Foreign Direct Investment, Economic Growth and Labour Market Regulation: Empirical Evidence from Malaysia
Pelaburan Langsung Asing, Pertumbuhan Ekonomi dan Peraturan Pasaran Buruh: Bukti Empirikal dari Malaysia
Keywords:
Foreign Direct Investment, Economic growth, Labor market, Threshold estimation and MalaysiaAbstract
This study aims to analyze the role of labor market regulation in moderating the impact of foreign direct investment (FDI) on economic growth. It tests whether countries with high level of labor market regulation can benefit from FDI inflows more efficiently. It uses observation from Malaysia and data spanning over 2000-2015 period. Threshold regression was employed to examine the influence of labor market regulation on the impact of FDI on output growth. The result suggest that there is a threshold effect in the FDI-growth relationship such that the positive impact of FDI after Malaysia achieve a certain level of quality in term of labor market regulation. This finding is consistent with the view that host countries must have absorptive capacity in order to benefit from FDI inflows. Therefore, policymakers should weigh the cost of policies aimed at attracting FDI versus those that seek to improve the regulation of labor market.
Kajian ini bertujuan untuk menganalisis peranan peraturan pasaran buruh dalam menyederhanakan impak Pelaburan Langsung Asing (FDI) terhadap pertumbuhan ekonomi. Analisis ini adalah untuk menguji sama ada negara yang mempunyai peraturan pasaran buruh yang ketat boleh meningkatkan manfaat daripada aliran masuk FDI dengan lebih efisyen. Kajian ini menjadikan Malaysia sebagai sampel dengan membuat pemerhatian terhadap data yang merangkumi tempoh antara tahun 2000-2015. Bagi mendapatkan jawapan berkenaan pengaruh peraturan pasaran buruh yang berkaitan kesan FDI terhadap hasil (output) pertumbuhan ekonomi, regresi ambang telah digunakan. Hasil kajian mendapati bahawa terdapat kesan ambang dalam hubungan pertumbuhan ekonomi dengan FDI iaitu kesan positif FDI selepas Malaysia mencapai beberapa tahap kualiti terutamanya berkaitan peraturan pasaran buruh. Ini menunjukkan bahawa hubungan ini konsisten dengan pandangan pakar bahawa negara-negara tuan rumah mesti mempunyai kapasiti penyerapan untuk mendapat manfaat daripada aliran masuk FDI. Oleh itu, pihak pembuat dasar perlu menggubal polisi yang melibatkan kos yang bertujuan untuk menarik FDI berbanding dengan usaha mereka untuk memperbaiki peraturan pasaran buruh.
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