Energy Consumption and Economic Growth Nexus in China : Autoregressive Distributed Lag (ARDL)

This paper intends to investigate the nexus between energy consumption, carbon dioxide emission, total export and economic growth of China from 1971 to 2014. This study adopted Autoregressive Distributed Lag (ARDL) bounds test to examine the existence of short-run and long-run relationships among the variables. Empirical findings indicated that energy consumption contribute to economic growth while carbon dioxide emission is impeding the growth. There is a positive long-run relationship between both energy consumption and total export with economic growth of China. However, a negative relationship is observed between carbon dioxide emissions and economic growth. Hence, in terms of policy recommendation, policymakers can implement a balance environment-economic policy; reduce the carbon dioxide emission by imposing carbon tax; promote renewable energy among the industries and households and promoting reserves forest policy is needed for aspiration of sustainable growth for both environmental and economic

The Effect of Public Debt on Energy-Growth Nexus: Threshold Regression Analysis

ASEAN countries are dealing with challenging external environment recently with the deterioration of the global commodity price and the volatility of oil price. Most of the developing countries rely heavily on the energy consumption for the economic development purpose especially ASEAN countries which are the major energy exporter like Malaysia and Indonesia. This study aims to examine the relationship between energy consumption and economic growth from the perspective of public debt for Indonesia and Malaysia between periods of 2000 - 2013 via the threshold regression analysis. Our empirical results indicate that there are significant relationship between energy consumption and economic growth from the public debt threshold perspective for both countries. The analysis of Indonesia shows that higher level of public debt will lead to greater impact on energy consumption and economic nexus. In contrast, the impact of the energy consumption on economic growth for the case of Malaysia indicates a diminishing trend in the energy and economic growth nexus when the public debt is above the threshold level. Important policy implication from this study suggests that Indonesia and Malaysia should be more careful in formulating the energy consumption related policy by considering different perspectives such as public debt level of the nation. Moreover, both countries should consider reducing their dependence on the non- renewable energy resources and shifting to renewable energy resources such as solar, hydro, landfill gas for their economic development in the future

The impact of foreign direct investments on the economic growth rate and domestic investments of Malaysia / Yong Sze Wei, Chong Vui Hok and Gan Siew Ling

Malaysia was among the countries in Southeast Asia which experienced rapid economic growth since the 1970s. In fact, during the period, Malaysia underwent significant economic transformation, from an agricultural-based to a manufacturing and service-based economy. Although her growth was somewhat derailed by the Asian Financial Crisis in 1998 - 1999, Malaysia had since recovered. The recovery was seen to be in no small part due to the contribution from foreign and domestic investments. In particular, foreign direct investments (FDIs) had been viewed as an engine of economic growth in Malaysia through its spillover effects such as capital injection, technology transfer and creation of job opportunities. In spite of the perceived beneficial impacts of FDIs, the government targetted to reduce Malaysia's dependence on FDIs and to raise the proportion of domestic private investments (DPIs) to 60% of total investments by 2020. Therefore, does the inflow of FDIs in Malaysia crowd out domestic investment or complement it? Due to that, the main objective of the study is to investigate the relationship and effect of domestic investment in boosting the Malaysia economic growth as compared with foreign direct investment in this globalization era. The time series data from the period of 1970 until 2009 will be adopted in order to capture the different implications of the domestic and foreign investment towards Malaysia economic growth particularly prior and post crisis. Methods that applied in this study consist of Unit Root Test, Cointegration Test, Granger Causality Test based on Error Correction Model and Impulse Response function. Major contribution of this study is to provide essential insights to the policymaker in strategizing the appropriate policies to the allocation of aggregate investment for the countr

Modeling Malaysia Debt Threshold : Debt Composition Perspective

This study intends to examine the effect of the debt on economic growth of Malaysia from the perspective of domestic debt and external debt. Furthermore, the impact of different type of debts on growth upon either above or below certain threshold level of the debt also investigated using Threshold regression method for sample period 1980-2015. Empirical findings indicate that the threshold level for domestic debt is approximately 37% of GDP while 4% of GDP for external debt. Initial domestic debt accumulation contributes positively to the economic growth of Malaysia when the domestic debt level is below the threshold level but becomes detrimental to economic growth when the debt level exceeds the threshold level. On the other hand, external debt has negative impact on the economic growth when the debt is below the external debt threshold and become positive when exceed the threshold level. In terms of policy recommendation, government has an uphill task in managing the debt at optimal level as different type of debts and levels of debt may have different impact on the economic growth

Estimation of the Public Debt Threshold of Malaysia

Public debt becomes an essential global issue where a country has a tendency to seek alternative to borrow abroad in order to cushion any severe negative impact due to economic shocks. This is due to the assumption that a country can run into deficit in current year with the expectation that it will turn into surplus in the future. Malaysia as one of the emerging economies experienced decreasing trend of public debt of GDP in the 1990s, but in the 2000s, the scenario has changed and settled at 55% of GDP in 2015. This study adopts Threshold Regression method to determine the public debt threshold from 1991:Q1-2014:Q4 and to estimate the impact of the different debt levels on the economic growth in the long-run. There is a positive impact of debt on growth when public debt is below 41% of GDP and marginal impact when the debt level between 41%-53% of GDP. However, there is a detrimental impact on growth when public debt exceeds 53% of GDP. Therefore, policy developed should address in managing optimal level of public debt position and the quality of the debt

Analysis of International Capital Mobility in ASEAN-5 Countries: Savings-Investment Nexus

This paper analyzes the degree of the international capital mobility via the national savings and investment relationship in ASEAN-5 countries, namely Indonesia, Malaysia, Thailand, the Philippines and Vietnam over the period 1980 to 2013 using panel data method. Besides, this paper also investigates the impact of the international capital mobility for three sub-periods: period prior to 1997 Asian financial crisis (1980-1996), period after the 1997 Asian financial crisis (1997-2007) and period after the 2008 global financial crisis (2008-2013). The findings of this paper indicate that the degree of the international capital mobility is at the moderate level for the period 1980 to 2013. However, the finding of the sub-periods after 1997 Asian financial crisis and 2008 global financial crisis indicating an upsurge degree of the capital mobility in ASEAN-5 countries. This might be due to the adoption of export oriented policy and the capital account liberalization in the 1990s and closer economic cooperation in the East Asia region aftermath both of the global and Asian financial crises. It is crucial for government and policy makers to monitor closely on the trend of international capital mobility to prevent financial risks as well as develop efficient policy and financial regulatory to achieve the policy coordination among the ASEAN members

Determinants of Foreign Direct Investment Outflow of Malaysia : Vector Error Correction Model

This study aims to investigate the determinants of outwards FDI of Malaysia. This study adopted annually data of outwards FDI, market size, trade openness, technology level, and exchange rates which ranging from 1986 to 2016. Augmented Dickey-Fuller (ADF) unit root test, Johansen and Juselius cointegration test and Vector Error Correction Model (VECM) are employed to determine the relationship between the outward FDI and its determinants. The results of unit root tests show that all the variables were stationary after first difference, I(1). Besides that, the cointegration results imply a stable long run equilibrium exist between variables. Based on VECM results, the outwards FDI is affected by all the explanatory variables in both short run and long run. The results obtained are beneficial for the government and policy makers to implement and enhance the outwards FDI in Malaysia

Godtfredsen syndrome – recurrent clival chondrosarcoma with 6years follow up: a case report and literature review

Background: We report a rare case of Godtfredsen syndrome caused by clival chondrosarcoma and perform a review of literatures. This article also explains the clinico-anatomical correlation of this rare neurological syndrome. Case presentation: A 22-year-old gentleman presented with binocular diplopia. Clinical examination revealed an isolated right abducent nerve and right hypoglossal nerve palsy, with other cranial nerves intact. Neuroimaging revealed a right clival mass. Supraorbital craniotomy and tumour debulking were done in the same year. Histopathological examination showed low-grade chondrosarcoma. After 5-years of default, he came back with the tumour enlarged. He underwent a right orbitozygomatic craniotomy and tumour excision with 33 cycles of radiotherapy. Despite two surgeries and radiotherapy, the abducent nerve and hypoglossal nerve did not improve throughout 6 years of follow-up. Cranial nerve VI palsy is not always a false localizing sign, in Godtfredsen syndrome it serves as a localizing sign. Conclusion: To the best of our knowledge, this is the frst case report of Godtfredsen Syndrome secondary to clival chondrosarcoma. Cranial nerve VI and XII palsy with no involvement of other cranial nerves, most likely the pathology is located at the clivu

Twin Deficits And Debt In Asean-5 Countries: Panel Data Analysis

In view of the globalization, current account deficit and fiscal deficit remain the concern among the policy makers. This is due to the importance of the fiscal policy in governing the current account deficit of a country. This study aims to investigate the Twin Deficits phenomenon in ASEAN-5 countries (Indonesia, Malaysia, Philippines, Singapore and Thailand). In addition, the interaction between Twin Deficits and public debt also included in this study to examine the effects of the fiscal policy on current account deficit when considering the different levels of public debt. Panel data analysis is adopted and the sample period covers from 2000-2014 using annually data. Empirical findings indicate that evidence of Twin Deficits can be observed in the ASEAN-5 countries. In terms of the public debt levels, existence of positive association between current account deficits and fiscal deficits only can be observed when the public debt level is considered high