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The Analysis of Efficiency in Public Education Expenditure in Malaysia<br />

Mohamad Munir bin Mohamad Puzi<br />

Supervisor: Dr Noor Haslinda bt Kulup Abdul Rashid<br />

Bachelor of Economics (Natural Resources)<br />

School Of Social and Economic Development<br />

The Malaysian government's expenditure on the public higher education sector has<br />

recorded the second highest position among developing countries in terms of percentage<br />

of GDP (World Ranking Reveals, 2013). The performance of the local public universities is<br />

not very significant based on the statistical outlook. Malaysia has been in a poor position<br />

with 44th position in terms of output. The objectives of this study is to measure the level<br />

of resource allocation efficiency in the Malaysian public education sector and identifying<br />

the competencies of each university in the higher education sector in Malaysia. The<br />

method used in this study is DEA (Data Envelopment Analysis). The findings show that<br />

local universities are less in efficiency terms of resource management as compared to<br />

private university performance. The government should review the national education<br />

policy in line with current developments in education sectors.<br />

Keyword: government's expenditure on the public higher education sector, spending<br />

efficiency, public universities, private universities, resource efficiency.<br />

1429 | UMT UNDERGRADUATE RESEARCH DAY 2018

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