The dynamic of macroeconomics elements in Malaysia: further insight into causality analysis / Dayang Hummida Abang Abdul Rahman … [et al.]

This paper intends to explore the causality effect between Growth Domestic Product (GDP), population and unemployment in Malaysia. Based on the observation of Malaysia’s historical data, there is a distinct movement in each of these individual macroeconomics components over the years. Past literature within the same area has illustrated various patterns on the possibility of a causal relationship that each variable has on one another. Several stages of analysis are conducted to verify the presence of causality effect from Malaysian economic perspective, which includes unit root test that employs the Augmented Dickey Fuller (ADF), Phillips-Perron (PP) and Kwiatkowski-Phillips-Schmidt-Shin (KPSS) procedures, followed by Johansen and Juselius test of cointegration and Granger-causality test based on Vector Error Correction Model (VECM) using E-views software. Each procedure is conducted using Malaysia’s time series data for each of the three elements from 1980 to 2013 obtained from Malaysia’s Department of Statistics. Our findings revealed that there is one cointegration detected for the tested variables; whereas the results indicate that population can Granger cause unemployment in the short run. Furthermore, it is found that unemployment solely bears the effect from short run adjustment to bring about the long run equilibrium within the tested framework. This study is important for the policy maker to understand the reason behind the causality effect that could jeopardize the rate of unemployment in Malaysia. As the attention is given specifically to three variables particularly GDP, population and unemployment, this study is aimed at broadening the prospect for further investigation within the same area of macroeconomics

The Dynamic of Macroeconomics Elements in Malaysia: Further Insight into Causality Analysis

This paper intends to explore the causality effect between Growth Domestic Product (GDP), population and unemployment in Malaysia. Based on the observation of Malaysia’s historical data, there is a distinct movement in each of these individual macroeconomics components over the years. Past literature within the same area has illustrated various patterns on the possibility of a causal relationship that each variable has on one another. Several stages of analysis are conducted to verify the presence of causality effect from Malaysian economic perspective, which includes unit root test that employs the Augmented Dickey Fuller (ADF), Phillips-Perron (PP) and Kwiatkowski-Phillips-Schmidt-Shin (KPSS) procedures, followed by Johansen and Juselius test of cointegration and Granger-causality test based on Vector Error Correction Model (VECM) using E-views software. Each procedure is conducted using Malaysia’s time series data for each of the three elements from 1980 to 2013 obtained from Malaysia’s Department of Statistics. Our findings revealed that there is one cointegration detected for the tested variables; whereas the results indicate that population can Granger cause unemployment in the short run. Furthermore, it is found that unemployment solely bears the effect from short run adjustment to bring about the long run equilibrium within the tested framework. This study is important for the policy maker to understand the reason behind the causality effect that could jeopardize the rate of unemployment in Malaysia. As the attention is given specifically to three variables particularly GDP, population and unemployment, this study is aimed at broadening the prospect for further investigation within the same area of macroeconomics

Personal capabilities and social factor towards entrepreneurial intention: empirical evidence of Science and Technology undergraduate students / Jati Kasuma … [et al.]

Entrepreneurial intention is one of the focus and attention among researchers nowadays. The younger generation is encouraged to get involved in entrepreneurship. It may able to overcome the issue of unemployment rate by creating more job opportunities. The purpose of this study is to examine the relationship and influence of Personal Capabilities and Social Factors towards entrepreneurial intention among Science & Technology students. A total of 214 respondents of science and technology undergraduate students from both Universiti Malaysia Sarawak (UNIMAS) and Universiti Teknologi MARA (UiTM) Sarawak participated in the survey. The empirical results indicate that social factors were found to have positive relationship and significantly correlated with entrepreneurial intention. On the other hand, the relationship between personal capabilities and entrepreneurial intention was found to have a significant albeit weak positive relationship with entrepreneurial intention. Implication and future research direction are also discussed

Tourism and Hotels in Sarawak: Economic Performance

This study investigates the relationship between output growth in the hotels industry in Sarawak (in term of Revenue),tourist arrivals, exchange rate and economic growth in Sarawak, using the time series data from 1975 to 2004. An Augmented-Dickey Fuller (ADF) unit root test, Johansen and Juselius cointegration approach and causality test based on Vector Error Correction Model (VECM) were deployed to run the analysis. The findings show the existent of the long-run and short-run relationship between the variables. Besides that, the results reveal that tourist arrivals have apositive impact on growth. However exchange rate has a negative impact on economic growth