefficient can be concluded that of the 3 hypotheses made, 2 hypotheses are accepted and 1 hypothesis is rejected. The accepted hypotheses are money for precautionary needs and money for transaction needs. While the rejected hypothesis is money for speculative activities or contains gharar.