Linking Economic Development to Socio-economic Well-Being in Malaysia

Abstract

This study attempted to show that employment, education, health and income were essential means to reduce poverty incidence with the interference of economic development in Malaysia. Correlation and regression techniques were used to analyze time series data from 1989 to 2020 and panel data across states from 1980 to 2020 in Malaysia. The correlation analysis showed significant positive relationships between the first three means (employment, education and health) and income status. In the regression analysis, economic development, represented by gross domestic product (GDP), significantly reduced poverty incidence. All the findings implied that various economic development programs can help achieve sustainable socio-economic well-being in the country.