EconPapers    
Economics at your fingertips  
 

An Examination of the Government Spending and Economic Growth Nexus for Malaysia Using the Leveraged Bootstrap Simulation Approach

Chor Foon Tang ()

Global Economic Review, 2009, vol. 38, issue 2, 215-227

Abstract: The main objective of this study is to re-examine the government spending-growth nexus for Malaysia from the perspective of disaggregated government spending. The yearly data from 1960 to 2007 is used in this study. This study applied the bounds testing for co-integration and the leveraged bootstrap simulation approaches to examine the relationship between three different categories of government spending and national income in Malaysia. It is found that government spending on education and defence are co-integrated with national income. Nevertheless, there is no evidence of co-integrating relation between government spending on health and national income. The MWALD causality test shows strong evidence of unidirectional causal relationship running from national income to the three major government spending in Malaysia. However, bilateral causality evident exists only between government spending on health and national income.

Keywords: Government spending; growth; MWALD; leveraged bootstrap (search for similar items in EconPapers)
Date: 2009
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (10) Track citations by RSS feed

Downloads: (external link)
http://www.tandfonline.com/doi/abs/10.1080/12265080902903266 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:glecrv:v:38:y:2009:i:2:p:215-227

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/RGER20

Access Statistics for this article

Global Economic Review is currently edited by Kap-Young Jeong and Taeyoon Sung

More articles in Global Economic Review from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().

 
Page updated 2019-09-12
Handle: RePEc:taf:glecrv:v:38:y:2009:i:2:p:215-227