Deteminants of export in Malaysia / Syafiqah Saad

The purpose of this research is to investigate the relationship between import, inflation, exchange rate and foreign direct investment towards export in Malaysia. This research presents a study of determination of export in Malaysia over the period 1980 to 2019. Therefore, there are a total of forty (40) number of observations. Hence, the variables as independent variables are import (1M), inflation rate (IR), exchange rate (ER) and foreign direct investment (FDI). Whereas, export (EX) as dependent variables to investigate the statistical relationship and evaluate the hypotheses. The data was examined using E-views. The expected results from this research is that imports and the exchange rate has a positive association with exports in Malaysia. However, the Inflation has a negative link because higher aggregate prices raise manufacturing costs and reduce export price competitiveness. Thus, foreign direct investment has an inverted-U curve relationship, which provides additional insight into the contradictory evidence of a linear link between export and FDI.
Keywords: Exchange Rate, Export, Foreign Direct Investment, Import and Inflation Rate.