Export Diversification and Economic Growth in Malaysia
This paper examines the relationship between export diversification and economic growth in Malaysia. We use annual data from 1980-2007 and time-series techniques of cointegration and Granger causality tests to examine the long-run relationship and dynamic interactions among the variables. The result...
Saved in:
| Main Authors: | , , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Munich University Library
2010
|
| Subjects: | |
| Online Access: | http://ir.unimas.my/id/eprint/17940/1/Export%20Diversification.pdf http://ir.unimas.my/id/eprint/17940/ https://mpra.ub.uni-muenchen.de/20588/ |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| Institution: | Universiti Malaysia Sarawak |
| Language: | English |
| Summary: | This paper examines the relationship between export diversification and economic growth in Malaysia. We use annual data from 1980-2007 and time-series techniques of cointegration and Granger causality tests to examine the long-run relationship and dynamic interactions among the variables. The results show the presence of a unique
cointegrating vector among the four variables. Consistent with previous studies, we found that export diversification
plays significant roles to economic growth in Malaysia. This finding suggests that, in order to sustain future
economic growth under the static effect of multilateral and regional trade liberalization, Malaysia should diversify its
export commodities and develop greater social and economic cooperation with the rest of the world. As an export-
oriented economy, in the long run, export diversification strategy could help stabilizing Malaysia’s export earnings. |
|---|