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The Impact of Foreign Direct Investment on Employment in Malaysia<br />

Nur Atikah Binti Mohd Zaidi<br />

Supervisor: Dr. Nor Ermawati Binti Hussain<br />

Bachelor of Economics (Natural Resources)<br />

School of Social and Economic Development<br />

This study was conducted to see the impact of foreign direct investment on employment<br />

in Malaysia. The data used in this study from year 1986 until 2016. The research methods<br />

used in this study were unit root test, augmented dickey-fuller, Co-integration test, vector<br />

error correction model (VECM) test and granger causality test. The results show<br />

employment is a cause for foreign direct investment in the short term. While economic<br />

growth and development expenditure are the cause of foreign direct investment in the<br />

long term.<br />

1481 | UMT UNDERGRADUATE RESEARCH DAY 2018

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