Empirical analysis of effect tax revenue on economic growth: case of Malaysia / Mohammad Fuad Kaipin

This paper identify the effect tax revenue on economic development in Malaysia based on human development index, gross domestic product and development expenditure. Whereby, in this study is to identify whether there is a difference using human development index as dependent variable through the independent variable in establishing the relationship. The methodology used involved collection data for each variables selected in Malaysia since 1990 until 2015. The test are to investigate the long-run and short-run relationship between each variables towards effect tax revenue on economic development in Malaysia. Thus, the result Granger Causality test shows tax revenue and gross domestic product shows directional causality in which both variables has short-run relationship.