Buffering The Economic Downturn : Malaysia Against The Rest Of The World

Md. Nor Hayati, Tahir and Mohd Fazli, Mohd Sam and Kamarudin, Abu Bakar and Nor Azah, Abdul Aziz and Mastura, Roni (2011) Buffering The Economic Downturn : Malaysia Against The Rest Of The World. Project Report. UTeM, Melaka, Malaysia. (Submitted)

Text (24 page) Buffering The Economic Downturn Malaysia Against The Rest Of The World - Copy.pdf - Submitted Version Restricted to Registered users only Download (6MB)

Abstract

The world experiences an economic downtum for several times. Malaysia recorded 29 cycles of expansions and contractions since 1980 with three periods of negative economic growth for one fiscal quarter or more. The negative contractions recorded in 1985, 1997 and latest in 2009 where Malaysia badly hit by the recession and fmancial crisis. The recession experienced in 1985 lasted for only one year with a mild 10 per cent contraction while two years for the time of economic downtum in 1997. This research attempts to study the variation in time when the economic downtum experience by Malaysia compare to the selected trading partners developed nation namely United States (USA), Japan, Getmany,Singapore, Finland and Thailand and further analyze the factors transpire the variation.The Gross Domestic Product (GDP) growth rate of a nation used to analyze the time and petiod of economic downtum hitting a nation. The time where the contraction of the economy at developed nation is different as compare to the time of contraction at the developing nation. Besides GDP, Final Consumption Expenditure (FCE) was used to determine the sustainability of a nation through expenditure and technology development.A sample of 336 respondents of manufacturing, construction and service sectors was surveyed using a structured questionnaire as an instrument. The result shows that there is vatiation in time when economic downtum in selected Malaysia's trading partner as compare to Malaysia. The variation exists due to the endogenous technological development which plays an important role as a buffer to reduce the impact of the economic downturn experienced by a nation.

Actions (login required)

View Item