Financial development and economic growth in Malaysia : the stock market perspective
Understanding the causal relationship between financial development and economic growth is important in enhancing the economy of a nation. Using the autoregressive distributed lag (ARDL) bounds test approach, this study finds that stock market development is cointegrated with economic growth in the...
| Main Authors: | , , , |
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| Format: | Article |
| Language: | English |
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Investment Management and Financial Innovations
2005
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| Subjects: | |
| Online Access: | http://ir.unimas.my/id/eprint/3100/ http://ir.unimas.my/id/eprint/3100/7/Chee-Keong%20Choong.pdf |
| _version_ | 1848835141063933952 |
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| author | Chee, Keong Choong Yusop, Zulkornain Siong, Hook Law Liew Khim, Venus |
| author_facet | Chee, Keong Choong Yusop, Zulkornain Siong, Hook Law Liew Khim, Venus |
| author_sort | Chee, Keong Choong |
| building | UNIMAS Institutional Repository |
| collection | Online Access |
| description | Understanding the causal relationship between financial development and economic growth is important in enhancing the economy of a nation. Using the autoregressive distributed lag (ARDL) bounds test approach, this study finds that stock market development is cointegrated with economic growth in the context of Malaysia. Moreover, this test also suggests that stock market development has a significant positive long-run impact on economic growth. Granger-causality test based on vector error correction model (VECM) further reveals that stock market development Granger-causes economic growth. Hence, this study provides robust empirical evidence in favor of finance-led growth hypothesis for the Malaysian economy. |
| first_indexed | 2025-11-15T06:03:09Z |
| format | Article |
| id | unimas-3100 |
| institution | Universiti Malaysia Sarawak |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T06:03:09Z |
| publishDate | 2005 |
| publisher | Investment Management and Financial Innovations |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | unimas-31002022-01-19T06:12:11Z http://ir.unimas.my/id/eprint/3100/ Financial development and economic growth in Malaysia : the stock market perspective Chee, Keong Choong Yusop, Zulkornain Siong, Hook Law Liew Khim, Venus HG Finance Understanding the causal relationship between financial development and economic growth is important in enhancing the economy of a nation. Using the autoregressive distributed lag (ARDL) bounds test approach, this study finds that stock market development is cointegrated with economic growth in the context of Malaysia. Moreover, this test also suggests that stock market development has a significant positive long-run impact on economic growth. Granger-causality test based on vector error correction model (VECM) further reveals that stock market development Granger-causes economic growth. Hence, this study provides robust empirical evidence in favor of finance-led growth hypothesis for the Malaysian economy. Investment Management and Financial Innovations 2005 Article NonPeerReviewed text en http://ir.unimas.my/id/eprint/3100/7/Chee-Keong%20Choong.pdf Chee, Keong Choong and Yusop, Zulkornain and Siong, Hook Law and Liew Khim, Venus (2005) Financial development and economic growth in Malaysia : the stock market perspective. Investment Management and Financial Innovations, 4. |
| spellingShingle | HG Finance Chee, Keong Choong Yusop, Zulkornain Siong, Hook Law Liew Khim, Venus Financial development and economic growth in Malaysia : the stock market perspective |
| title | Financial development and economic growth in Malaysia : the stock market perspective |
| title_full | Financial development and economic growth in Malaysia : the stock market perspective |
| title_fullStr | Financial development and economic growth in Malaysia : the stock market perspective |
| title_full_unstemmed | Financial development and economic growth in Malaysia : the stock market perspective |
| title_short | Financial development and economic growth in Malaysia : the stock market perspective |
| title_sort | financial development and economic growth in malaysia : the stock market perspective |
| topic | HG Finance |
| url | http://ir.unimas.my/id/eprint/3100/ http://ir.unimas.my/id/eprint/3100/7/Chee-Keong%20Choong.pdf |