Fiscal sustainability: an empirical investigation in Sarawak

This paper examines the fiscal sustainability condition for Sarawak during 1971 to 2004. We also split the sample period into the pre-crisis (1971-1996) to investigate the disparities between the two empirical samples. Empirical validation from the time series analysis finds that government revenue,...

Full description

Saved in:
Bibliographic Details
Main Authors: Lau, Evan Poh Hock, Tiong, Magdalene Hua Ling, Ling, Jeffrey
Format: Article
Language:English
Published: Faculty of Economics and Management, Universiti Putra Malaysia 2009
Online Access:http://psasir.upm.edu.my/id/eprint/39446/1/39446.pdf
http://psasir.upm.edu.my/id/eprint/39446/
http://econ.upm.edu.my/ijem/vol3_no1.htm
Tags: Add Tag
No Tags, Be the first to tag this record!
id my.upm.eprints.39446
record_format eprints
spelling my.upm.eprints.394462015-08-03T04:28:58Z http://psasir.upm.edu.my/id/eprint/39446/ Fiscal sustainability: an empirical investigation in Sarawak Lau, Evan Poh Hock Tiong, Magdalene Hua Ling Ling, Jeffrey This paper examines the fiscal sustainability condition for Sarawak during 1971 to 2004. We also split the sample period into the pre-crisis (1971-1996) to investigate the disparities between the two empirical samples. Empirical validation from the time series analysis finds that government revenue, government expenditure and Gross domestic Product (GDP) are cointegrated, which provides some support for the position that Sarawak’s budget deficit is sustainable in the long run in both sampling periods. The results also found support for coefficient of expenditure being unity in both periods. This finding suggests that reducing the size of government spending may improve fiscal budget deficits without having to undergo changes in the overall strategy. Faculty of Economics and Management, Universiti Putra Malaysia 2009-06 Article PeerReviewed application/pdf en http://psasir.upm.edu.my/id/eprint/39446/1/39446.pdf Lau, Evan Poh Hock and Tiong, Magdalene Hua Ling and Ling, Jeffrey (2009) Fiscal sustainability: an empirical investigation in Sarawak. International Journal of Economics and Management, 3 (1). pp. 62-72. ISSN 1823-836X http://econ.upm.edu.my/ijem/vol3_no1.htm
institution Universiti Putra Malaysia
building UPM Library
collection Institutional Repository
continent Asia
country Malaysia
content_provider Universiti Putra Malaysia
content_source UPM Institutional Repository
url_provider http://psasir.upm.edu.my/
language English
description This paper examines the fiscal sustainability condition for Sarawak during 1971 to 2004. We also split the sample period into the pre-crisis (1971-1996) to investigate the disparities between the two empirical samples. Empirical validation from the time series analysis finds that government revenue, government expenditure and Gross domestic Product (GDP) are cointegrated, which provides some support for the position that Sarawak’s budget deficit is sustainable in the long run in both sampling periods. The results also found support for coefficient of expenditure being unity in both periods. This finding suggests that reducing the size of government spending may improve fiscal budget deficits without having to undergo changes in the overall strategy.
format Article
author Lau, Evan Poh Hock
Tiong, Magdalene Hua Ling
Ling, Jeffrey
spellingShingle Lau, Evan Poh Hock
Tiong, Magdalene Hua Ling
Ling, Jeffrey
Fiscal sustainability: an empirical investigation in Sarawak
author_facet Lau, Evan Poh Hock
Tiong, Magdalene Hua Ling
Ling, Jeffrey
author_sort Lau, Evan Poh Hock
title Fiscal sustainability: an empirical investigation in Sarawak
title_short Fiscal sustainability: an empirical investigation in Sarawak
title_full Fiscal sustainability: an empirical investigation in Sarawak
title_fullStr Fiscal sustainability: an empirical investigation in Sarawak
title_full_unstemmed Fiscal sustainability: an empirical investigation in Sarawak
title_sort fiscal sustainability: an empirical investigation in sarawak
publisher Faculty of Economics and Management, Universiti Putra Malaysia
publishDate 2009
url http://psasir.upm.edu.my/id/eprint/39446/1/39446.pdf
http://psasir.upm.edu.my/id/eprint/39446/
http://econ.upm.edu.my/ijem/vol3_no1.htm
_version_ 1643832423881900032
score 13.211869