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,...
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Faculty of Economics and Management, Universiti Putra Malaysia
2009
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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 |
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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 |
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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. |
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Article |
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Lau, Evan Poh Hock Tiong, Magdalene Hua Ling Ling, Jeffrey |
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Lau, Evan Poh Hock Tiong, Magdalene Hua Ling Ling, Jeffrey Fiscal sustainability: an empirical investigation in Sarawak |
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Lau, Evan Poh Hock Tiong, Magdalene Hua Ling Ling, Jeffrey |
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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 |
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Faculty of Economics and Management, Universiti Putra Malaysia |
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2009 |
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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 |
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