The impact of education on economic growth in Malaysia/ Nurul Asyiqin Che Haron

Education has become one of the central issues in the study of economic development. The existing literature suggests that human capital, especially education is an important component of economic growth. However, there are various debates over whether changes in educational attainment do affect the economic growth rate. Thus, this study aims to examine the impact of education on economic growth in Malaysia. The real gross domestic product (GDP) is chosen as the dependent variable in this study while higher graduate student (HEGS), level of income education (LIE), private public ratio (PPR), secondary school enrolment (SSE) and total employed labour force (TELF) are chosen as independent variables of this study. Data of this study will be gathered from Data Stream and World Bank Data from the year 1970 to 2018. This study has conducted by using Ordinary Least Squares method and all data will be tested in EViews software. As result of finding, the total employed labour force and secondary school enrolment have significant relationship with gross domestic product. Meanwhile, higher graduate students, level of income education and private public ratio have a significantly negative relationship with gross domestic product.