Are saving and investment cointegrated? The case of Malaysia (1965-2003)

Date

2007

Authors

Ang, James

Journal Title

Journal ISSN

Volume Title

Publisher

Routledge, Taylor & Francis Group

Abstract

This article examines whether domestic saving rate leads to higher domestic investment rate in the case of Malaysia. We argue that the results obtained from cross-sectional studies are not able to address this issue satisfactorily and highlight the importance of individual country case studies. Using the recently developed autoregressive distributed lag bounds testing procedure, the results reveal a robust cointegrated relationship between domestic saving and investment rates during the period 1965 to 2003.

Description

Keywords

Keywords: cointegration analysis; investment; regression analysis; savings; testing method; Asia; Eurasia; Malaysia; Southeast Asia

Citation

Source

Applied Economics

Type

Journal article

Book Title

Entity type

Access Statement

License Rights

Restricted until

2037-12-31