The impact of government debt, inflation, interest rate and private investment on budget deficit / Wan Nor Amira Wan Azha

This study was conducted to analyze the impact of interest rate, inflation, government debt and private investment on budget deficit in Malaysia. Besides that the researcher explores if there is long-run or short-run relation exists between variables. Econometric methodology involving vector error c...

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Main Author: Wan Azha, Wan Nor Amira
Format: Thesis
Language:English
Published: 2012
Subjects:
Online Access:https://ir.uitm.edu.my/id/eprint/94649/1/94649.pdf
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spelling my-uitm-ir.946492024-05-07T04:19:52Z The impact of government debt, inflation, interest rate and private investment on budget deficit / Wan Nor Amira Wan Azha 2012 Wan Azha, Wan Nor Amira Income. Income distribution. National income. Including gross national product, gross domestic product, and gross state product This study was conducted to analyze the impact of interest rate, inflation, government debt and private investment on budget deficit in Malaysia. Besides that the researcher explores if there is long-run or short-run relation exists between variables. Econometric methodology involving vector error correction (VEC) model was employed by using annual data for the period 1978 - 2008. The test for stationarity of variables is carried out using Dickey-Fuller in levels and first difference. The Johansen cointegration test and Granger causality technique is employed to determine the long-run and short-run relationship between variables. The estimated results indicate that government debt, inflation and private investment could have an impact on budget deficit in Malaysia through VEC model. However, interest rate does not affect budget deficit in estimated coefficient. Thus, it can be concluded that macroeconomic variables do give impact on the Malaysian economy. It is suggested for researcher to focus on the main variable which influence budget deficit mostly. 2012 Thesis https://ir.uitm.edu.my/id/eprint/94649/ https://ir.uitm.edu.my/id/eprint/94649/1/94649.pdf text en public degree Universiti Teknologi MARA, Terengganu Faculty Of Business Management Affandi, Salwani
institution Universiti Teknologi MARA
collection UiTM Institutional Repository
language English
advisor Affandi, Salwani
topic Income
Income distribution
National income
Including gross national product, gross domestic product, and gross state product
spellingShingle Income
Income distribution
National income
Including gross national product, gross domestic product, and gross state product
Wan Azha, Wan Nor Amira
The impact of government debt, inflation, interest rate and private investment on budget deficit / Wan Nor Amira Wan Azha
description This study was conducted to analyze the impact of interest rate, inflation, government debt and private investment on budget deficit in Malaysia. Besides that the researcher explores if there is long-run or short-run relation exists between variables. Econometric methodology involving vector error correction (VEC) model was employed by using annual data for the period 1978 - 2008. The test for stationarity of variables is carried out using Dickey-Fuller in levels and first difference. The Johansen cointegration test and Granger causality technique is employed to determine the long-run and short-run relationship between variables. The estimated results indicate that government debt, inflation and private investment could have an impact on budget deficit in Malaysia through VEC model. However, interest rate does not affect budget deficit in estimated coefficient. Thus, it can be concluded that macroeconomic variables do give impact on the Malaysian economy. It is suggested for researcher to focus on the main variable which influence budget deficit mostly.
format Thesis
qualification_level Bachelor degree
author Wan Azha, Wan Nor Amira
author_facet Wan Azha, Wan Nor Amira
author_sort Wan Azha, Wan Nor Amira
title The impact of government debt, inflation, interest rate and private investment on budget deficit / Wan Nor Amira Wan Azha
title_short The impact of government debt, inflation, interest rate and private investment on budget deficit / Wan Nor Amira Wan Azha
title_full The impact of government debt, inflation, interest rate and private investment on budget deficit / Wan Nor Amira Wan Azha
title_fullStr The impact of government debt, inflation, interest rate and private investment on budget deficit / Wan Nor Amira Wan Azha
title_full_unstemmed The impact of government debt, inflation, interest rate and private investment on budget deficit / Wan Nor Amira Wan Azha
title_sort impact of government debt, inflation, interest rate and private investment on budget deficit / wan nor amira wan azha
granting_institution Universiti Teknologi MARA, Terengganu
granting_department Faculty Of Business Management
publishDate 2012
url https://ir.uitm.edu.my/id/eprint/94649/1/94649.pdf
_version_ 1804889936273342464