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THE RELATIONSHIP BETWEEN EXPORT AND IMPORT TOWARDS ECONOMIC GROWTH IN MALAYSIA

FINAL REPORT (CHAPTER 1 – 5)

NURUL ATHIRAH BINTI ROSLI 2013299234

BACHELOR OF BUSINESS ADMINISTRATION WITH HONOURS (FINANCE) FACULTY OF BUSINESS MANAGEMENT

UNIVERSITI TEKNOLOGI MARA MELAKA CITY CAMPUS

JULY 2015

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ii

DECLARATION OF ORIGINAL WORK

BACHELOR OF BUSINESS ADMINISTRATION WITH HONOURS (INTERNATIONAL BUSINESS)

FACULTY OF BUSINESS MANAGEMENT UNIVERSITI TEKNOLOGI MARA

"DECLARATION OF ORIGINAL WORK"

I, Nurul Athirah Binti Rosli, (I/C Number: 920410-13-5226)

Hereby, declare that:

 This work has not previously been accepted in substance for any degree, locally or overseas, and is not being concurrently submitted for this degree or any other degrees.

 This project-paper is the result of my independent work and investigation, except where otherwise stated.

 All verbatim extracts have been distinguished by quotation marks and sources of my information have been specifically acknowledged.

Signature:_________________________ Date:______________________

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iii

LETTER OF TRANSMITAL July 2015

Coordinator

Bachelor of Business Administration (Hons) Finance Faculty of Business Management

Kampus Bandaraya Melaka

Universiti Teknologi MARA Melaka 110 Off Jalan Hang Tuah

75300 Melaka Bandaraya Bersejarah

Dear Sir/Madam,

SUBMISSION OF FINAL PROJECT PAPER

Attached is the project paper title “RELATIONSHIP BETWEEN EXPORT AND IMPORT TOWARDS ECONOMIC GROWTH IN MALAYSIA” to fulfill the requirement needed by the Faculty of Business Management, Universiti Teknologi MARA.

Thank You, Sincerely,

NURUL ATHIRAH BINTI ROSLI 2013299234

Bachelor of Business Administration with Honors (Finance)

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v

TABLE OF CONTENT

PAGES TITLE PAGE

DECLARATION OF ORIGINAL WORK LETTER OF TRANSMITAL

ACKNOWLEDGEMENT TABLE OF CONTENTS LIST OF TABLES

LIST OF FIGURES/ GRAPHS/ DIAGRAMS LIST OF ABBREVIATIONS

ABSTRACT

1.0 INTRODUCTION

1.0.1 Gross Domestic Product (Dependent Variable) 1.0.2 Export (Independent Variable 1) and Import

(Independent Variable 2) 1.1 Background of Study

1.2 Problem Statement 1.3 Research Objectives 1.4 Research Questions

i ii iii iv v x xi xii xiii 1 1 2

3 5 6 6

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xii ABSTRACT

This study is to analyze the relationship between export and import towards economic growth in Malaysia. The variable used to measure the economic growth in Malaysia is Gross Domestic Products. Malaysia is a developing country. Export and import are actively influenced the movement of the economic growth in Malaysia since their role as the driver in achieving the optimal growth of the country. Economic growth in Malaysia can increase by exporting more goods in order to gain foreign exchange reserves that can be used to import items that needed by country. Data on the economic growth, export and import from the year 1963 to 2012 were collected for the study purpose. The relationship between these variables is shown by using Econometric Views statistical package and the source of data used is Department Statistic of Malaysia.

Key Words: Export, Import, Gross Domestic Product, Economic Growth, Malaysia, Econometric Views.

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