Regional income disparities in Malaysia: A stochastic convergence analysis
For the last four decades, income disparities across states in Malaysia continue to be a matter of concern. The existence of regional inequalities and the prospect that these inequalities may widen were recognized by the Malaysian government. The eight volumes of the 5-Year Malaysia Plan reflect t...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
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Faculty of Social Sciences and Humanities, UKM,Bangi
2012
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| Online Access: | http://journalarticle.ukm.my/5518/1/artikel9.pdf |
| _version_ | 1825725571624075264 |
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| author | Muzafar Shah Habibullah, AM Dayang-Affizzah, Chin-Hong, Puah |
| author_facet | Muzafar Shah Habibullah, AM Dayang-Affizzah, Chin-Hong, Puah |
| author_sort | Muzafar Shah Habibullah, |
| collection | UKM |
| description | For the last four decades, income disparities across states in Malaysia continue to be a matter of concern. The
existence of regional inequalities and the prospect that these inequalities may widen were recognized by the
Malaysian government. The eight volumes of the 5-Year Malaysia Plan reflect the determination of the Malaysian
government in alleviating if not totally eradicating the problem of regional or state level imbalances. The recent
Ninth Malaysia Plan has again emphasized regional development policies in bridging the gap of regional disparities
for the next five years. Using annual data for the period 1965 to 2003, the stochastic convergence definition
suggested by Bernard and Durlauf (1995), univariate unit root tests suggested by Oxley and Greasley (1995) and
panel unit root testing procedures proposed by Levin et al. (2002), Im et al. (1997) and Maddala and Wu (1999), our
findings strongly support the stochastic convergence of catching up hypothesis for six regions in Malaysia. An
important implication of this study is that Malaysia’s regional development policies, on average, have had a positive
impact on the per capita income in all of the six regions. |
| first_indexed | 2024-03-06T03:57:32Z |
| format | Article |
| id | ukm.eprints-5518 |
| institution | Universiti Kebangsaan Malaysia |
| language | English |
| last_indexed | 2024-03-06T03:57:32Z |
| publishDate | 2012 |
| publisher | Faculty of Social Sciences and Humanities, UKM,Bangi |
| record_format | dspace |
| spelling | ukm.eprints-55182016-12-14T06:38:41Z http://journalarticle.ukm.my/5518/ Regional income disparities in Malaysia: A stochastic convergence analysis Muzafar Shah Habibullah, AM Dayang-Affizzah, Chin-Hong, Puah For the last four decades, income disparities across states in Malaysia continue to be a matter of concern. The existence of regional inequalities and the prospect that these inequalities may widen were recognized by the Malaysian government. The eight volumes of the 5-Year Malaysia Plan reflect the determination of the Malaysian government in alleviating if not totally eradicating the problem of regional or state level imbalances. The recent Ninth Malaysia Plan has again emphasized regional development policies in bridging the gap of regional disparities for the next five years. Using annual data for the period 1965 to 2003, the stochastic convergence definition suggested by Bernard and Durlauf (1995), univariate unit root tests suggested by Oxley and Greasley (1995) and panel unit root testing procedures proposed by Levin et al. (2002), Im et al. (1997) and Maddala and Wu (1999), our findings strongly support the stochastic convergence of catching up hypothesis for six regions in Malaysia. An important implication of this study is that Malaysia’s regional development policies, on average, have had a positive impact on the per capita income in all of the six regions. Faculty of Social Sciences and Humanities, UKM,Bangi 2012-08 Article PeerReviewed application/pdf en http://journalarticle.ukm.my/5518/1/artikel9.pdf Muzafar Shah Habibullah, and AM Dayang-Affizzah, and Chin-Hong, Puah (2012) Regional income disparities in Malaysia: A stochastic convergence analysis. Geografia : Malaysian Journal of Society and Space, 8 (5). pp. 100-111. ISSN 2180-2491 http://www.ukm.my/geografia/v2/index.php? |
| spellingShingle | Muzafar Shah Habibullah, AM Dayang-Affizzah, Chin-Hong, Puah Regional income disparities in Malaysia: A stochastic convergence analysis |
| title | Regional income disparities in Malaysia: A stochastic convergence analysis |
| title_full | Regional income disparities in Malaysia: A stochastic convergence analysis |
| title_fullStr | Regional income disparities in Malaysia: A stochastic convergence analysis |
| title_full_unstemmed | Regional income disparities in Malaysia: A stochastic convergence analysis |
| title_short | Regional income disparities in Malaysia: A stochastic convergence analysis |
| title_sort | regional income disparities in malaysia a stochastic convergence analysis |
| url | http://journalarticle.ukm.my/5518/1/artikel9.pdf |
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