Are we ready for mobile payment? / Seuk Wai Phoong … [et al.]

This study aims to identify the factors influencing the readiness and acceptance of mobile payment applications. The study is performed using the survey method. Quantitative data analysis are used to measure the relationship between the perceived usefulness, perceived ease of use, and perceived security on the readiness of Malaysian in using mobile payment applications. The results shown that perceived usefulness, perceived ease of use, and perceived security have a positive and significance relationship with the usage of mobile payment applications. Moreover, perceived ease of use is reported as the strongest factor towards usage of mobile payment applications, following by perceived security and perceived usefulness. This study is able to provide information on the current stage of use on mobile payment in Malaysia and it is also beneficial to the mobile payment facilities provider into find out strategies that could improve the acceptance and use of mobile payment application

A Study Of Relationship Between Commodity Price And Stock Price Using Ms-Var And Ms-Vecm Models

Siri masa kewangan dan ekonomi sentiasa menunjukkan kelakuan tidak pegun seperti ketidakseimbangan dan pertukaran rejim. Pertukaran data dan data lompat adalah kebiasaan dalam model siri masa. Financial and economic time series always show nonlinear properties such as asymmetry and regime switching. Structural change as well as break is often reported in the series

A Markov Switching Vector Error Correction Model on Oil Price and Gold Price Effect on Stock Market Returns

Stock market index represent a country growth and always as an interest for economist and statisticians. In this paper, the effect of oil price and gold price on stock market index on Malaysia, Singapore, Thailand and Indonesia are investigated and a two-regime Markov Switching Vector Error Correction model is used to examine the nonlinear properties model. Moreover, a two regime mean adjusted Markov Switching Vector Error Correction model is used in the study to capture the filtered and smoothed probabilities of the time series sequence in the economic model. Results found that the oil price and gold price affect the movement of the Malaysia, Singapore, Thailand and Indonesia stock market index and there is an asymmetric cycle since 97% of the total sample size is recorded in the growth state

Linear Vector Error Correction Model Versus Markov Switching Vector Error Correction Model To Investigate Stock Market Behaviour

The stock market can reflect the economy of a country. The movement of the stock market index may imply the economic condition in general. The 1997 Asian Financial Crisis and the 2008 Global Economic Crisis are examples of share depressions that impacted countries’ inflation, unemployment rates and gross national product (GNP). This study investigates how oil and gold prices impact the stock exchange using a linear vector error correction model (VECM) and a Markov switching vector error correction model (MS-VECM). The results show that oil and gold prices affect the stock market returns for the four selected countries, namely Malaysia, Singapore, Thailand and Indonesia. The MS-VECM is able to capture every change in the transition probabilities of the financial time series data and is more reliable than the linear VECM for examining the effect of oil and gold prices on the stock market

Analysis of Structural Changes in Financial Datasets Using the Breakpoint Test and the Markov Switching Model

The price movements of commodities are determined by changes in the expectations about future economic variables. Crude oil price is non-stationary, highly volatile, and unstructured in nature, which makes it very difficult to predict over short-to-medium time horizons. Some analysts have indicated that the difficulty in forecasting the crude oil price is due to the fact that economic models cannot consistently show evidence of a strong connection between commodities and economic fundamentals, and, as a result, regarded the idea that economic fundamentals help predict price values as random luck. This study aimed to overcome the limitations of the economic models through the detection of structural changes as well as breaks in the data, using a breakpoint test. The Markov switching model is used to address the price patterns that led to a different market state. The results show that there are several changes as well as breaks in the estimated model. Moreover, there is an asymmetric correlation between the crude oil price and the GDP

Multiple Breakpoint Test on Crude Oil Price

The impact of structural changes as well as breaks on oil price fluctuations is studied in this article. There are a few channels, such as domestic prices and inflation, that cause the effect of oil price to pass through the economy. The higher crude oil price is immediately followed by the increase in oil products such as gasoline and heating oil. The direct effects continue as people choose alternative energy sources, leading to the increase in price. Besides, the indirect effect on inflation as a result of the behavioral responses of the firms and workers which is known as the “second round” effects in which higher wages is being demanded. This article uses exploratory data analysis to discover the patterns of the variables’ series and then examines the relationship between oil price and consumer price index. Multiple breakpoint test is thereafter used to identify the structural changes in time-varying variables

User perception on urban light rail transit

Public transport is a shared passenger transport service available for public use. Increased population is accompanied by the increased demand for private vehicles. The exponential growth in the number of private vehicles will result in negative impacts such as air pollution, excessive noise, and traffic congestion. Additionally, customers’ perceptions on different aspects include safety, operation or time, comfortableness and cleanness of public transportation that are also essential in affecting their mode of choice when travelling. The public transport that is discussed in this paper is light rail transit. This paper intends to investigate the main purpose of using light rail transit and elucidate the public perspective of the light rail transit via factor analysis and correlation analysis. A questionnaire with five-point Likert scale was designed, and data were randomly selected from 200 light rail transit users in Kuala Lumpur, Malaysia. The results revealed that the majority of the customers use light rail transit to school or university. Moreover, most of the users satisfy with the safety, operation, cost, comfortableness and cleanness of the light rail transit. This can be concluded that light rail transit provides mobility and choice for everyone in the context of efficiency, health and safety, affordability, accessibility, and environmental friendliness. © 2019 by authors, all rights reserved

The Bitcoin Halving Cycle Volatility Dynamics and Safe Haven-Hedge Properties: A MSGARCH Approach

This paper introduces a unique perspective towards Bitcoin safe haven and hedge properties through the Bitcoin halving cycle. The Bitcoin halving cycle suggests that Bitcoin price movement follows specific sequences, and Bitcoin price movement is independent of other assets. This has significant implications for Bitcoin properties, encompassing its risk profile, volatility dynamics, safe haven properties, and hedge properties. Bitcoin’s institutional and industrial adoption gained traction in 2021, while recent studies suggest that gold lost its safe haven properties against the S&P500 in 2021 amid signs of funds flowing out of gold into Bitcoin. Amid multiple forces at play (COVID-19, halving cycle, institutional adoption), the potential existence of regime changes should be considered when examining volatility dynamics. Therefore, the objective of this study is twofold. The first objective is to examine gold and Bitcoin safe haven and hedge properties against three US stock indices before and after the stock market selloff in March 2020. The second objective is to examine the potential regime changes and the symmetric properties of the Bitcoin volatility profile during the halving cycle. The Markov Switching GARCH model was used in this study to elucidate regime changes in the GARCH volatility dynamics of Bitcoin and its halving cycle. Results show that gold did not exhibit safe haven and hedge properties against three US stock indices after the COVID-19 outbreak, while Bitcoin did not exhibit safe haven or hedge properties against the US stock market indices before or after the COVID-19 pandemic market crash. Furthermore, this study also found that the regime changes are associated with low and high volatility periods rather than specific stages of a Bitcoin halving cycle and are asymmetric. Bitcoin may yet exhibit safe haven and hedge properties as, at the time of writing, these properties may manifest through sustained adoption growth

Energy–Finance–Growth Nexus in ASEAN-5 Countries: An ARDL Bounds Test Approach

This study examines the relationship between energy consumption, financial development and economic growth for ASEAN-5 countries, namely Malaysia, Indonesia, the Philippines, Singapore and Thailand, over the period from 1980 to 2017. Finance–growth and energy–growth relationships have been well researched; however, the energy–finance–growth nexus is an equally important but less explored area. Our Auto Regressive Distributed Lags (ARDL) bounds test for cointegration results suggests that the variables tend to move together in the long run for all countries, apart from Indonesia. Our study also considers the effect of a structural break due to financial crisis and confirms that the break does not affect the long-term relationship among the variables; in other words, the financial crisis does not affect the energy–finance–growth nexus. Hence, considering the consistency of energy consumption, the importance of the energy sector must not be undermined, and appropriate energy policies are instrumental in maintaining a well-managed financial sector for sustainable economic growth