Co - integration of agriculture, manufacturing, and services to economic growth in Malaysia / Siti Norhafizah Mustapha

• Main Author: Mustapha, Siti Norhafizah
• Format: Student Project
• Language: English
• Published: 2012
• Subjects: Agricultural industries; Manufacturing industries
• Online Access: https://ir.uitm.edu.my/id/eprint/75921/1/75921.pdf; https://ir.uitm.edu.my/id/eprint/75921/

This paper investigates the co-integration of agriculture, manufacturing, services sectors to the economic growth in Malaysia as a developing country in the short-run and long-run. Also to examine the causality among the variables. This all sectors contribute more to the country and as the main resources to the economic growth in Malaysia. We employ the data using data for the period 1980 to 2010 and gathered from the World Bank. The variables will be uses are agriculture, manufacturing, services and gross domestic product (GDP) per capita. The empirical analysis is based on the Johansen's multivariate test, Vector Error Correction Model, and Granger Causality test. An estimation results focuses on the significant of the agriculture, manufacturing, and services to the economic growth in Malaysia. After regress through unit root test, we find that the all variable is significant are significant to the economic growth in short-run and long-run.