External Balance And Budget In Malaysia

This study examines external balance and budget in Malaysia. The unit root test results show that the variables examined are a mixture of stationary and non-stationary variables. The bounds testing results show that there is a long-run relationship between external balance and its determinants, i...

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Main Author: Wong , Hock Tsen
Format: Article
Language:English
Published: Asian Academy of Management (AAM) 2014
Subjects:
Online Access:http://eprints.usm.my/40023/
http://eprints.usm.my/40023/1/AAMJAF_10-2-3_%2837-54%29.pdf
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author Wong , Hock Tsen
author_facet Wong , Hock Tsen
author_sort Wong , Hock Tsen
building USM Institutional Repository
collection Online Access
description This study examines external balance and budget in Malaysia. The unit root test results show that the variables examined are a mixture of stationary and non-stationary variables. The bounds testing results show that there is a long-run relationship between external balance and its determinants, including budget, and also between budget and its determinants, including external balance. Moreover, the results of the causality analysis show that the current account targeting hypothesis and the Ricardian equivalence hypothesis dominate the relationship between external balance and budget. Short-run and long-run measures are needed to address external imbalances. A healthy external balance is important for sustainable economic growth.
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spelling usm-400232018-04-11T03:58:44Z http://eprints.usm.my/40023/ External Balance And Budget In Malaysia Wong , Hock Tsen HD28-70 Management. Industrial Management This study examines external balance and budget in Malaysia. The unit root test results show that the variables examined are a mixture of stationary and non-stationary variables. The bounds testing results show that there is a long-run relationship between external balance and its determinants, including budget, and also between budget and its determinants, including external balance. Moreover, the results of the causality analysis show that the current account targeting hypothesis and the Ricardian equivalence hypothesis dominate the relationship between external balance and budget. Short-run and long-run measures are needed to address external imbalances. A healthy external balance is important for sustainable economic growth. Asian Academy of Management (AAM) 2014 Article PeerReviewed application/pdf en http://eprints.usm.my/40023/1/AAMJAF_10-2-3_%2837-54%29.pdf Wong , Hock Tsen (2014) External Balance And Budget In Malaysia. Asian Academy of Management Journal of Accounting and Finance, 10 (2). pp. 1-18. ISSN 1823-4992 http://web.usm.my/journal/aamjaf/10-2-3-2014.html
spellingShingle HD28-70 Management. Industrial Management
Wong , Hock Tsen
External Balance And Budget In Malaysia
title External Balance And Budget In Malaysia
title_full External Balance And Budget In Malaysia
title_fullStr External Balance And Budget In Malaysia
title_full_unstemmed External Balance And Budget In Malaysia
title_short External Balance And Budget In Malaysia
title_sort external balance and budget in malaysia
topic HD28-70 Management. Industrial Management
url http://eprints.usm.my/40023/
http://eprints.usm.my/40023/
http://eprints.usm.my/40023/1/AAMJAF_10-2-3_%2837-54%29.pdf