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Information and Communication Technology (ICT) and human capital management trend in Malaysia's economic development

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  • Jorah Ramlan
  • Elsadig Musa Ahmed

Abstract

Testing for stationarity, cointegration and structural break for the ICT data are significant to determine Malaysia's economic growth. This article finds that the ICT follows similar trend as Gross Domestic Product (GDP), capital and employment data. The cointegration test suggests that ICT follows a long-run equilibrium in relation to GDP, capital and employment variables. The test for parameter instability for ICT indicates 1986 as the breakpoint, which is indicative of the structural transformation in Malaysia's economy. This is crucial finding as it provides more conclusive evidence on structural breakpoint in Malaysia's economic data, as opposed to noneconometric method. Human capital is synonymous to knowledge accumulation, thus significant in the development of the ICT and long-run economic growth.

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  • Jorah Ramlan & Elsadig Musa Ahmed, 2009. "Information and Communication Technology (ICT) and human capital management trend in Malaysia's economic development," Applied Economics Letters, Taylor & Francis Journals, vol. 16(18), pages 1881-1886.
    • Handle: RePEc:taf:apeclt:v:16:y:2009:i:18:p:1881-1886
    DOI: 10.1080/13504850701719637
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    1. Zoran Ježiæ & Petra Adelajda Zaninoviæ & Renee Škuliæ, 2022. "How does the ICT affect human development? Evidence from developing vs. developed countries," Zbornik radova Ekonomskog fakulteta u Rijeci/Proceedings of Rijeka Faculty of Economics, University of Rijeka, Faculty of Economics and Business, vol. 40(1), pages 9-27.
    2. Bessan Ayédoun, Eudoxie & Ayédoun, Christian, 2020. "Développement des Infrastructures de Télécommunication et Croissance Economique dans les Pays de l’UEMOA: une Analyse de la Causalité sur Données de Panel à partir d’un VECM [Telecommunication Infr," MPRA Paper 104459, University Library of Munich, Germany, revised 01 Feb 2021.
    3. Pradhan, Rudra P. & Arvin, Mak B. & Hall, John H., 2016. "Economic growth, development of telecommunications infrastructure, and financial development in Asia, 1991–2012," The Quarterly Review of Economics and Finance, Elsevier, vol. 59(C), pages 25-38.
    4. Pradhan, Rudra P. & Arvin, Mak B. & Norman, Neville R., 2015. "The dynamics of information and communications technologies infrastructure, economic growth, and financial development: Evidence from Asian countries," Technology in Society, Elsevier, vol. 42(C), pages 135-149.
    5. Rudra P. Pradhan & Mak B. Arvin & Mahendhiran Nair & Sara E. Bennett & John H. Hall, 2019. "The information revolution, innovation diffusion and economic growth: an examination of causal links in European countries," Quality & Quantity: International Journal of Methodology, Springer, vol. 53(3), pages 1529-1563, May.
    6. Sakiru Adebola Solarin & Muhammad Shahbaz & Habib Nawaz Khan & Radzuan Bin Razali, 2021. "ICT, Financial Development, Economic Growth and Electricity Consumption: New Evidence from Malaysia," Global Business Review, International Management Institute, vol. 22(4), pages 941-962, August.
    7. Pradhan, Rudra P. & Arvin, Mak B. & Norman, Neville R. & Bele, Samadhan K., 2014. "Economic growth and the development of telecommunications infrastructure in the G-20 countries: A panel-VAR approach," Telecommunications Policy, Elsevier, vol. 38(7), pages 634-649.
    8. Hui Zhang & Yuyao Qian & Liying Yu & Zheng Wang, 2020. "Integrated Development of Information Technology and the Real Economy in China Based on Provincial Panel Data," Sustainability, MDPI, vol. 12(17), pages 1-17, August.
    9. Rudra P. Pradhan, Mak B. Arvin, & Mahendhiran Nair, Jay Mittal, & Neville R. Norman, 2017. "Telecommunications infrastructure and usage and the FDI–growth nexus: evidence from Asian-21 countries "Abstract: This paper examines causal relationships between telecommunications infrastructur," Department of Economics - Working Papers Series 2032, The University of Melbourne.
    10. Dehghan Shabani, Zahra & Shahnazi, Rouhollah, 2019. "Energy consumption, carbon dioxide emissions, information and communications technology, and gross domestic product in Iranian economic sectors: A panel causality analysis," Energy, Elsevier, vol. 169(C), pages 1064-1078.

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