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Analysis the Relationship Between Selected Economic<br />

Factors with GDP: Multiple Linear Regression<br />

Ong Yin Inn<br />

Supervisor: Dr. Syerrina Binti Zakaria<br />

Bachelor of Science (Financial Mathematics)<br />

School of Informatics and Applied Mathematics<br />

This study aims to examine the correlation and analyze the relationship between gross<br />

domestic product (GDP), human development index (HDI), poverty rate, unemployment<br />

rate and inflation rate. The data were obtained from World Bank, UNDP and Department<br />

of Statistics Malaysia. A sample of 30 years from 1987 to 2016 were be used in this study.<br />

The Pearson correlation has been calculated, and multiple linear regression analysis has<br />

been conducted to analyze the relationship between GDP, HDI, poverty rate,<br />

unemployment rate and inflation rates. Based on correlation analysis, there is a<br />

correlation between GDP with HDI, poverty rate and unemployment rate but there is no<br />

correlation between GDP and inflation rate. By regression analysis, it shows that HDI and<br />

unemployment rates are statistically significant relationships with GDP. The results of this<br />

study contribute to further research to enhance Malaysia's GDP and economy.<br />

881 | UMT UNDERGRADUATE RESEARCH DAY 2018

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