Economic ripple effect: The effect of public transfer payment policy in Malaysia

Document Type

Article

Publication Date

7-1-2022

Abstract

This article models the interconnection between the public transfer payment policy in Malaysia and the overall Malaysian economy using an inter-linkage coordinate space. This space is represented graphically, with the public transfer payment distribution in the centre and the number of periods plotted along rays (axes) that are drawn from the centre, each of which can have as many windows as required at the predetermined perimeter levels. Using this model, this article evaluates whether and how the implementation of public transfer payment policy in Malaysia can simultaneously affect the overall Malaysian economy through selected macroeconomic indicators. Finally, this article proposes the use of computer graphical animation when sufficient data are available to provide a more accurate measurement and visual representation of the economic ripple effect in the same graphical space. JEL: C00, E60, H53. © 2022 Sage Publications India Pvt. Ltd.

Keywords

Malaysia, Accuracy assessment, Computer simulation, Economic analysis, Financial policy, Financial system, Graphical method, Macroeconomics, Measurement method, Model test, Policy implementation

Divisions

FacultyofEconomicsAdministration

Funders

None

Publication Title

Journal of Interdisciplinary Economics

Volume

34

Issue

2

Publisher

SAGE Publications Ltd

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