An analysis of relationship between Malaysia economic growth and inflation in the previous economic policy / Tismazammi Mustafa, Hapiza Omar and Iskandar Hasan Tan Abdullah

The most important basic objectives for any countries in this world are to sustain high economic growth with low inflation. Thus, this study attempts to investigate the relationship between economic growth rate and inflation rate in Malaysia based on Previous Policy of Malaysia. Using the annual...

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Main Authors: Mustafa, Tismazammi, Omar, Hapiza, Abdullah, Iskandar Hasan Tan
Format: Research Reports
Language:English
Published: 2012
Subjects:
Online Access:https://ir.uitm.edu.my/id/eprint/35010/1/35010.PDF
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author Mustafa, Tismazammi
Omar, Hapiza
Abdullah, Iskandar Hasan Tan
author_facet Mustafa, Tismazammi
Omar, Hapiza
Abdullah, Iskandar Hasan Tan
author_sort Mustafa, Tismazammi
collection UITM
description The most important basic objectives for any countries in this world are to sustain high economic growth with low inflation. Thus, this study attempts to investigate the relationship between economic growth rate and inflation rate in Malaysia based on Previous Policy of Malaysia. Using the annual data for the period 1970-2008, economic root test unit, integration test and Granger Causality test are used. According to this study, the empirical results showed that the data is stationary at level. The finding also shown the results integrate in long run relationship between inflation rate and economic growth rate. The Granger Causality test did not show bidirectional between economic growth rate and inflation rate. But, a uni-directional causality is found from inflation rate to economic growth rate. Hence, there is exist short run causality between variables in uni-directionally.
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spelling oai:ir.uitm.edu.my:350102021-03-29T07:29:57Z https://ir.uitm.edu.my/id/eprint/35010/ An analysis of relationship between Malaysia economic growth and inflation in the previous economic policy / Tismazammi Mustafa, Hapiza Omar and Iskandar Hasan Tan Abdullah Mustafa, Tismazammi Omar, Hapiza Abdullah, Iskandar Hasan Tan Economics Industry Economic development The most important basic objectives for any countries in this world are to sustain high economic growth with low inflation. Thus, this study attempts to investigate the relationship between economic growth rate and inflation rate in Malaysia based on Previous Policy of Malaysia. Using the annual data for the period 1970-2008, economic root test unit, integration test and Granger Causality test are used. According to this study, the empirical results showed that the data is stationary at level. The finding also shown the results integrate in long run relationship between inflation rate and economic growth rate. The Granger Causality test did not show bidirectional between economic growth rate and inflation rate. But, a uni-directional causality is found from inflation rate to economic growth rate. Hence, there is exist short run causality between variables in uni-directionally. 2012 Research Reports NonPeerReviewed text en https://ir.uitm.edu.my/id/eprint/35010/1/35010.PDF An analysis of relationship between Malaysia economic growth and inflation in the previous economic policy / Tismazammi Mustafa, Hapiza Omar and Iskandar Hasan Tan Abdullah. (2012) [Research Reports] <http://terminalib.uitm.edu.my/35010.pdf> (Unpublished)
spellingShingle Economics
Industry
Economic development
Mustafa, Tismazammi
Omar, Hapiza
Abdullah, Iskandar Hasan Tan
An analysis of relationship between Malaysia economic growth and inflation in the previous economic policy / Tismazammi Mustafa, Hapiza Omar and Iskandar Hasan Tan Abdullah
title An analysis of relationship between Malaysia economic growth and inflation in the previous economic policy / Tismazammi Mustafa, Hapiza Omar and Iskandar Hasan Tan Abdullah
title_full An analysis of relationship between Malaysia economic growth and inflation in the previous economic policy / Tismazammi Mustafa, Hapiza Omar and Iskandar Hasan Tan Abdullah
title_fullStr An analysis of relationship between Malaysia economic growth and inflation in the previous economic policy / Tismazammi Mustafa, Hapiza Omar and Iskandar Hasan Tan Abdullah
title_full_unstemmed An analysis of relationship between Malaysia economic growth and inflation in the previous economic policy / Tismazammi Mustafa, Hapiza Omar and Iskandar Hasan Tan Abdullah
title_short An analysis of relationship between Malaysia economic growth and inflation in the previous economic policy / Tismazammi Mustafa, Hapiza Omar and Iskandar Hasan Tan Abdullah
title_sort analysis of relationship between malaysia economic growth and inflation in the previous economic policy tismazammi mustafa hapiza omar and iskandar hasan tan abdullah
topic Economics
Industry
Economic development
url https://ir.uitm.edu.my/id/eprint/35010/1/35010.PDF
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