All Research

Rusli Latimaha · Zakaria Bahari · Nor Asmat Ismail ·Jurnal Ekonomi Malaysia ·2019

In this paper, the authors use dynamic panel data in order to assess the linkages between the cost of living, income inequality, gross domestic product (GDP) per capita, population and unemployment rate with respect to the street crime rate in Malaysia. More specifcally, the investigation considers whether the following could be capable of generating any difference in the crime rate observed across many types of street crime. The F-test, Breusch-Pagan Lagrange Multiplier test and Hausman tests affrm the most preferred model to explain criminal behaviour is by using Fixed Effects Model almost for all types of street crime. The fndings of the estimated coeffcients reveal that the cost of living is negatively related to all street crime types and not signifcant as well as unemployment rate. There is a motivation towards street crime not to earn a living or jobless, but other motivating push factors that relate to the personalities of the offenders such as drug addiction. Moreover, income inequality is only signifcant in terms of total street crime and unarmed robbery gang estimation models as well as GDP per capita and population in snatch and theft estimation models. Interestingly, we extend the by changing the defnition of crime into percentage and the results show that the cost of living is signifcant with the correct sign and has a positive relationship with all types of street crime rates except for snatch and theft estimation models. The GDP per capita is also a main infuencer on all types of street crime rates and has a negative relationship. Finally, the unemployment rate is only signifcant in the unarmed robbery estimation models and has a positive relationships as well as income inequality variable in total street crime and unarmed robbery gang estimation models. This street crime has been shown to be sensitive to the change in unemployment rate and income inequality and also have positive linkages.

Maya Puspa Rahmana · Nurfatihah Senusia ·Malaysian Journal of Consumer and Family Economics ·2019

This study explores the understanding, role and participation of the SMEs on digital economy, in line with the aspiration by the Malaysian government to have higher growth contribution coming from this segment. The primary data is collected from a semi-structured interview with six SMEs around Klang Valley from various industries and the analysis is conducted using coding and thematic analysis. Most of the SMEs interviewed are aware on the importance of online presence but lack the understanding on its contribution towards digital economy. While a high number of them are ready to embrace technology driven tools for sales, several others are still quite skeptical and facing difficulties in related cost management. This paper aims to offer specific insights from the SMEs on digital economy and the Malaysia’s move towards adopting the relevance of the fourth industrial revolution. It also identifies some of the issues to be tackled by the government in order to have more SMEs participation in the Malaysian digital economy.

Ahmad Suffian Mohd Zahari (Universiti Teknologi MARA · Yus Heary Mahmud · Raja Mariam Raja Baniamin ·International Journal of Economics and Management ·2019

Job satisfaction involves the emotions and their behavioural expression towards their job. It is known that a job is the activity which involves the satisfaction of emotion and expression. These emotions and behavioural expression is in relation to the pleasant or unpleasant feeling that they experienced towards their job fulfilment within an organization. These feelings are influenced by job-related factors. This had highly suggested that a job satisfaction level should be well accepted and satisfied by any employees to guarantee a minimal turnover for any organization. Therefore, the objective of this study is to identify the factors that influence job satisfaction among Fire and Rescue Department of Malaysia, Terengganu (FRDMT) fire fighters. It involves fire fighters from different grade level. It is important to identify job satisfaction among them in order to acknowledge their expression towards job satisfaction and to accommodate their opportunities to voice their opinion anonymously. This study uses primary data of 234 Fire and Rescue Department of Malaysia, Terengganu (FRDMT) fire fighters. Stratified random sampling technique was utilized for data collection, which is then analyzed using the descriptive and correlation analysis in order to achieve the objectives of the study. The findings showed that only working environment and co-workers significantly influence job satisfaction. Meanwhile, for the other three variables, namely promotion, reward and leadership style did not influence job satisfaction.

Zuraini Anang · Jaharudin Padli · Noorhaslinda Kulub Abdul Rashid · Roseliza Mat Alipiah · Haslina Musa ·Jurnal Ekonomi Malaysia ·2019

Water becomes a crucial issue in the 21st century because of rising population and increasing development. Water is needed for agriculture, energy production, recreation, and manufacturing. This study investigates the impact of economic indicators and climate change on water demand for 13 states in Malaysia. Using annual data from 2007 to 2015, the panel data approach is used to assess the impact of these determinants on water demand. The dependent variable is water resources, and independent variables comprise real income, total consumption per capita, agriculture sector, population density and climate change. The real income is a nonlinear equation and indicates a threshold in economic development because the welfare of residents and industry will decline after the optimum point due to the shortage of water resources. The results indicate that total consumption per capita, agriculture, and population density have a positive impact on water demand. The agriculture sector exerts high demand on water resources. The climate change is a correct sign that represents an increase in demand for water resources during dry periods and leading to water stress. This fnding is useful for improving the prediction of climate change to managing the water resources sustainably, particularly in the agriculture sector

Mohd Yassir Jaafar · Anuar Nawawi · Ahmad Saiful Azlin Puteh Salin ·Pertanika Journal of Social Science and Humanities ·2019

This study is intended to examine the levels of directors’ remuneration disclosure among public-listed companies in Malaysia. It further aims to examine the relationship among total directors’ remuneration, directors’ education level, size of external auditors, and proportion of managerial ownership and directors’ remuneration disclosure. The analysis is conducted based on three models, which are constructed from the Malaysian Code on Corporate Governance (Model 1), Global Practices (Model 2), and a combination of both Malaysian Code on Corporate Governance and Global Practices (Model 3). This study found that the size of external auditors had a positive significant relationship, while the proportion of managerial ownership had a negative significant relationship with the disclosure. This study contributes to the improvement of policymaking and body of knowledge by highlighting the relationship between the selected corporate governance characteristics and directors’ remuneration disclosure in the context of Malaysia.

Siti Hajar Salwa Binti Ahmad Musadik (University Utara Malaysia (UUM)) · Ilhaamie Binti Abdul Ghani Azmi (Academy of Islamic Studies University of Malaya (UM)) ·Malaysian Journal of Consumer and Family Economics ·2019

Studies on impulse buying have been substantially conducted in developing countries by vast researchers. Nevertheless, such studies are in scarcity amidst Asian countries, particularly Malaysia. Besides, studies that have looked into the variables of materialism, sale promotion, money and time availability, and hedonic motivation are also rather sparsely carried out in the light of impulse buying behaviour. As such, this study examined the correlations between situational variables (sale promotion, money and time availability) and individual variable (materialism and hedonic motivation) with impulse buying behaviour among Muslim credit cardholders in Malaysia. In terms of instrument development, this study instrument consisted of 44 items adopted and adapted from prior studies. Questionnaires were distributed to 1,000 Muslim credit cardholders in Malaysia via purposive and snowball sampling techniques and only 635 were usable for final data analysis. The analysis was performed via Partial Least Square (PLS-SEM) analysis. The outcomes revealed that materialism, sale promotion, money and time availability, and hedonic motivation displayed significant positive correlations with impulse buying behaviour.

Mohd Shahidan Shaari · Nor Hidayah Harun · Nor Ermawati Hussain ·Jurnal Ekonomi Malaysia ·2019

Economic growth plays an important role in determining the number of female labour force. As economic growth intensifes, the number of female labour force increases simultaneously. However, the rise in the number of female labour force can lead to an increase in the number of child abuse cases. Therefore, this study is essential to explore the relationship between female labour force and child abuse cases in Malaysia. This study employs the ARDL bound testing approach and the results show that a higher number of female labour force can contribute to a higher child abuse case in Malaysia. Therefore, policies on female labour force should be formulated to cushion its effects on child abuse cases.

Judhiana Abd. Ghani · Bhajan Grewal · Abdullahi D. Ahmed · Norashidah Mohamed Nor ·Jurnal Ekonomi Malaysia ·2019

By using fiscal datasets from 1990 to 2010 in Malaysia, a panel Dynamic-OLS (DOLS) is employed to investigate the extent to which fiscal decentralisation can support state level economic growth as proposed in the Market preserving federalism (MPF) theory. Despite having a more centralised federalism system, the result strongly shows that a fiscal decentralisation variable, (i.e. a composite ratio of decentralisation) has significant coefficient and positive relationship with state economic growth. This implies that a certain degree of fiscal decentralisation in Malaysia is able to contribute to states’ economic performance by adopting fiscal decentralisation simultaneously on both dimensions of revenue and expenditure. This validates the view that decentralisation is a multi dimentional measure. The study shows that Malaysia also would be able to benefit from a system of federalism which empowers state governments to make policies for their jurisdictions and to compete with one another for better services and higher investment. Hence, competition is the mechanism that creates incentives that result from satisfying the MPF conditions and subsequently leading to the achievement of higher state economic performance.

Sze Ying Loo · Mukaramah Harun ·Malaysian Journal of Economic Studies ·2019

This study examines the effects of global economic policy uncertainty (EPU) on Malaysia's macroeconomic indicators. Three substantive findings emerged from our inquiry based on a multivariate generalized autoregressive conditional heteroscedasticity (GARCH) model: (1) Domestic uncertainty - in nominal and real terms - seems to have no material impact on the macro-economy after controlling for global uncertainty. (2) Fluctuations in the global EPU are more important than domestic uncertainty in predicting a country's macroeconomic variables, particularly output and CPI-based inflation. The macroeconomic variables carry signs as per theoretical expectation. (3) The model predicts that external shocks exhibit a much larger impact on macroeconomic variables than those shocks originating from domestic markets. The results have deepened our insight on how the real variables correlate with external uncertainties and the fitful recovery in the recent past.

J.S. Keshminder · Gurmit Kaur Bariam Singh · Zainora AB. Wahid · Mohammad Syafiq Abdullah ·Malaysian Journal of Consumer and Family Economics ·2019

Green Sukuk serves as an alternative form of finance which is equipped with both climate mitigation and Shariah compliance features compared to conventional finance. Acknowledging the superiority of green Sukuk to raise funds to mitigate climate change, the World Bank took the lead to promote it globally by making Malaysia the premier green Sukuk hub. This study seeks to assess the development of green Sukuk from the aspect of issuance and Shariah principle used in Malaysia since its inception in 2014. The study reveals that the development in the green Sukuk market is slow but is robust in moving from the energy industry to the building industry, while Shariah contracts used are based on the issuers' underlying assets. The study concludes that the green Sukuk market is still small and liquidity constraint makes it difficult for investors to gain access. For the government to increase green Sukuk issuance, information about the performance, challenges, risks, and opportunities in the realm of green Sukuk must be made available to both issuers and investors.

Nur Sa’adah Muhamad · Syahnaz Sulaiman · Khairul Akmaliah Adham · Mohd Fuaad Said ·Pertanika Journal of Social Science and Humanities ·2019

Halal tourism, which arises from the growth in the number of Muslim travellers world-wide and the rapid development of halal industry, is defined as the engagement of any object or action by Muslim travellers that conforms to the Islamic teachings and facilitates the practice of the religion. As such, the application of halal concept in tourism, including in its development and marketing, must be guided by the Islamic principles. With the purpose to understand the current state of knowledge and practice, we reviewed the literature on halal tourism that has been published in high-tier academic journals. Based on the review, we identified the emergent themes and the knowledge gaps for future research. Among others, we found that the industry is booming with increased participations from Muslimminority countries. However, there seems to be variations in the practice, perhaps due to the complexity of the market needs. The implementation of halal tourism by Muslimminority countries is the most pressing issue due to the need to ensure that the process and the service offered strictly comply with the requirements of Islamic teachings, while at the same time, to ensure that the countries are able to develop their halal sectors into competitive industries. Understanding the implementation of halal tourism is an important agenda for future research to ensure that the service provided addresses the fundamental issue of Muslims’ obligations to adhere to the Islamic teachings in all aspects of their lives including while travelling.

Mohd Amar Aziz · Badariah Haji Din · Kamaruddin Abdulsomad ·Institutions and Economies ·2019 ·JEL: I3; O3; P4; Z1

This paper examines transaction costs inthe institutional zakat system from the open innovation perspective and tries to understand its impact on performance. It attempts to harmonise the concept of transaction costs with the open innovation strategy, especially in the aspect of zakat distribution. A quantitative approach was applied in measuring the performance of zakat distribution, where the data were based on the perspectives of zakat payers in Malaysia. Transaction costs were treated as the mediator, while the property right of zakat was the independent factor towards the performance of zakat. The result showed two critical aspects of the transaction costs, namely the asset specificity and the service measurability, performed positively as mediators in determining the performance of zakat distribution. Institutional arrangements through open innovation strategy are suggested to reduce the transaction costs in delivering the benefits of zakat to the righteous recipients. It can be executed practically by focusing on the asset specificity and service measurability through the open innovation strategy. By reducing transaction costs, the public will be able to understand that the zakat institution developed not only to provide charity to the poor and needy, but its capacity stretches beyond the physical values by nurturing the giving spirituality with love and enhances the values of the transaction.

Nurita Juhdi · Junaidah Hashim · Rozailin Abdul Rahman ·Malaysian Journal of Consumer and Family Economics ·2019

Malaysia is in the midst of embracing the Industrial Revolution 4.0 and is working hard to strengthen the educational sector so that the future human capital possesses high ethical values and morality. Term like internet of things become the buzzword of the day but still, Islamic education providers particularly private Islamic schools in Malaysia are still struggling to survive and coupled with high turnover rates among the teachers, they have difficulty in producing high quality Islamic education. They are in dire needs of teachers who are willing to stay and sacrifice for students. Despite the high turnover rate, there are teachers who are still willing to stay and hence, the study was conducted to investigate the reasons for the teachers to stay. Job embeddedness theory was used in this study because it was able to uncover the reasons why employees stay in organizations and thus, the study examined the relationship between job embeddedness and employee retention among teachers in private Islamic schools in Malaysia. Three hundred and ninety school teachers in private Islamic schools participated in the study and the data was collected using survey forms. The findings revealed that fit to organization, fit to Islamic school practices, fit to community, links to school and organization-related sacrifices were significantly related to employee retention. The findings contribute significantly to the school administrators. Islamic education aims to nurture the young people as the future leaders. High turnover rates could negatively affect the goal of Islamic education and thus, the administrators and the policy makers have to give attention to the pressing issue especially in the era of technological sophistication.

Fazelina Sahul Hamid · Muhamed Zulkhibri ·Institutions and Economies ·2019 ·JEL: E44; E52

This paper examines the effectiveness of bank lending channels in ASEAN countries. The main objective of this paper is to identify whether the effectiveness of bank lending channels in ASEAN differs based on the countries’ financial structure, banks’ fundamentals and ownership type. The study makes use of unbalanced panel data of 214 commercial banks in nine ASEAN countries for the period from 2001 to 2015. Analysis using dynamic GMM estimators finds that the bank lending channel is more effective in CLMV countrieswhich have a less-developed financial sector compared to ASEAN-5 countries which have a moredeveloped financial sector. Particularly, we find that smaller banks with less liquidity have a broader scope to expand their financing portfolios when interest rates rise. We also find that foreign banks in ASEAN-5 countries andstate-owned banks in ASEAN countries weaken the effect of monetary policy transmissions. However, local banks are vulnerable to changes in monetary policy. Further analyses confirm that the influence of ownership structure on credit growth is partly driven by the differences in the banks’ specific characteristics.Our findings suggest that theeffectiveness of bank lending channel depends on financial structure, bank fundamentals and ownership structure. The regulators need to take this into account to ensure that the changes in monetary policy achieve the desired objectives.

Gabriel Hoh Teck Ling ·Institutions and Economies ·2019 ·JEL: P48; D23; D02; D62; H4; K11

Within a housing estate, neighbourhood public open spaces (NPOS) are typically governed and managed under the state property regime. However, issues of NPOS overexploitation, mismanagement, and underinvestment persist, which consequently compromise community neighbourhood sustainability. Underpinned by Lin Ostrom’s self-organising-and-governing collective action as a third alternative to addressing theneighbourhoodcommonsissues, this paper examines the applicability and feasibility of the modified Ostromeight design principles (DPs) to the institutional-social-physical system of local public open spaces (POS) andshowcaseshowthecurrentlocalstate-owned common-pool-resource (CPR) can potentially be shifted to a polycentric common property club good NPOS. The residential Country Lease (CL) NPOS and Native Title (NT) NPOS of two districts, namely Kota Kinabalu and Penampang in Sabah, Malaysia, were chosen. The local institutional-social-NPOS performanceis validated and assessed, using a systematic coding system that expresses the extent of absence and presence of DPs. The modified DPs are valid in curbing the existing local NPOS dilemmas as the former may minimise the enforcement costsand perverse incentives (opportunism) of the social-NPOS system, and they are likely to be feasibly adapted into the local NPOS system since the spatial and institutional attributes of some NPOS (especially CL NPOS) highly resemble and adhere to the modified DPs.Thisstudy provides awareness and insights to policymakers that the integrated, adaptive self-governing and organising collective action system is a potential solution, creating a liveable, resilient and sustainable community neighbourhood