Here is something I have taken for granted before, taken from the latest Malaysian national accounts (GFCF is investment).

Some parts of the economy enjoy stable growth rates in normal times. Consumption and government spending are two of the GDP components which grow in a stable manner, unless there is a recession. As much as ridiculous as it may sound (yeah, that is the libertarian in me speaking out), the government does plan its […]

There are Harold and Kumar, after Harrod and Domar, a high rate of development, after a great pot investment.

PEMANDU claims “confidence from the ETP saw private investment hit RM94 billion and RM131 billion worth of GNI generated in 2011.” A bold claim. Let us see the trend of private investment in the last 11 years. Do you see anything special about 2010 and 2011? What I see is only a reversion to mean. […]

Economics has been labeled as some sort of a discipline that predicts the future. The application of various models and efforts at testing its various hypotheses that sometimes result in the affirmative may have contributed to that reputation but it is not about predicting the future. Rather, it is about finding lessons from the past, […]

In the NST today: KUALA LUMPUR: Malaysia is back on the global investment map. A record RM46 billion was invested in 1,077 approved manufacturing projects last year by local and foreign investors, a 48 per cent jump from the RM31 billion invested in 2005. The keyword is “approved“. A more important question is, how much […]

I was reading the Business Times and I saw this: In 2007, Malaysia’s GDP is estimated to grow at more than 5.0 per cent. The two key drivers of demand will be higher government spending and an increase in private investments, particularly with the implementation of the 9th Malaysia Plan. Quiz for students of macroeconomics: […]