The Need To Step Up Fiscal Stimulus

Understandably, all eyes are on the forthcoming budget to be unveiled on 1 September. The government has been pursuing a pragmatic fiscal policy in recent years, with deficit budgets to stimulate the economy, in the aftermath of the 1997/98 financial crisis. What makes this fiscal policy all the more palatable is that the deficits have … Read more

Time For APEC to Walk the Talk

One does not usually hear much about Apec, a regional grouping of 21 member economies of the Pacific Rim, after the annual summits. The flurry of activities that precede the meetings of APEC heads tends to quickly peter out once the summits are over. The silence that fills the void between summits ironically speaks volumes. … Read more

Slower Employment Growth Ahead

Securing a healthy economic growth amid political stability is essential to achieve Malaysia’s developmental goals. Stable economic growth has managed to partly solve problems such as poverty and unemployment. For an average person, a healthy economy means better job opportunities and higher income. This has become critical with the significant rise in the cost of … Read more

Towards a Vibrant Entrepreneurship Policy

The shift towards a knowledge-driven, small-firms-dominated, and highly dynamic industrial structure has prompted policymakers around the world to emphasise the importance of entrepreneurship. Many countries, including Malaysia, are now exploring further what they need to do to create a vibrant entrepreneurship culture and increase the supply of new entrepreneurs (and hence new businesses). Publication: MIERScan, … Read more

Wood-based Industry deserves more attention

The wood-based industry (WBI) has long been an important segment of Malaysia’s dynamic manufacturing sector, the main driver of economic growth for the country. The industry has also played a significant role as an export earner. The industry has undergone major changes over the years, with downstream activities becoming increasingly important. Malaysia is no longer … Read more

Explaining High Oil Prices

Oil prices have been increasing dramatically in recent years. As a result, consumers are forced to endure increased costs for energy and gasoline. Oil prices affect the economy as a whole. Increased oil prices have an impact on costs involved in the manufacturing and transporting of goods; as such, they tend to result in aggravating … Read more

The Malaysian Capital Controls: A Success Story?

This paper contributes to the debate on the use of temporary controls on capital outflows as a crisis resolution measure by examining the outcome of Malaysia’s radical response to the 1997-98 financial crisis. The analysis suggests that carefully designed temporary capital controls were successful in providing Malaysian policymakers a viable setting for aiding the recovery … Read more