Economic impacts of petroleum industry in states of Pahang and Terengganu

Petroleum industry in Malaysia has created significant contribution to the Malaysian economy as a whole. However, the growth and development of the industry does not necessarily to bring considerable economic linkages to the local and neighboring economies where the industry is located, and thus f...

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Main Authors: Mohd Yusof Saari,, Muzafar Shah Habibullah,, Chakrin Utit,, Maji, Ibrahim Kabiru
Format: Article
Language:English
Published: Penerbit Universiti Kebangsaan Malaysia 2018
Online Access:http://journalarticle.ukm.my/19800/1/jeko_522-12.pdf
http://journalarticle.ukm.my/19800/
https://www.ukm.my/jem/issue/v52i2/
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spelling my-ukm.journal.198002022-09-21T06:53:52Z http://journalarticle.ukm.my/19800/ Economic impacts of petroleum industry in states of Pahang and Terengganu Mohd Yusof Saari, Muzafar Shah Habibullah, Chakrin Utit, Maji, Ibrahim Kabiru Petroleum industry in Malaysia has created significant contribution to the Malaysian economy as a whole. However, the growth and development of the industry does not necessarily to bring considerable economic linkages to the local and neighboring economies where the industry is located, and thus fail to contribute to the economic diversification of local economies. This paper validates this expectation by examining the economic impacts of petroleum industry in the states of Terengganu and Pahang. Regional input-output model that developed by using location quotient, has been used as the main methodology in this paper. Results are consistent with our expectation that the state of Terengganu does not benefit largely from the petroleum industry but contributes more to the economic diversification for the state of Pahang. One of the explanations to this finding is that petroleum related activities such as petroleum refinery and support services are outsourced to the state of Pahang. Penerbit Universiti Kebangsaan Malaysia 2018 Article PeerReviewed application/pdf en http://journalarticle.ukm.my/19800/1/jeko_522-12.pdf Mohd Yusof Saari, and Muzafar Shah Habibullah, and Chakrin Utit, and Maji, Ibrahim Kabiru (2018) Economic impacts of petroleum industry in states of Pahang and Terengganu. Jurnal Ekonomi Malaysia, 52 (2). pp. 149-161. ISSN 0127-1962 https://www.ukm.my/jem/issue/v52i2/
institution Universiti Kebangsaan Malaysia
building Tun Sri Lanang Library
collection Institutional Repository
continent Asia
country Malaysia
content_provider Universiti Kebangsaan Malaysia
content_source UKM Journal Article Repository
url_provider http://journalarticle.ukm.my/
language English
description Petroleum industry in Malaysia has created significant contribution to the Malaysian economy as a whole. However, the growth and development of the industry does not necessarily to bring considerable economic linkages to the local and neighboring economies where the industry is located, and thus fail to contribute to the economic diversification of local economies. This paper validates this expectation by examining the economic impacts of petroleum industry in the states of Terengganu and Pahang. Regional input-output model that developed by using location quotient, has been used as the main methodology in this paper. Results are consistent with our expectation that the state of Terengganu does not benefit largely from the petroleum industry but contributes more to the economic diversification for the state of Pahang. One of the explanations to this finding is that petroleum related activities such as petroleum refinery and support services are outsourced to the state of Pahang.
format Article
author Mohd Yusof Saari,
Muzafar Shah Habibullah,
Chakrin Utit,
Maji, Ibrahim Kabiru
spellingShingle Mohd Yusof Saari,
Muzafar Shah Habibullah,
Chakrin Utit,
Maji, Ibrahim Kabiru
Economic impacts of petroleum industry in states of Pahang and Terengganu
author_facet Mohd Yusof Saari,
Muzafar Shah Habibullah,
Chakrin Utit,
Maji, Ibrahim Kabiru
author_sort Mohd Yusof Saari,
title Economic impacts of petroleum industry in states of Pahang and Terengganu
title_short Economic impacts of petroleum industry in states of Pahang and Terengganu
title_full Economic impacts of petroleum industry in states of Pahang and Terengganu
title_fullStr Economic impacts of petroleum industry in states of Pahang and Terengganu
title_full_unstemmed Economic impacts of petroleum industry in states of Pahang and Terengganu
title_sort economic impacts of petroleum industry in states of pahang and terengganu
publisher Penerbit Universiti Kebangsaan Malaysia
publishDate 2018
url http://journalarticle.ukm.my/19800/1/jeko_522-12.pdf
http://journalarticle.ukm.my/19800/
https://www.ukm.my/jem/issue/v52i2/
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score 13.211869