Foreign direct investment and its spillover :empirical evidence from Malaysia
This study is undertaken to examine the spillover effects throughout the technology transfer from Foreign Direct Investment (FDI) in Malaysia by using annual time series data which covering the period of 1970 to 2005. In this study, Augmented Dickey-Fuller (ADF) unit root test, Johansen and Juselius...
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| Format: | Final Year Project Report / IMRAD |
| Language: | English |
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Universiti Malaysia Sarawak (UNIMAS)
2007
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| Online Access: | http://ir.unimas.my/id/eprint/6464/ http://ir.unimas.my/id/eprint/6464/4/Shirley%28fulltext%29.pdf |
| _version_ | 1848835921079697408 |
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| author | Shirley, Lim Ai Li. |
| author_facet | Shirley, Lim Ai Li. |
| author_sort | Shirley, Lim Ai Li. |
| building | UNIMAS Institutional Repository |
| collection | Online Access |
| description | This study is undertaken to examine the spillover effects throughout the technology transfer from Foreign Direct Investment (FDI) in Malaysia by using annual time series data which covering the period of 1970 to 2005. In this study, Augmented Dickey-Fuller (ADF) unit root test, Johansen and Juselius cointegration test and Granger causality test are applied to examine the relationship among Gross Domestic Product (GDP), FDI, import of machinery and domestic investment. ADF unit root test shows that all the variables are stationary at first difference whereas Johansen and Juselius test reveals the existence of one cointegrating vector which indicating a long run relationship between GDP, FDI, import of machinery and domestic investment. Consequently, we found out that FDI does not Granger cause to Malaysia’s GDP, import of machinery and domestic investment. This means the spillover effects of FDI do not exist in the case of Malaysia. However, GDP, import of machinery and domestic investment are the important factors in directing FDI inflows into Malaysia. This study has suggested some policies that can be carried out by the policy makers in order to attract more inflows of FDI into Malaysia. |
| first_indexed | 2025-11-15T06:15:33Z |
| format | Final Year Project Report / IMRAD |
| id | unimas-6464 |
| institution | Universiti Malaysia Sarawak |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T06:15:33Z |
| publishDate | 2007 |
| publisher | Universiti Malaysia Sarawak (UNIMAS) |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | unimas-64642024-02-29T08:46:28Z http://ir.unimas.my/id/eprint/6464/ Foreign direct investment and its spillover :empirical evidence from Malaysia Shirley, Lim Ai Li. HB Economic Theory T Technology (General) This study is undertaken to examine the spillover effects throughout the technology transfer from Foreign Direct Investment (FDI) in Malaysia by using annual time series data which covering the period of 1970 to 2005. In this study, Augmented Dickey-Fuller (ADF) unit root test, Johansen and Juselius cointegration test and Granger causality test are applied to examine the relationship among Gross Domestic Product (GDP), FDI, import of machinery and domestic investment. ADF unit root test shows that all the variables are stationary at first difference whereas Johansen and Juselius test reveals the existence of one cointegrating vector which indicating a long run relationship between GDP, FDI, import of machinery and domestic investment. Consequently, we found out that FDI does not Granger cause to Malaysia’s GDP, import of machinery and domestic investment. This means the spillover effects of FDI do not exist in the case of Malaysia. However, GDP, import of machinery and domestic investment are the important factors in directing FDI inflows into Malaysia. This study has suggested some policies that can be carried out by the policy makers in order to attract more inflows of FDI into Malaysia. Universiti Malaysia Sarawak (UNIMAS) 2007 Final Year Project Report / IMRAD NonPeerReviewed text en http://ir.unimas.my/id/eprint/6464/4/Shirley%28fulltext%29.pdf Shirley, Lim Ai Li. (2007) Foreign direct investment and its spillover :empirical evidence from Malaysia. [Final Year Project Report / IMRAD] (Unpublished) |
| spellingShingle | HB Economic Theory T Technology (General) Shirley, Lim Ai Li. Foreign direct investment and its spillover :empirical evidence from Malaysia |
| title | Foreign direct investment and its spillover :empirical evidence from Malaysia |
| title_full | Foreign direct investment and its spillover :empirical evidence from Malaysia |
| title_fullStr | Foreign direct investment and its spillover :empirical evidence from Malaysia |
| title_full_unstemmed | Foreign direct investment and its spillover :empirical evidence from Malaysia |
| title_short | Foreign direct investment and its spillover :empirical evidence from Malaysia |
| title_sort | foreign direct investment and its spillover :empirical evidence from malaysia |
| topic | HB Economic Theory T Technology (General) |
| url | http://ir.unimas.my/id/eprint/6464/ http://ir.unimas.my/id/eprint/6464/4/Shirley%28fulltext%29.pdf |