Foreign Labor Entry: Effect on Unemployment, Economic Growth and Security Implication in Malaysia

A foreign worker is a person who works in a country other than the one of which he or she is a citizen. Therefore, attendance foreign workers in Malaysia are to help the country overcome the shortage of workers. In fact, it helps to achieve economic growth. Significantly, entry of foreign workers wa...

Full description

Saved in:

Bibliographic Details
Main Author:	Malarvili, Loganathan
Format:	Thesis
Language:	eng
Published:	2011
Subjects:	HD4801-8943 Labor Work Working Class
Online Access:	https://etd.uum.edu.my/3750/1/s806282.pdf
Tags:	Add Tag No Tags, Be the first to tag this record!

id	my-uum-etd.3750
record_format	uketd_dc
institution	Universiti Utara Malaysia
collection	UUM ETD
language	eng
advisor	Abdullah, Norehan
topic	HD4801-8943 Labor Work Working Class
spellingShingle	HD4801-8943 Labor Work Working Class Malarvili, Loganathan Foreign Labor Entry: Effect on Unemployment, Economic Growth and Security Implication in Malaysia
description	A foreign worker is a person who works in a country other than the one of which he or she is a citizen. Therefore, attendance foreign workers in Malaysia are to help the country overcome the shortage of workers. In fact, it helps to achieve economic growth. Significantly, entry of foreign workers was since the late 1980s. Initially, most of them work as laborers in the formal sector, but then many are turning to business. It directly effect on unemployment rate, economy growth and security implication in Malaysia. The general objective of this study is to analyze the foreign labor entry: effect on unemployment, economy growth and security implication in Malaysia. This study will use a time series data to test weather rises in foreign labor effect on unemployment rate and economic growth in Malaysia by Cointegration Test, Granger Casuality Test and Ordinary Least Square Test. Data was collected from Department of Statistic Malaysia, royal Malaysia Police, Economic Planing Unit and World Bank. The results show that, there are both positive and negative impacts on economy growth. Therefore national policies on employment of foreign worker are suited to the need of country. Government spends more expenses to establish new security implication to overcome this which one of losses to the country. In conclusion, despite the presence of these foreign labors can help countries overcome labor shortages and help achieve the economic growth rate is fixed cause problems.
format	Thesis
qualification_name	masters
qualification_level	Master's degree
author	Malarvili, Loganathan
author_facet	Malarvili, Loganathan
author_sort	Malarvili, Loganathan
title	Foreign Labor Entry: Effect on Unemployment, Economic Growth and Security Implication in Malaysia
title_short	Foreign Labor Entry: Effect on Unemployment, Economic Growth and Security Implication in Malaysia
title_full	Foreign Labor Entry: Effect on Unemployment, Economic Growth and Security Implication in Malaysia
title_fullStr	Foreign Labor Entry: Effect on Unemployment, Economic Growth and Security Implication in Malaysia
title_full_unstemmed	Foreign Labor Entry: Effect on Unemployment, Economic Growth and Security Implication in Malaysia
title_sort	foreign labor entry: effect on unemployment, economic growth and security implication in malaysia
granting_institution	Universiti Utara Malaysia
granting_department	College of Arts and Sciences (CAS)
publishDate	2011
url	https://etd.uum.edu.my/3750/1/s806282.pdf
_version_	1747827639013343232
spelling	my-uum-etd.37502022-10-19T01:05:09Z Foreign Labor Entry: Effect on Unemployment, Economic Growth and Security Implication in Malaysia 2011 Malarvili, Loganathan Abdullah, Norehan College of Arts and Sciences (CAS) College of Arts and Sciences HD4801-8943 Labor. Work. Working Class A foreign worker is a person who works in a country other than the one of which he or she is a citizen. Therefore, attendance foreign workers in Malaysia are to help the country overcome the shortage of workers. In fact, it helps to achieve economic growth. Significantly, entry of foreign workers was since the late 1980s. Initially, most of them work as laborers in the formal sector, but then many are turning to business. It directly effect on unemployment rate, economy growth and security implication in Malaysia. The general objective of this study is to analyze the foreign labor entry: effect on unemployment, economy growth and security implication in Malaysia. This study will use a time series data to test weather rises in foreign labor effect on unemployment rate and economic growth in Malaysia by Cointegration Test, Granger Casuality Test and Ordinary Least Square Test. Data was collected from Department of Statistic Malaysia, royal Malaysia Police, Economic Planing Unit and World Bank. The results show that, there are both positive and negative impacts on economy growth. Therefore national policies on employment of foreign worker are suited to the need of country. Government spends more expenses to establish new security implication to overcome this which one of losses to the country. In conclusion, despite the presence of these foreign labors can help countries overcome labor shortages and help achieve the economic growth rate is fixed cause problems. 2011 Thesis https://etd.uum.edu.my/3750/ https://etd.uum.edu.my/3750/1/s806282.pdf text eng public masters masters Universiti Utara Malaysia Adams, Richard H. (2005). Remittances, Household Expenditure and Investment in Guatemala. World Bank Policy Research Working Paper No. 3532. Azizah Kassim. (1995). From Neglect to Legalisation: The Changing Ste Response to the Inflow of Illegal Labour into Malaysia, paper presented at the Malaysian Social Science Association Conference on Globalisation: Local Challenges and Responses, Universiti Science Malaysia, Penang, 19-21 January. Benjamin, D. and L. Brandt. (1998). Administrative land allocation, nascent labor markets, and farm efficiency in Rural China, Working paper, Department of Economics, University of Toronto. Barry R. Chiswick, Yinon Cohen and Tzippi Zach. (1997). The Labor Market Status of Immigrants: Effects of the Unemployment Rate at Arrival and Duration of Residence. Cornell University, School of Industrial & Labor Relations. Vol. 50, No. 2 (Jan., 1997), pp.289-303. Dickey, D.A. and W.A. Fuller. (1979). Distribution of the estimators for autoregressive timeseries with a unit root. Journal of the American Statistical Association 74: 427-431. Engle, R. F. and C.WJ. Granger. (1987). Cointegration and error correction: representation, estimation and testing.r Econometrica 55: 251276. James Heckman & Lance Lochner & Christopher Taber, (1998). Study on the Impact of Foreign Labor on South Korean Economic Development. Katholieke Universiti, Leuvan Belgium. Frank Moulaeat. (2009). Economic crisis and the employment of foreign workers in Belgium. Development. Katholieke Universiti, Leuvan Belgium. Granger, C.WJ. (1988). Some recent development in a concept of causality. Journal of Econometrics 39: 199-211. Harvey, A. C. (1993). Time Series Models. Cambridge, MA, MIT Press. Hsino-chuan Chang. (2002). Are Foreign Workers Responsible for the Increasing Unemployment Rate in Taiwan? Department of Economics, The University of Melbourne. J. Edward Taylor, (2006). International Migration and Economic Development; Department of Economic and Social Affairs, United Nations Secretariat. Joseph Chinyong Liow. (2004). Malaysia’s approach to its illegal Indonesian migrant labor problem: Securezation, Politics or Catharsis. Institute of Defence and Strategic Studies Nanyang Technological University. Johansen, S. (1988). Statistical analysis of cointegration vectors. Journal of Economic Dynamics and Control 12: 231-254. Lee, Hahn Shik. (1992). “Maximum likelihood inference on cointegration and seasonal cointegration,” Journal of Econometrics, Elsevier, vol. 54(1-3), pages 1-47. MAcKinnon, J. (1991). Critical value for cointegration tests. In Long-run Economic Relationships: Reading in Cointegration, ed. R.F. Engle and C.WJ. Granger. New York: Oxford University Press. Ministry of Finance, (2003). Economic Report 2003/2004, Kuala Lumpur: Malaysia National Printers Berhad. Ministry of Finance, (2002). Economic Report 2002/2003, Kuala Lumpur: Malaysia National Printers Berhad. Nathanson, R. and Achdut, L. (2008). The New Workers: Wage Earners from Foreign Countries in Israel, Hakibbutz Hameuchad Publishing House Ltd. Osterwald-Lenum, M. (1992). A note with quantities of the asymptotic distribution of the maximum likelihood cointegration rank test statistics. Oxford Bulletin of Economics and Statistics 54: 461-472. Rachel M. Friedberg & J. Hunt, (1995). “The Impact of Immirgrants on Host Country Wages, Employment and Growth,” Working Papers 95-5, Brown University, Department of Economics. Robert E. B. Lucas. (2008). International Labor Migration in a Globalizing Economy. Carnegie Papers. Trade, Equity, and Development Program. Robert J. LaLonde & Robert H. Topel, (1991). “Labor Market Adjustment to Increased Immigration”. NBER Chapters, in: Immigration, Trade and the Labor Market, pages 167-200 National Bureau of Economic Research, Inc. Ruth Ellen Wasem. (2010). Immigration of Foreign Workers: Labor Market Tests and Protections. Congressional Research Service Stephen L. Lee. (2003). The Case for Property in the Long Run: A Cointegration Test, Department of Land Management. T. Addison, C. Worswick. (1999), The Impact of Immigration on the Labour Market Outcomes of Natives: Evidence from Australian Micro Data. The University of Melbourne, Department of Economics. U.S. Bereau of International Affairs. (2002). Foreign Labor Trends: Malaysia. Cornell University ILR School, Unites States Department of Labor. Vijayakumari Kanapathy. (2002). Development in Asia: Economy Recovery, the Labor Market and Migrant Workers in Malaysia. Institute of Strategic & International Studies (Malaysia). Vijayakumari Kanapathy, (2001). International Migration and Labour Market Adjustments in Malaysia: The Role of Foreign Labour Policies in Asia-Pacific Migration Journal, Volume 10, No. 3-4. Philippines. INTERNET LINKS: http://www.statistics.gov.my http://www.rmp.com.my http://www.eastwestcenter.com.my http://www.nationsencyclopedia.com http://www.epu.gov.my http://data.worldbank.org http://www.libraries.iub.edu http://www.jstor.org http://biz.thestar.com.my http://www.wikipedia.com.my http://www.finance.gov.my http://www.thaindian.com. http://www.siiaonline.org

Foreign Labor Entry: Effect on Unemployment, Economic Growth and Security Implication in Malaysia

Similar Items