Does Research and Development Expenditure Co-integrate with Gross National Income of ASEAN Countries?

Chong, Fen Nee and Liew, Venus Khim-Sen and Suhaimi, Rosita (2016): Does Research and Development Expenditure Co-integrate with Gross National Income of ASEAN Countries? Published in: International Journal of Economic Research, , Vol. 33, No. 3 (2016): pp. 1231-1237.

Abstract

In order to successfully transform into a knowledge economy and eradicate poverty, many ASEAN countries have allocated a considerable amount of their yearly expenditures in research and development over the last decade. The objective of this paper is to examine the long-run relationship between research and development expenditure and gross national income of five major ASEAN countries – Thailand, Malaysia, Singapore, Indonesia and Philippines. The results of a cross-country panel data analysis performed in this study suggest that there is a long-run cointegration relationship between these two variables. Findings imply that higher research and development expenditure has a favorable impact on the long-run prosperity of these countries.

• Item Type: MPRA Paper
• Language: English
• Keywords: Research and development expenditure, Gross national income.
• Subjects: E - Macroeconomics and Monetary Economics > E0 - General > E01 - Measurement and Data on National Income and Product Accounts and Wealth ; Environmental Accounts

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