An analysis on labour demand in Malaysia

Tan, Sey Ye (2007) An analysis on labour demand in Malaysia. Universiti Malaysia Sabah. (Unpublished)


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Labour demand is an essential aspects in analyzing labour market. This dissertation is aimed to illustrate the distribution of the labour demand in Malaysia from 1980 to 2005 and investigate the relationship between labour demand and several macroeconomics factors such as economic growth and exports growth. The demand of labour is defined as total of employment for this study. The secondary time series data from 1980 to 2005 are collected from Department of Statistics and World Investment Report. Test on assumption of regression model, such as the Jarque -Bera Normality test is conducted to examined the existence of normality in residuals. Unit root test and Cointegration Engle-Granger test are employed to determine the order of integration for the series and investigate the long-run relationship between labour demand and the series of economics growth and exports by the latter. On the other hand, the Granger causality test is applied to determine the direction of causality between employment and the explanatory variables. The empirical results indicated that there are long-term relationship between them. There is no evidence to prove that economics growth and exports Granger-cause employment. This study also shows that employment posses unilateral causal relationship to economics growth and exports.

Item Type: Academic Exercise
Uncontrolled Keywords: labour market, economic growth, exports growth, total of employment, Engle-Granger test, unilateral relationship
Subjects: H Social Sciences > HC Economic History and Conditions
Divisions: SCHOOL > School of Science and Technology
Date Deposited: 27 Jan 2014 05:15
Last Modified: 11 Oct 2017 04:39

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