Savings-led growth theories: A time series analysis for Malaysia using the bootstrapping and time-varying causality techniques
AbstractThe purpose of this study is to empirically investigate the vindication of savings-led growth hypothesis for the Malaysian economy with the long run TYDL version of Granger causality – Toda and Yamamoto (1995) and Dolado and Lütkepohl (1996). This study used the quarterly sample from 1970:Q1 to 2008:Q4. The recursive regression procedure will also incorporate into the TYDL causality test to measure the stability of the savings-led growth hypothesis in the long run. Our empirical results support that the savings-led growth hypothesis is long run phenomenon and stable over time. Therefore, the Malaysian dataset supports the endogenous growth theory.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 27299.
Date of creation: 2010
Date of revision:
Causality; Malaysia; Recursive regression; Savings-growth; Stability;
Find related papers by JEL classification:
- O16 - Economic Development, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance
- E21 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Consumption; Saving; Wealth
- C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
This paper has been announced in the following NEP Reports:
- NEP-ALL-2010-12-18 (All new papers)
- NEP-FDG-2010-12-18 (Financial Development & Growth)
- NEP-SEA-2010-12-18 (South East Asia)
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