文章基本信息

标题：Public Debt and Budget Deficit: Gauging the Impact on Malaysia’s Economic Performance
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作者：Zuriyati Ahmad ; Ahmad Syakir Ammar Ahmad O’llia ; Rosman Mahmood 等
期刊名称：International Journal of Academic Research in Business and Social Sciences
电子版ISSN：2222-6990
出版年度：2021
卷号：11
期号：18
页码：151-159
DOI：10.6007/IJARBSS/v11-i18/11433
语种：English
出版社：Human Resource Management Academic Research Society
摘要：Malaysia has been experiencing large budget deficits financed by increasing debts throughout the years especially after the Asian Financial Crisis. Many studies have highlighted that the persistent increases in the budget deficit and large debt are the paramount issues that might drag the economy in the country. This study is therefore attempting to gauge the impact of the budget deficit and public debt on Malaysia’s economic performance. Johansen cointegration method is utilized in this study as longer period of observation is used. The quarterly data spanning from 1998 to 2016 is tested using this method. Finding reveals that budget deficit has negative impact on the economic performance however it has insignificant influence in the long run equilibrium. While the public debt is divided into two components namely domestic debt and external debt. Both debts are found to have positive and significant impact on economic performance in the long run equilibrium approach. This implies that against previous researches, public debt either domestic or external debt can spur the economic performance for the country through the expenditure that lead to the economic development in the long run equilibrium.