Research

Kwee-Heng Lee · Raja Noriza Raja Ariffin · Nik Rosnah Wan Abdullah ·Institutions and Economies ·2018 ·JEL: I 15; I 18; I 19

The emergence of proprietary private hospitals in the 1980s has led to a rise in cost of health care services, variation in care and increase in adverse events. These have contributed to societal concerns prompting the authorities to enforce Private Healthcare Facilities and Services Act 1998 (Act 586) that regulates all private hospitals nationwide in2006. Employing a case study approach, this paper discusses some salient themes on the impact of Act 586 on 15 purposively selected private hospitals in the Klang Valley in terms of achieving the national objectives of accessibility, equity and quality care. This study reveals several interrelated themes such as of policy, power, governance, compliance, and quality of care in achieving the national objective. Findings point to high investment of the state in private hospitals. Although a private hospital is stipulated to be a physician-led institution, in reality the majority of these hospitals are owned by government-linked corporations. Many private hospitals face major challenges in terms of compliance with the new regulations meant to improve patient safety and quality of care. However, full compliance to the regulations remains an insurmountable challenge as the private providers are influential. Faced with political constraints, asymmetric information and inadequate human resources, the regulatory authority seems hampered in its enforcement capacity.

Joshua Aizenman · Gazi Salah. Uddin · Tianqi Luo · Ranadeva Jayasekera · Donghyun Park ·NBER Working Paper Series ·2022 ·JEL: E52,E58,F42

This paper examines whether prudential policies help to reduce sovereign bond vulnerability to global spillover risk in ASEAN-4 countries (Indonesia, Malaysia, the Philippines, and Thailand). We measure sovereign vulnerability within a risk connectedness network among sovereign bonds. The direct effect is that markets with tighter prudential policies have significantly smaller spillovers from the Treasury yield shocks of other regional and global economies. The sum of indirect and direct effects indicates that prudential policies reduce sovereign spillover risk in the long term. These findings suggest prudential policies have dual efficiency in sovereign risk regulation and Treasury internationalization.

My-Linh Nguyen · Toan Ngoc Bui ·Economies ·2021

This paper focuses on examining the nonlinear impact of trade openness (TO) on economic growth (EG) in the Asean-6 countries (Indonesia, Malaysia, Thailand, Singapore, Philippines, and Vietnam). In order to achieve the set research objectives, the authors estimate the research model through the fixed-effect panel threshold approach. Unlike previous studies, this paper finds that there is a nonlinear impact of TO on EG, whereby TO has two threshold values. Specifically, before the first threshold value, TO plays an important role in boosting EG. However, this impact level decreases gradually when TO exceeds this threshold value. In particular, when exceeding the second threshold value, the impact of TO on EG is still positive but has a relatively low value. The research results show that if TO increases to a high level (beyond the threshold value) without combining with other complementary policies, this does not encourage high-efficiency EG. In addition, this study also shows that EG is positively affected by domestic investment and negatively affected by financial crisis. The findings in this paper are of great importance for the Asean-6 countries as well as researchers.

Noor Zahirah Mohd Sidek · Bhuk Kiranantawat · Martusorn Khaengkhan ·Economies ·2022

In the present paper, we show how uncertainty emanating from fluctuations in economic uncertainty, news-based uncertainty, and geopolitical risks affect the number of containers exported from Thailand via Penang Port, Malaysia. Our sample extends from January 2009 to May 2020 from three main entry points in the Northern Peninsular Malaysia–Thailand Border: Padang Besar, Surat Thani, and Bukit Kayu Hitam. Two modes of transportation of containers are mainly used for export purposes, namely, road and rai. This study examines the nonlinear effect of uncertainty on trade by employing a two-regime Markov regime-switching approach. The empirical results show that, overall, uncertainty significantly affects the movement of containers in the high-uncertainty regime. Therefore, small ports must continue to diversify their client base to cushion the impact of fluctuations in global trade due to uncertainty

Mujeeb Saif Mohsen Al-Absy · Ku Nor Izah Ku Ismail · Sitraselvi Chandren · Shehabaddin Abdullah A. Al-Dubai ·Journal of Asian Finance, Economics and Business ·2020 ·JEL: M40, M41, M42, M48

This paper investigates the effect of the involvement of the board chairman in the audit committee (AC) on earnings management (EM). It examines Bursa Malaysia-listed companies with the lowest positive earnings for the years 2013 to 2015. The Modified Jones Model by Kasznik (1999) was used to determine discretionary accruals. An AC that includes its board chairman as an ordinary member is associated with greater discretionary accruals. However, a board chairman who is also the chairman of the AC does not seem to influence discretionary accruals. This paper supports the agency theory and policy-makers’ efforts to prevent board chairmen from sitting on ACs. It is the first study that uses the agency theory to describe the association between the board chairman’s involvement in the both AC and EM. This study alerts policy-makers, stakeholders and researchers to the influence of a board chairman serving on the AC in curbing EM. Furthermore, it provides empirical evidence that the majority of Malaysian companies whose board chairmen are involved in the AC appoint the chairman as an ordinary member of the AC. This indicates that executive directors may affect such actions. Hence, more policies are needed to improve AC independence.

Nurlin Amirudin · Tae-Hyoung · Tommy Gim ·Resources, Conservation and Recycling ·2019

Food waste is a global issue that is currently gaining attention in light of food security problems and related environmental issues. Studies related to household food waste have looked at consumer behavior in attempting to explain household food waste behaviors. However, standing for material infrastructure, food accessibility has been suspected to indirectly impact household food waste behaviors. This study therefore looks at perceived food accessibility, measured in terms of perceived time and perceived effort, and its impact on household food waste. A conceptual model is formed through a review of the literature and data obtained from a survey conducted at two locations in the Klang Valley, Malaysia. The collected data are then analyzed using partial least squares structural equation modeling. Three significant paths are found in the model connecting food waste with effort levels, environmental concern, and price importance.

Dung V. Dinh · Robert J. Powell · Duc H. Vo ·Journal of Asian Economics ·2021 ·JEL: G33, G28

This study is conducted to investigate the prediction of corporate financial distress based on the Merton (1974) market-based Distance to Default (DD) model over the period from 1997 to 2016 which covers a range of economic financial circumstances, including the Asian Financial Crisis (AFC) and Global Financial Crisis (GFC). The study focusses on the six largest countries in the ASEAN Economic Community (AEC), comprising of Indonesia, Malaysia, the Philippines, Singapore, Thailand, and Vietnam. Unlike previous studies which focus mainly on bankruptcy, this paper focusses on early warning distress indicators that signal distress well before bankruptcy. This is when firms experience difficulty in servicing debt as measured by interest coverage ratio (ICR) at a firm level and non-performing loans (NPLs) at a country level. Key empirical findings from this paper indicate that the market-based distance-to-default (DD) model is generally a good early warning indicator of financial distress in the following year, particularly for ICR, but that prediction accuracy varies between individual countries in the Southeast Asian region.

Christopher Gan · Rafiatul Adlin Hj Mohd Ruslan · Baiding Hu · Nguyen Thi Thieu Quang ·International Journal of Business and Economics ·2020 ·JEL: L26; O53

This study investigates the relationship between access to microcredit and SMEs’ performance. Using survey data on SME’s owners/managers in Terengganu, Malaysia in 2016, the study investigates how access to microcredit affects SME sales and employment growth. Employing the Propensity Score Matching method (PSM), the study showed that SMEs with microcredit borrowing had their sales 25.6% to 25.7% higher than nonmicrocredit borrowers. After minimizing the selection bias from both observable and unobservable characteristics using Differences in Differences method (DID), the difference was much larger (28.7%). However, both PSM and DID analyses revealed no impact of microcredit access on SME employment growth. The Endogenous Switching Regression method (ESR) confirmed these findings.

NurulHuda Mohd Satar · Md. Khaled Saifullah · Muhammad Mehedi Masud · Fatimah Binti Kari ·International Journal of Social Economics ·2021

In light of the rapid evolution of information and communication technology (ICT), every society is faced with many issues such as social exclusion, inequality and the digital divide. Hence, there is need to solve these complex challenges without comprising any development objective. A practical solution in this regard includes establishment of a sustainable model of community development. Therefore, this paper aims to identify the role of education in promoting the awareness on the use of ICT-based infrastructure among the general public to enhance their socioeconomic status. In addition, this study sets out to establish the nexus between socioeconomic status, ICT programme as well as the awareness of Kemaman Smart Community (KSC) development project.

Norfaiezah Sawandi · Norazita Marina Abdul Aziz · Ram Al Jafri Saad ·International Journal of Supply Chain Management ·2019

The objective of the study is to explore and examine the forms and means employed by one zakat institution in Malaysia in discharging its accountability to the stakeholders. Case study approach was used in the study involving the use of both of primary and secondary data. The primary data was gathered via the face to face in-depth interviews that were conducted with the representatives of the zakat institution. The secondary data was gathered from different sources such as the zakat collection and distributions reports of the zakat institution. The interview data was analysed using a manual coding and the secondary data was content analysed using a thematic analysis. The study finds that the zakat institution studied has been discharging two categories of accountability that are financial or formal and social or informal form of accountability. The financial/formal form of accountability has been discharged mainly via the zakat collection and distribution reports. Meanwhile, it is observed that the latter category of accountability has been discharged through both of means that are account- and action-based mechanisms, which include zakat collection and distribution reports and various non-zakat society/community programs respectively.

Tulus Suryanto · Muhammad Haseeb · Nira Hariyatie Hartani (Universiti Utara Malaysia (UUM)) ·International Journal of Supply Chain Management ·2018

Over all businesses are ever changing competition environment, organization are always required to make modification internally and externally to compete globally successfully into marketplace. Supply chain management is key sources for firms to gaining superior performance. The basic purpose of this paper is to examine the level of association between the two indicators management support and their organization learning with the concept of green supply chain management environment. Supply chain is globally increasingly important concerns for all business and challenge for them are logistics management. Total quality management (TQM) and environmental management come from firm’s experiences and procedure of organizational learnings. This study computed positive significant relationship with organizational learning mechanism; support of organization and GSCM practices adopted controlled variables from organizations size, regulations of country perspective, cost pressure by organization, practices of industry at different levels. Over all findings and implications of logistics management are discussed.

Abdul Ghafoor · Rozaimah Zainudin · Nurul Shahnaz Mahdzan ·Journal of Business Ethics ·2019

This study investigates the key factors that elicit financial reporting fraud among companies in Malaysia. Using enforcement action releases issued by the Security Commission of Malaysia (SC) and Bursa Malaysia, we identify a sample of 76 firms that had committed financial reporting fraud during the period of 1996–2016. We use the fraud triangle framework and the Malaysian International Standards on Auditing 240 to identify the factors. Since the simple probit model fails to address the identification problem (partial observability), we estimate our results using a bivariate probit model. The new model estimates the effects of pressure, opportunity, and rationalization on the probability of fraud likelihood by disentangling the detection probability of fraud. Among several proxies used for pressure, our results suggest that aggressive tax reporting and financial difficulties increase the likelihood of fraud commission. In regard to opportunity, we find that dedicated institutional investors, independence of the board, effective audit committee, and the presence of a female on the board provide active monitoring and oversight in reducing fraud occurrence. Results for rationalization suggest that prior violations and frequent changes of external auditors increase the chances of fraud occurrence. This research offers possible insights to auditors, managers, and regulators to prevent, detect, and react to fraud. Specifically, it highlights the specific factors that may exacerbate the fraudulent intentions of firms.

Asrul Akmal Shafie · Haarathi Chandriah · Yee Vern Yong · Sharifa Ezat Wan Puteh ·Value in Health Regional Issues ·2019

Objective To describe the process and role of health technology assessment (HTA) in the context of drug policy in Malaysia. Methods We summarized the HTA process through review of documents and reports available in the public domain combined with the authors' experience. Results Health technology assessment plays an integral part in prioritizing treatment in public health facilities in Malaysia, particularly for the Ministry of Health Medicines Formulary (MOHMF). The MOHMF is the reference list of drugs allowed to be prescribed in the Ministry of Health (MOH) facilities. There are 2 organizations within the MOH that conduct HTA as their core activities, namely the Malaysian Health Technology Assessment Section and the Formulary Management Branch of Pharmacy Practice & Development Division. The assessment of pharmaceuticals for the purpose of listing medicines into the MOHMF is under the purview of the Formulary Management Branch. The evidence-based assessment focuses on safety, efficacy, effectiveness, and budget impact of the drug. Cost-effectiveness evidence is currently not mandatory but is of interest to the decision makers. The assessment outcomes are considered by the MOH Medicines List Review Panel for formulary decisions. Conclusions Health technology assessment has supported formulary decisions in MOH. Evidence generation needs to progress beyond efficacy or effectiveness, safety, and budget impact to incorporate cost-effectiveness. Nevertheless, there are challenges to be met to achieve this. The impact of the HTA process is currently unknown and is yet to be evaluated formally.

Zubair Hassan · Muneeb Khan Lashari · Abdul Basit ·Entrepreneurial Business and Economics Review ·2021 ·JEL: O15, P47, Q01, Z12

This study contributes to the existing literature on promoting entrepreneurial culture among students by establishing the key determinants of entrepreneurial culture through risk-taking behaviour, innovation, creativity, and empowerment. One of the unique aspects of this research is that these four factors are studied together and tested based on what academic institutions in Malaysia do to cultivate entrepreneurial culture among the students.

Junaina Muhammad · Mohamed Hisham Dato' hj Yahya · Sabarina Mohammed Shah · Mohammad Mizanur Rahman ·Asian Economic and Financial Review ·2018

Islamic financial market is the growing innovation of global financial market which moves together with conventional and sectorial counterpart in many countries. As the fastest growing investment component, Shariah compliant stock index in Bursa Malaysia has picked up positive momentum and attracted more attention to the investors, policy makers, issuers and researchers. The main objective of this study is to investigate the co-movement between Shariah compliant stock and sectorial stocks indexes performance in Bursa Malaysia using a standard time series techniques. For understanding a long run and short run co-movement among the Shariah compliant stock index, composite stock index and sectorial stock indexes, a co-integration approach, Vector Error Correction Model (VECM) have been applied respectively in this study. In addition, Granger causality test have been adopted to determine the lead-lag relationship. The findings show that in the long run, Shariah compliant index stock price and sectorial indexes stock price move together but in short run, speed of adjustment varies among the variables. Ganger causality test shows that there are bidirectional, unidirectional and no causality relationships between Shariah compliant and sectorial indexes.