Testing Nonlinear Convergence in Malaysia
The purpose of the present paper is to examine income convergence in Malaysia by using the nonlinear unit root test due to Kapetanios et al. (KSS, 2003) and extended by Chong et al. (CHLL, 2008) to permit the test of long-run convergence and catching-up hypotheses. We apply the KSS-CHLL nonlinear...
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| Format: | Article |
| Language: | English |
| Published: |
MPRA
2008
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| Subjects: | |
| Online Access: | http://ir.unimas.my/id/eprint/9750/ http://ir.unimas.my/id/eprint/9750/1/Testing%20Nonlinear%20Convergence%20in%20Malaysia%28abs%29.pdf |
| _version_ | 1848836631976476672 |
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| author | Muzafar Shah, Habibullah Liew, Venus Khim-Sen A.M., Dayang-Affizzah Lim, Kian-Ping |
| author_facet | Muzafar Shah, Habibullah Liew, Venus Khim-Sen A.M., Dayang-Affizzah Lim, Kian-Ping |
| author_sort | Muzafar Shah, Habibullah |
| building | UNIMAS Institutional Repository |
| collection | Online Access |
| description | The purpose of the present paper is to examine income convergence in Malaysia by using the
nonlinear unit root test due to Kapetanios et al. (KSS, 2003) and extended by Chong et al.
(CHLL, 2008) to permit the test of long-run convergence and catching-up hypotheses. We
apply the KSS-CHLL nonlinear unit root for the test of nonlinear convergence between
thirteen states with respect to Wilayah Persekutuan (the riches state) of Malaysia for the
period 1965 to 2003. Generally, our results suggest that out of the thirteen states, only Kedah,
Negeri Sembilan, Perak, Perlis and Selangor support the long-run convergence hypothesis
while Johor, Kelantan, Melaka, Pahang and Penang suggest catching-up. Lastly, Sabah,
Sarawak and Terengganu indicate income divergence from Wilayah Persekutuan. |
| first_indexed | 2025-11-15T06:26:51Z |
| format | Article |
| id | unimas-9750 |
| institution | Universiti Malaysia Sarawak |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T06:26:51Z |
| publishDate | 2008 |
| publisher | MPRA |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | unimas-97502015-11-16T02:57:45Z http://ir.unimas.my/id/eprint/9750/ Testing Nonlinear Convergence in Malaysia Muzafar Shah, Habibullah Liew, Venus Khim-Sen A.M., Dayang-Affizzah Lim, Kian-Ping HC Economic History and Conditions The purpose of the present paper is to examine income convergence in Malaysia by using the nonlinear unit root test due to Kapetanios et al. (KSS, 2003) and extended by Chong et al. (CHLL, 2008) to permit the test of long-run convergence and catching-up hypotheses. We apply the KSS-CHLL nonlinear unit root for the test of nonlinear convergence between thirteen states with respect to Wilayah Persekutuan (the riches state) of Malaysia for the period 1965 to 2003. Generally, our results suggest that out of the thirteen states, only Kedah, Negeri Sembilan, Perak, Perlis and Selangor support the long-run convergence hypothesis while Johor, Kelantan, Melaka, Pahang and Penang suggest catching-up. Lastly, Sabah, Sarawak and Terengganu indicate income divergence from Wilayah Persekutuan. MPRA 2008 Article NonPeerReviewed text en http://ir.unimas.my/id/eprint/9750/1/Testing%20Nonlinear%20Convergence%20in%20Malaysia%28abs%29.pdf Muzafar Shah, Habibullah and Liew, Venus Khim-Sen and A.M., Dayang-Affizzah and Lim, Kian-Ping (2008) Testing Nonlinear Convergence in Malaysia. MPRA Paper. pp. 1-13. https://mpra.ub.uni-muenchen.de/12110/ |
| spellingShingle | HC Economic History and Conditions Muzafar Shah, Habibullah Liew, Venus Khim-Sen A.M., Dayang-Affizzah Lim, Kian-Ping Testing Nonlinear Convergence in Malaysia |
| title | Testing Nonlinear Convergence in Malaysia |
| title_full | Testing Nonlinear Convergence in Malaysia |
| title_fullStr | Testing Nonlinear Convergence in Malaysia |
| title_full_unstemmed | Testing Nonlinear Convergence in Malaysia |
| title_short | Testing Nonlinear Convergence in Malaysia |
| title_sort | testing nonlinear convergence in malaysia |
| topic | HC Economic History and Conditions |
| url | http://ir.unimas.my/id/eprint/9750/ http://ir.unimas.my/id/eprint/9750/ http://ir.unimas.my/id/eprint/9750/1/Testing%20Nonlinear%20Convergence%20in%20Malaysia%28abs%29.pdf |