Analysis on the Effects of Economic Growth: Case Study of Malaysia

PUBLIC SPENDING POLICIES SHAPE THE MONETARY GROWTH IN MALAYSIA General public Expenditure/Public Spending can be defined as virtually any expenses of government specifically to improve certain areas and discipline. As an example, improving community goods and services, well being and health and wellness of the people, government defense forces and civil servants, maintaining the economic balance, reducing inequality of profits and reallocation of resources. Bose, Haque, Osborn (2003) where I really do believe in their arguments that public expenditure made by the us government will surely shape the economical growth of the. It can be seen in the plans made by Tun Razak which initiated in 1970 known as NEP or Fresh Economic Insurance plan that have take the country to be one of expanding country that is certainly progressive in their economic activities. Problem declaration

This exploration will identified whether the community expenditure launched by the federal government really put in to action and produce result from this to boost our economic progress. It is important to determine not only in the economic part directly although also to determine at different variables that may contribute to the economic as a whole. Goals

To see the influence from public expenditure plans towards Malaysia economic development To identify public expenditure factors particularly education that helps in economic expansion. Research Technique

This exploration focusing even more on the extra data which usually involve previous research from all other researchers, paperwork, reports made by government areas such as Financial Transformation System (ETP) Gross annual Report 2011 under Overall performance and Administration and Delivery Unit (PEMANDU), Department of statistic.

Authorities Intervention

Federal government Intervention

Conceptual Framework

Intervening Variables

Community Expenditure Policies

Public Expenses Policies

Financial Growth

Economic Growth

Sectorial Level:


Sectorial Level:


Reported: (PEMANDU), S. a. (2011). Economic Alteration Programme Gross annual Reprot 2011. Kuala Lumpur: Minister in Prime Minister Department.

ASCHAUER, D. A. (1989). IS DEFINITELY PUBLIC EXPENSES PRODUCTIVE? 5.. Journal of Monetary Economics 23.


Niloy Bose, M. Elizabeth. (2003). A Disaggregated Examination for Developing Countries. Open public Expenditure and Economic Development, 2-6.

Shnatayanan Devarajan, Versus. S. -F. (1996). The Composition of Public Costs and Monetary Growth. Diary of Financial Economics 37.