Government Expenditure and Economic Growth in ASEAN-5 Economies
วารสารมหาวิทยาลัยราชภัฏยะลา
Journal of Yala Rajabhat University
131
Government Expenditure and Economic Growth in ASEAN-5 Economies: an Autoregressive Distributed
Lag (ARDL) Approach
Hussin Abdullah* Muzafar Shah Habibullah** Siong Hook Law**
ABSTRACT
In this paper, we examine the relationship between components of government expenditure and economic growth in ASEAN-5 using the autoregressive distributed lag
(ARDL) approach developed by Pesaran, Shin, and Smith. Bound testing approaches to analysis of level relationship, and this test suggested that the all variables in functional form framework are bound together in long run. The results also show that there are possible long-run coefficient effects between the variables. Breaking down the components of government expenditure, we found that health expenditure (he), information and communication technology expenditure (ice), education expenditure (ee), and housing and community facilities expenditure (hce) have a positive effect on economic growth among the ASEAN5 countries. The military expenditure (me) has a negative significant effect on economic growth in Indonesia and the Philippines. These results support those of other studies that indicate that in the long-run coefficients of the variables are an important determinant of the real GDP.
Keywords: Government expenditure GDP growth Cointegration
Autoregressive Distributed Lag Model (ARDL)
*
College of Arts and Sciences, Universiti Utara Malaysia, 06010 Sintok, Kedah, Malaysia,
Department of Economics, Faculty of Economics and Management, Universiti Putra Malaysia,43400 UPM Serdang,
Selangor, Malaysia
**
ปที่ 3 ฉบับที่ 2 กรกฎาคม - ธันวาคม 2551
Vol.3 No.2 July - December 2008
132 การเติบโตทางเศรษฐกิจของ 5 ประเทศในอาเซียน
Economic Growth in ASEAN-5 Economies
การใชจายของรัฐบาลและการเติบโต
ทางเศรษฐกิจของ 5 ประเทศในอาเซียน :
ตามแนวทางการปรับการกระจายของการถดถอย
โดยอัตโนมัติ (ARDL)
ฮัสซิน อับดุลลาร* มูซาฟา
Journal of Yala Rajabhat University
131
Government Expenditure and Economic Growth in ASEAN-5 Economies: an Autoregressive Distributed
Lag (ARDL) Approach
Hussin Abdullah* Muzafar Shah Habibullah** Siong Hook Law**
ABSTRACT
In this paper, we examine the relationship between components of government expenditure and economic growth in ASEAN-5 using the autoregressive distributed lag
(ARDL) approach developed by Pesaran, Shin, and Smith. Bound testing approaches to analysis of level relationship, and this test suggested that the all variables in functional form framework are bound together in long run. The results also show that there are possible long-run coefficient effects between the variables. Breaking down the components of government expenditure, we found that health expenditure (he), information and communication technology expenditure (ice), education expenditure (ee), and housing and community facilities expenditure (hce) have a positive effect on economic growth among the ASEAN5 countries. The military expenditure (me) has a negative significant effect on economic growth in Indonesia and the Philippines. These results support those of other studies that indicate that in the long-run coefficients of the variables are an important determinant of the real GDP.
Keywords: Government expenditure GDP growth Cointegration
Autoregressive Distributed Lag Model (ARDL)
*
College of Arts and Sciences, Universiti Utara Malaysia, 06010 Sintok, Kedah, Malaysia,
Department of Economics, Faculty of Economics and Management, Universiti Putra Malaysia,43400 UPM Serdang,
Selangor, Malaysia
**
ปที่ 3 ฉบับที่ 2 กรกฎาคม - ธันวาคม 2551
Vol.3 No.2 July - December 2008
132 การเติบโตทางเศรษฐกิจของ 5 ประเทศในอาเซียน
Economic Growth in ASEAN-5 Economies
การใชจายของรัฐบาลและการเติบโต
ทางเศรษฐกิจของ 5 ประเทศในอาเซียน :
ตามแนวทางการปรับการกระจายของการถดถอย
โดยอัตโนมัติ (ARDL)
ฮัสซิน อับดุลลาร* มูซาฟา
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