The Technical Efficiency Analyses of Manufacturing Sector in Malaysia: Evidence From the First Industrial Master Plan (1986-1995)

Rozilee Asid

Abstract


This paper attempts to estimates the technical efficiency for all manufacturing industries in Malaysia for the periods of 1986 up to 1995. By utilizing the stochastic frontier model (SFM), it is shows that on average the technical efficiency increase monotonically and steadily at 0.01 percentage point each year. A Malaysian manufacturing industry during this periods was classified as input-driven specifically dominated by labour instead of capital. It was found that the technical efficiency over time across industries is rising over time and the resource based industries (RBI) is found to be more technical efficient compared non-RBI groups

Full Text: PDF DOI: 10.5539/ass.v6n2p99

Creative Commons License
This work is licensed under a Creative Commons Attribution 3.0 License.

Asian Social Science   ISSN 1911-2017 (Print)   ISSN 1911-2025 (Online)

Copyright © Canadian Center of Science and Education 

To make sure that you can receive messages from us, please add the 'ccsenet.org' domain to your e-mail 'safe list'. If you do not receive e-mail in your 'inbox', check your 'bulk mail' or 'junk mail' folders.