The impact of economical factors on economic growth in Malaysia / Norshahira Baharuddin

The purpose of this study is to investigate the factors that stimulate the economic growth in Malaysia. This paper examines whether the changes trend of economic growth in Malaysia will give an impact on the Government Spending, Foreign Direct Investment, Exchange Rate and Export. Over the past few years, economic growth in Malaysia has experienced a difficulty after economic crisis. Thus, this study will explained more about the relationship between the independent variables and economic growth in Malaysia. The data obtained to conduct this study was collected in annually basis from year 1966 to 2016. In the process of findings, there are few types of analysis were tested using the Econometric Views (E-Views) such as Multiple Linear Regressions, normality test, unit root tests and more. Based on the result, it reveals that only one independent variable that are significant to economic growth. Foreign Direct investment shows a positively relationship towards the economic growth in Malaysia. Therefore, it is perfectly significant. Meanwhile, another three independent variables such as Government Spending, Exchange Rate and Export have no significant impact towards the economic growth in Malaysia.