Factor accumulation and total factor productivity growth: ASEAN economies

This study examines the contribution of factor accumulation on Total Factor Productivity (TFP) growth in the eight ASEAN countries with specific reference to short-term and long-term estimation effect. Using Mean Group (MG) estimator on data between 1990 and 2018, this study found a significant...

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Main Authors: Subramaniam Munusamy, Yogambigai Rajamoorthy
Format: Article
Language:English
Published: Penerbit Universiti Kebangsaan Malaysia 2020
Online Access:http://journalarticle.ukm.my/16872/
http://journalarticle.ukm.my/16872/1/jeko_54%282%29-6.pdf
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author Subramaniam Munusamy,
Yogambigai Rajamoorthy,
author_facet Subramaniam Munusamy,
Yogambigai Rajamoorthy,
author_sort Subramaniam Munusamy,
building UKM Institutional Repository
collection Online Access
description This study examines the contribution of factor accumulation on Total Factor Productivity (TFP) growth in the eight ASEAN countries with specific reference to short-term and long-term estimation effect. Using Mean Group (MG) estimator on data between 1990 and 2018, this study found a significant relationship between capital accumulation and TFP growth. Our analysis suggests that the positive growth on TFP in most ASEAN countries was due to the short-run effect of capital accumulation. This study also found that the ASEAN economies have a relatively lower rate of capital utilization that adversely affects TFP growth in the long run. The contribution of TFP to output growth is paramount for the sustainability of long-term economic growth. Thus, ASEAN countries need to accelerate capital accumulation and technology adoption in the short-term and utilize idle capital in the long-term.
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spelling oai:generic.eprints.org:168722021-06-24T16:22:47Z http://journalarticle.ukm.my/16872/ Factor accumulation and total factor productivity growth: ASEAN economies Subramaniam Munusamy, Yogambigai Rajamoorthy, This study examines the contribution of factor accumulation on Total Factor Productivity (TFP) growth in the eight ASEAN countries with specific reference to short-term and long-term estimation effect. Using Mean Group (MG) estimator on data between 1990 and 2018, this study found a significant relationship between capital accumulation and TFP growth. Our analysis suggests that the positive growth on TFP in most ASEAN countries was due to the short-run effect of capital accumulation. This study also found that the ASEAN economies have a relatively lower rate of capital utilization that adversely affects TFP growth in the long run. The contribution of TFP to output growth is paramount for the sustainability of long-term economic growth. Thus, ASEAN countries need to accelerate capital accumulation and technology adoption in the short-term and utilize idle capital in the long-term. Penerbit Universiti Kebangsaan Malaysia 2020 Article PeerReviewed application/pdf en http://journalarticle.ukm.my/16872/1/jeko_54%282%29-6.pdf Subramaniam Munusamy, and Yogambigai Rajamoorthy, (2020) Factor accumulation and total factor productivity growth: ASEAN economies. Jurnal Ekonomi Malaysia, 54 (2). pp. 67-76. ISSN 0127-1962 https://www.ukm.my/fep/jem/content/2020-2.html
spellingShingle Subramaniam Munusamy,
Yogambigai Rajamoorthy,
Factor accumulation and total factor productivity growth: ASEAN economies
title Factor accumulation and total factor productivity growth: ASEAN economies
title_full Factor accumulation and total factor productivity growth: ASEAN economies
title_fullStr Factor accumulation and total factor productivity growth: ASEAN economies
title_full_unstemmed Factor accumulation and total factor productivity growth: ASEAN economies
title_short Factor accumulation and total factor productivity growth: ASEAN economies
title_sort factor accumulation and total factor productivity growth: asean economies
url http://journalarticle.ukm.my/16872/
http://journalarticle.ukm.my/16872/
http://journalarticle.ukm.my/16872/1/jeko_54%282%29-6.pdf