Abu Mansor, Shazali and Abdul Karim, Bakri (2011): Subsidy and export: Malaysian case.
Download (171kB) | Preview
This paper examines the long-run relationship between subsidies and export for the case of Malaysia using annual data from 1976 to 2010 and cointegration test. The results show that the subsidies significantly influence export in the long-run. This support the argument by the non-neo-classical economists’ propagation that export promotion requires a pro-active government role in the economy. This study has shed some lights that subsidy may not be detrimental to an economy.
|Item Type:||MPRA Paper|
|Original Title:||Subsidy and export: Malaysian case|
|English Title:||Subsidy and Export: Malaysian Case|
|Keywords:||Subsidies; Export; Cointegration|
|Subjects:||F - International Economics > F4 - Macroeconomic Aspects of International Trade and Finance > F40 - General
H - Public Economics > H2 - Taxation, Subsidies, and Revenue > H25 - Business Taxes and Subsidies
C - Mathematical and Quantitative Methods > C2 - Single Equation Models ; Single Variables > C22 - Time-Series Models ; Dynamic Quantile Regressions ; Dynamic Treatment Effect Models ; Diffusion Processes
|Depositing User:||Bakri Abdul Karim|
|Date Deposited:||01. Mar 2012 12:08|
|Last Modified:||08. Sep 2015 20:01|
Alston, J.M., Carter, C.A. and Smith, V.H. (1993). Rationalzing agricultural export subsidies. American Journal of Agricultural Economics. 75(4), pp. 1000-1009.
Brander, J.A. and Spencer, B.J. (1984). Export subsidies and international market share rivalry. Journal of International Economics, 18(1-2), pp. 83-100.
Business Times (2009-09-02). Economic numbers bode well for M'sia. http://www.sammyboy.com/showthread.php?38693-Economic-numbers-bode-well-for-M-sia.-Sg-Fake-Econ. Retrived 2012-01-12.
Collie, D. (1991). Export subsidies and countervailing tariffs. Journal of International Economics, 31(3-4), pp. 309-324.
Hall, S.G. (1989). Maximum likelihood estimation of cointegrating vestors: an example of Johansen’s procedure. Oxford Bulletin of Economics and Statistics, 51, pp. 213-218.
Johansen, S. (1988). Statistical analysis of cointegration vectors. Journal of Economics Dynamic and Control, 12, pp. 231-254.
Johansen, s. (1992). Testing weak exogeneity and the order of cointegration in Uk modeny demand data. Journal of Policy Modelling, 14, pp. 313-334.
Johansen, S. and Juselius, K. (1990). Maximum likelihood estimation and inference on cointegration with applications to the demand for money. Oxford Bulletin of Economics and Statistics, 52, pp. 169-210.
Mavrotas, G., and R. Kelly (2001). Old Wine in New Bottles: Testing Causality Between Savings and Growth. The Manchester School, 69, pp. 97-105.
Leoi, S.L. (2008-07-11). "Industries get 70% discount on gas". The Star. http://biz.thestar.com.my/news/story.asp?file=/2008/7/11/business/20080711155527&sec=business. Retrieved 2012-01-11.
Meza, D.A. (1986). Export subsidies and high productivity: Cause or effect? The Canadian Journal of Economics, 19(2), pp. 347-350.
Noor, Z.M., and Hussein, M.A. (1986). The impact of free fertilizer subsidy scheme on economic efficiency of paddy farmers in West Malaysia. Malaysian Journal of Agricultural Economics, 3, pp. 12-29.
Toda, H. Y., and Yamamoto, T. (1995). Statistical Inference in Vector Autoregressions with Possibly Integrated Processes. Journal of Econometrics, 66, pp. 225-250.
Spencer, B. J. and Brander, J.A. (1983). International R&D rivalry and industrial strategy. Review of Economic Studies, 50, pp. 707-722.
Steward, F. and Ghani, E. (1991). How significant are externalities for development. World Development, 19(6), pp. 569-594.
Wells, R.J.G. (1981) Producer subsidies in the dairy industry in Peninsular Malaysia. Journal of Economics Studies, 8(2), pp. 57-64.
Yahaya, J. (1976). Some implications of the fishermen’s subsidy scheme in Peninsular Malaysia. Kajian Ekonomi Malaysia, 13(1), pp. 72-80.