Does research and development expenditure cointegrate with the gross national income of ASEAN countries?

In order to successfully transform into a knowledge economy and eradicate poverty, many ASEAN countries have allocated a considerable amount of their yearly expenditures in research and development over the last decade. The objective of this paper is to examine the long-run relationship between rese...

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Bibliographic Details
Main Authors: Fennee, Chong, Liew, Venus Khim-Sen, Rosita, Suhaimi
Format: Article
Language:English
Published: Serials Publications 2016
Subjects:
Online Access:http://ir.unimas.my/id/eprint/14471/
http://ir.unimas.my/id/eprint/14471/2/Does%20research%20-%20Copy.pdf
Description
Summary:In order to successfully transform into a knowledge economy and eradicate poverty, many ASEAN countries have allocated a considerable amount of their yearly expenditures in research and development over the last decade. The objective of this paper is to examine the long-run relationship between research and development expenditure and gross national income of five major ASEAN countries - Thailand, Malaysia, Singapore, Indonesia and Philippines. The results of a cross-country panel data analysis performed in this study suggest that there is a long-run cointegration relationship between these two variables. Findings imply that higher research and development expenditure has a favorable impact on the long-run prosperity of these countries.