Testing Nonlinear Convergence in Malaysia, 1965-2003
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 un...
| Main Authors: | , , , |
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| Format: | Article |
| Language: | English |
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Universiti Kebangsaan Malaysia (UKM)
2008
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| Online Access: | http://ir.unimas.my/id/eprint/9868/ http://ir.unimas.my/id/eprint/9868/1/Testing%20Nonlinear%20Convergence%20in%20Malaysia%20%28abstract%29.pdf |
| _version_ | 1848836653672562688 |
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| author | Muzafar Shah, Habibullah A.M., Dayang-Affizzah Liew, Venus Khim-Sen Lim, Kian−Ping |
| author_facet | Muzafar Shah, Habibullah A.M., Dayang-Affizzah Liew, Venus Khim-Sen 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 | 2025-11-15T06:27:11Z |
| format | Article |
| id | unimas-9868 |
| institution | Universiti Malaysia Sarawak |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T06:27:11Z |
| publishDate | 2008 |
| publisher | Universiti Kebangsaan Malaysia (UKM) |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | unimas-98682015-12-03T02:55:36Z http://ir.unimas.my/id/eprint/9868/ Testing Nonlinear Convergence in Malaysia, 1965-2003 Muzafar Shah, Habibullah A.M., Dayang-Affizzah Liew, Venus Khim-Sen Lim, Kian−Ping HB Economic Theory 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. Universiti Kebangsaan Malaysia (UKM) 2008 Article NonPeerReviewed text en http://ir.unimas.my/id/eprint/9868/1/Testing%20Nonlinear%20Convergence%20in%20Malaysia%20%28abstract%29.pdf Muzafar Shah, Habibullah and A.M., Dayang-Affizzah and Liew, Venus Khim-Sen and Lim, Kian−Ping (2008) Testing Nonlinear Convergence in Malaysia, 1965-2003. Jurnal Ekonomi Malaysia, 47. pp. 1-13. ISSN 0126-1962 https://mpra.ub.uni-muenchen.de/12110/1/MPRA_paper_12110.pdf |
| spellingShingle | HB Economic Theory Muzafar Shah, Habibullah A.M., Dayang-Affizzah Liew, Venus Khim-Sen Lim, Kian−Ping Testing Nonlinear Convergence in Malaysia, 1965-2003 |
| title | Testing Nonlinear Convergence in Malaysia, 1965-2003 |
| title_full | Testing Nonlinear Convergence in Malaysia, 1965-2003 |
| title_fullStr | Testing Nonlinear Convergence in Malaysia, 1965-2003 |
| title_full_unstemmed | Testing Nonlinear Convergence in Malaysia, 1965-2003 |
| title_short | Testing Nonlinear Convergence in Malaysia, 1965-2003 |
| title_sort | testing nonlinear convergence in malaysia, 1965-2003 |
| topic | HB Economic Theory |
| url | http://ir.unimas.my/id/eprint/9868/ http://ir.unimas.my/id/eprint/9868/ http://ir.unimas.my/id/eprint/9868/1/Testing%20Nonlinear%20Convergence%20in%20Malaysia%20%28abstract%29.pdf |