SUSTAINABLE ECONOMIC DEVELOPMENT IN EMERGING ECONOMIES

Modelling the Financial Sector Behaviour

DESCRIPTION

Over the last three decades, the global economic landscape has undergone major structural changes due to the forces of globalization, liberalization and digitization. Economies across the globe, especially developing and emerging economies are grappling with the rapid transformations in the global economic architecture. Researchers in this school are currently studying new economic & empirical models to understand how these forces impact the developing & emerging countries, and the policies & strategies that will help them achieve sustainable economic development.

The primary objectives of members of this research area are:

To undertake research activities in identifying the enabling ecosystem that will facilitate developing & emerging economies to achieve sustainable economic development and migrate to a knowledge-based economy.
To develop educational and case study materials derived from the research undertaken in this area - contributing to the university’s vision of impacting the community through research-led teaching.
To provide a platform for researchers from Monash University, public universities, industry, public policy organizations and non-governmental organizations to foster collaboration with the aim of converting Monash research output into social capital & wealth for key stakeholders in the region.

Key deliverables of this research area are as follows:

Research – undertake high quality research that contributes to the strategic development of developing and emerging economies in the region.
Human capital development - meeting the human capital development needs of the region via the following programs:
- Higher Degree Research Training (MPhil and PhD)
- Post-Doctoral Training
- Short courses and training for government and industry
Infrastructure Support - provide infrastructure support for industry and government to undertake research in national and regional economic priority areas. The infrastructure support includes the following:
- Computing facility (including software)
- Statistical Consulting Service
- Resource Centre
Public Policy Formulation – contribute to public policy formulation in the region through memberships in government committees, industry associations and participations in industry & government forums.
Global Networking - be a key conduit for networking and establishing linkages with other research institutions and ‘think-tanks’ in the region and across the globe.

The individual impact areas of the Strength:

Applied Econometrics
Modelling the Financial Sector Behaviour

APPLIED ECONOMETRICS

Description

Over the last three decades, the global socioeconomic landscape has undergone major structural changes due to the forces of globalization, liberalization and digitization. Economies across the globe, especially developing and under-developed economies are grappling with the rapid transformations in the global economic architecture. Researchers in this unit are currently studying new economic models to understand how these forces impact the developing and under-developed world, and the policies & strategies that will help them ‘catch-up’ with more evolved economies.

Strengths include: Sustainable socioeconomic development, Information/network economy, knowledge-economy, digital-divide and ASEAN economic development.

MODELLING THE FINANCIAL SECTOR BEHAVIOUR

Description

The financial sector is a key driver of economic growth. Over the last two decades the global financial sector has undergone rapid changes due to technological innovation, deregulation and liberalisation. Financial institutions around the globe are studying ways to enhance their competitive position in an environment that is changing at ‘warp-speed’. Members in this research unit are researching new econometric models to capture the changes taking place in the global financial sector, and measure the impact of these changes on economies in the developing world.

Strengths include: Financial econometrics, financial crimes and financial innovation.

MEMBERS

Permanent Members	*Associate Professor Muthi Samudram (Leader)* *Professor Mahendhiran Nair (Acting Leader)* Dr. Grace Lee Hooi Yean Dr. Poon Wai Ching Dr. Santha Vaithilingam Dr. Siew Eu-Gene Dr. Soo Siew Choo Dr. Tan Swee Ho Ms. Aniza Zainol Ms. Foo Yee Boon Ms. Jeyanthi Selvarajah Mr. Kalaithasan Kuppusamy
Associate Members	Dr. Balachandher Krishnan Guru Dr. Ravindra Nayaranan Ms. Mohana Muniandy Ms. Norita Mohd Nasir Ms. Shyamala Dhoraisingham Dr. Patricia Goon (School of Art and Social Sciences, Monash University Sunway Campus) Associate Professor Gil Soo Han (Monash University Australia)
External Members	Associate Professor Saadiah Mohammad, World Islamic Economic Forum (WIEF) - Universiti Teknologi MARA, Malaysia Associate Professor P.J. Atchiah, Faculty of Business Management, Universiti Teknologi MARA, Malaysia Dr. Hiew Pang Leang, CEO, British Telecoms Multimeida, Malaysia Mr. Ramachandran Ramasamy, Head of Policy, Capability and Research, National Information & Communication Technology Association of Malaysia
Student Members (HDR)	Wong Chin Chin, Senior Research Analyst, British Telecommunication

PUBLICATIONS

I BOOK CHAPTERS

1. Nair, M., Davison, R., Kuppusamy, M., (2008) “Competitiveness of ASEAN-5 in the Information Economy: An Empirical Analysis”, in Media and Development in Asia: Regional Perspectives, Asian Media Information Centre (AMIC), pp61-98.

2. Kuppusamy, K., and Abdul Rahman, M.N., (2007) “Developing A Strategy Map and a Balance Scorecard for Islamic Banks” in Islamic Finance: The Challenges Ahead” Universiti Putra Malaysia Press, pp189–202.

3. Mohd Nasir, N., and Zainol, A., (2007) “Globalization of Financial Reporting: An Islamic Focus” in Globalization of Accounting Standards, Edwards Elgar Publishing Ltd, pp261–274.

4. Choong CK., Yusop Z. and Soo SC., (2006) Foreign Direct Investment and Economic Growth. Time Series Econometric Analysis: Selected Issues in ASEAN Economies, edited by Kian PL., Hock AL. and Khim SL., Prentice Hall Pearson Malaysia Sdn Bhd, Petaling Jaya, Selangor, Malaysia.

II REFEREED JOURNAL ARTICLES

1. Zainol, A., Nair, M., Kasipillai, J., (2008) “R&D reporting Practice: Case of a Developing Economy” Journal of Intellectual Capital, Vol.9, pp122-132.

2. Nair, M., Samudram, M., Vaithilingam, S., (2008) “Malaysian Money Demand Function Revisited: The ARDL Approach” Journal of Asia-Pacific Business, Vol.9, pp193-209.

3. Poon, W.C., (2008). “Users’ Adoption of E-banking Services: the Malaysian Perspective” Journal of Business and Industrial Marketing, Vol.23, No.1, pp.59-69.

4. Low, K.L.T., and Poon, W.C., (2008) “The utilization of fuzzy logic in corporate governance assessment in business economics” International Journal of Corporate Governance. Vol.1, No.2, pp.146-161.

5. Poon, W.C.,, and Tan, B.C., (2008) “Spread of E-Banking in Malaysia: A Consumer Perspective” The ICFAI University Journal of Bank Management, Vol. VII, No. 4, pp. 71-84.

6. Poon, W.C., Muzafar, S.H., Ahmad, Z.B., and Mohamad, A., (2008) “Monetary conditions index in Singapore” ICFAI Journal of Applied Economics” Vol.VII, pp6-22.

7. Poon, W.C., (2008) “Does credit channel matter in the conduct of monetary policy in Singapore?” ICFAI Journal of Monetary Economics, Vol.VI, pp40-50.

8. Mohamad, S., Kamaruzaman, J., Nair, M., Zaghlol, A., (2008) “The Effects of Balassa-Samuelson in South-East Asia” Asian Social Science, Vol.4, pp112-116.

9. Mohamad, S., and Nair, M., (2007) “Were Currencies Deliberately Undervalued to Promote Exports? An Empirical Examination of Selected Asean Countries (1965–1998)” Applied Economics and Policy Analysis, Vol.1, No.1-2, pp183-193.

10. Nair, M., and Chandran, V., (2007) “Short-run and Long-run Dynamics between Exports, Foreign Direct Investment and Output in the Manufacturing Sector: The Case of Malaysia” Asian-African Journal of Economics and Econometrics, Vol.7, No.1-2, pp377–384.

11. Marimuthu, J., and Nair, M., (2007) “Key Drivers for Employee Job Satisfaction in Conventional and Islamic Banks in Malaysia” Economic Bulletin, Vol.8, pp113–134.

12. Poon, W.C., (2007) “An application of augmented monetary conditions index (MCI) in Thailand” Global Review of Business and Economic Research” Vol.3, pp99-109.

13. Nair, M., (2007) “The ‘DNA’ of the New Economy” Economic Bulletin, Vol.8, pp27–59.

14. Samudram, M. and Vaithilingam, S., (2007) “Trade Liberalization and Financial Development: The Malaysian Experience” Economic Bulletin, Vol.8, pp77–94.

15. Vaithilingam, S., and Nair, M., (2007) “Factors Affecting Money Laundering: Lesson for Developing Countries” Journal of Money Laundering Control, Vol.10, No.3, pp352–366.

16. Nair M. and Vaithilingam S. (2006) “Modelling Malaysian Natural Rubber Supply Response Function-Strategies and Policies to Enhance Competition” Journal of International Business and Economics, Vol. 5, No.1, 186-194.

17. Nair M., Madhavan K. and Vengedasalam D. (2006) “The Effect of Trade Openness on Manufacturing Industry in Malaysia: Strategies to Enhance Its Competitiveness” International Journal of Management, Vo. 23, No. 4, 878-890.

18. Khong, K.W. and Nair M., (2006) “The effects of customer service management on business performance in Malaysian banking Industry: An Empirical Analysis” Asia Pacific Journal of Marketing and Logistics, Vol 18, No. 2, 111-128.

19. Vaithilingam, S., Nair, M. and Samudram, M. (2006) “Key Drivers for Soundness of the Banking Sector: Lessons for Developing Countries” Journal of Global Business and Technology, Vol 2, No. 1, 1-11.

20. Choong, C.K., Poon, W.C., Muzafar, S.H., and Zulkornain, Y., (2006) “The Validity of Purchasing Power Parity (PPP) Theory in ASEAN-Five economies: The Bounds Test Approach” International Journal of Business and Society, Vol.7, pp1-16.

21. Poon, W.C., and Muzafar, S.H., (2006) “Do financial macroeconomics variables affect GDP in Malaysia? Some empirical evidence” Journal of Business Research, Vol.1, pp136-143.

22. Poon, W.C., and Muzafar S.H., (2006) “Monetary conditions index in Thailand: Assessment from the ‘Bounds’ Testing approach” International Journal of Business Research, Vol.2, pp131-139.

III CONFERENCE PAPER

1. Kuppusamy, K., Muhamad, R., (2008) ”Corporate Social Responsibility of Companies under FTSE Bursa Malaysia Hijrah Shariah Index: Have They Raised the Bar?” 4th International Conference on Global Research in Business & Economics, Bangkok, Thailand, 28-30 December.

2. Ayman, E.S., Yong, D.G.F, Poon, W.C., (2008) “Barriers for Implementing ICT on Higher Education in Underdeveloped Countries Sudan: Case Study” 2008 International Conference on Information Resources Management (IRM2008), Niagara Falls, Ontario, 18-20 May.

3. Ayman , E.S., Poon, W.C.,Yong, D.G.F., Nour, E.M.E. (2008) “The Role of ICT in Higher Education: Case Study from Sudan” Regional Development International Conference and Exhibition: Building the Foundation for Regional Development (REDICE08), Multimedia University, Malaysia, 5-6^th November.

4. Ng, M.Y., Yong, D.G.F., Poon, W.C., (2008) “A Reflection on the Malaysia Corporate Governance Development Milestone” Regional Development International Conference and Exhibition: Building the Foundation for Regional Development (REDICE08), Multimedia University, Malaysia, 5-6^th November.

5. Poon, W.C., (2008) “The augmented monetary conditions index in Philippines” The 11^th International Convention of the East Asian Economic Association, Manila, Philippines, 15-16 November.

6. Poon, W.C.,and Koo, A.C. (2008) “Emerging Issues and Developments in Mobile Learning” 2nd Asia Pacific Regional Mobile Learning & Edutainment Conference 2008, PWTC, Kuala Lumpur, Malaysia, 20-21 November.

7. Ho S.Y., Yong, D.G.F., Poon, W.C., (2007) “Preferred and perceived leadership styles: adapting the importance-performance analysis as a diagnostic tool for the managers and leaders” In proceeding of AGBA - Academy For Global Business Advancement And Asian Academy Of Management, USM, Penang, Malaysia, 21 – 25 May.

8. Yong, D.G.F., Poon, W.C., Lam, P.W.H. (2007) “E-Services-Determinants of Purchase Decision in Malaysia” International Conference on Global Academy of Business and Economics Research (GABER) 2007, Bangkok, Thailand, 27-29 December.

9. Poon, W.C., Yong, D.G.F, Lam, P.W.H., (2007) “The Key Adoption Factors of E-banking Service in Malaysia” International Conference on Global Academy of Business and Economics Research (GABER) 2007, Bangkok, Thailand, 27-29 December.

10. Poon, W.C., (2007) “Evidence on the dynamic monetary conditions index in Philippines” International Conference on Global Academy of Business and Economics Research (GABER) 2007, Bangkok, Thailand, 27-29 December.

11. Poon, W.C., (2007) “An application of augmented monetary conditions index in Thailand” International Conference on Global Academy of Business and Economics Research (GABER) 2007, Bangkok, Thailand, 27-29 December.

12. Poon, W.C., (2007) “Is credit channel matter in the conduct of monetary policy in Singapore?” International Conference on Global Academy of Business and Economics Research (GABER) 2007, Bangkok, Thailand, 27-29 December.

13. Yap C.F., Yong, D. G.F., Poon, W.C., (2007) “Predicting Company Failures in Malaysia using Financial Ratios and Multiple Discriminant Analysis” International Conference on Global Academy of Business and Economics Research (GABER) 2007, Bangkok, Thailand, 27-29 December.

14. Poon, W.C., and Muzafar S.H. (2007) “Is asset price relevant in constructing monetary conditions index (MCI) for INDONESIA?” Seminar UPM FEP 2007: Managing Knowledge in the Borderless World, Swiss Garden Damai Laut Resort, Lumut, Perak, Malaysia, 4-6 December.

15. Kuppusamy, K., and Vaithilingam, S., (2007) “Informational Value Effect of Syariah Index Original Inclusions and Additions: Evidence from the Malaysian Stock Market” 2^nd IBS Ahmedabad International Conference on Management, Ahmedabad, India, 27-29 December.

16. Grace H.Y. Lee, M. Azali. (2007) “The Endogeneity of Optimum Currency Area in East Asia” FEP seminar – Managing Knowledge in the Borderless World”, Lumut, Perak, Malaysia, 4-7 December (Best Paper).

17. Kuppusamy, K., (2006), “Performances of Real Estate Investment Trusts (REITs) in Malaysia”; Global Business and Technology Association International Conference, Moscow, Russia, 27-30 June.

18. Vaithilingam, S. and Nair, M., (2006), “Key drivers for soundness of the banking sector: Lessons for Developing Countries” 2006 GBATA, Global Business and Technology Association; International Conference, Moscow, Russia, June 27-July 1.

19. Zainol, A. and Nair, M., (2006) “R&D Reporting Practices of Public Listed Companies in Malaysia: A PROBIT Analysis”, 2006 GBATA, Global Business and Technology Association; International Conference, Moscow, Russia, June 27–July 1.

20. Choong, C., Zulkornain, Y., and Soo, S., (2006) “Balance-of-payments Growth Model: The case of ASEAN-Five Countries” 2^nd International Borneo Business Conference, Sarawak, Malaysia, 6-8 December.

21. Soo, S.C. and Choong, C.K. (2006), “An Emergence of a Common Currency Area in the Selected East Asian Economies: A Revisit”, 2nd International Borneo Business Conference 2006, Kuching, Sarawak, Malaysia, 6-8 December.

22. Poon, W.C., and Muzafar, S.H. (2006) “Do financial macroeconomics variables affect GDP in Malaysia? Some empirical evidence” International Academy of Business and Economics (IABE-2006) Annual Conference: Research/Teaching Excellence in Business and Economics, New Frontier Hotel & Casino, Las Vegas, Nevada, USA, 15-18 October.

23. Poon, W.C., & Muzafar, S.H. (2006) “Monetary conditions index in Thailand: Assessment from the ‘Bound” testing approach” IABE-2006 Annual Conference: Research/Teaching Excellence in Business and Economics, New Frontier Hotel & Casino, Las Vegas, Nevada, USA, 15-18 October.

24. Poon, W.C., Muzafar, S.H., M. Azali , Ahmad Z.B. (2006) “Testing various transmission mechanisms on economic growth in Malaysia” 2nd IBBC (2006) International Borneo Business Conference: Revolutionizing knowledge towards Economics & Business Advancement, Hilton Hotel, Kuching, Sarawak, Malaysia, 6-8 December.

(back to top)

RESEARCH GRANTS

A. MUSC Research Grant (Seed) – Awarded in 2009 (1^st Round)

No	Name of the Researcher	Project Title
1	Dr. Grace Lee Hooi Yean	The Empirical Desirability of East Asia for Monetary Union
2	Dr. Poon Wai Ching	The modified monetary condition index: Is it a sufficient indicator of monetary policy stance? A comparison for ASEAN-5 countries

B. MUSC Research Grant (Large) – Awarded in 2009 (1^st Round)

No	Name of the Researcher	Project Title
1	Professor M. Nair	ICT Adoption Among 'Urban-Poor' Communities in Malaysia: Key Drivers, Challenges and Way Forward

C. ECR Grant – Awarded in 2009 (Beginning)

No	Name of the Researcher	Project Title
1	Dr. Poon Wai-Ching	Modelling Monetary Transmission Channels in an ASEAN Country: The Case of Philippines
2	Dr. Grace Lee Hooi Yean	The Endogeneity of Optimum Currency Area Criteria in East Asia
3	Dr. Tan Swee Ho	Key Drivers and Challenges in Customer Relationship between SME and Banks in Malaysia

D. MUSC Research Grant (Seed) – Awarded in 2008 (Beginning)

No	Name of the Researcher	Project Title
1	Dr. Santha Vaithilingam	Identification and Inference of Banking Sector Fragility: An Econometrics Analysis

E. MUSC Research Grant (Seed) – Awarded in 2008 (Mid)

No	Name of the Researcher	Project Title
1	Kalaithasan Kuppusamy	A Comparison of State of Corporate Social Responsibility between Big and Small Companies in Malaysia: Is there a distinct gap

F. MUSC Research Grant (Seed) – Awarded in 2007 (Beginning)

No	Name of the Researcher	Project Title
1	Prof. Mahendhiran Nair	Uncovering Homogeneous Substructures in a Heterogeneous Sample: Theory and Applications
2	Assoc. Prof. Muthi Samudram	Can the Agriculture Sector be a New Source of Growth for the Malaysians
3	Dr. Santha Vaithilingam	Assessment of the Financial Systems in Selected ASEAN Countries

G. MUSC Research Grant (Seed) – Awarded in 2006 (Beginning)

No	Name of the Researcher	Project Title
1	Aniza Zainol	The Accounting Based Valuation of the Malaysian Corporate Research and Development Activities
2	Prof. Mahendhiran Nair	Measuring Innovative Capacity of Nations in the New Economy: A Longitudinal Study
3	Dr. Santha Vaithilingam	Mobile Banking in Malaysia : Strategies and Policies to Enhance Greater Usage of New Technology
4	Dr. Soo Siew Choo	An Examination on the Impact of Technological Change and Efficiency Change on Shareholder Wealth Maximization Using the Total Productivity Change Approach

H. MUSC Research Grant (Major) – Awarded in 2006

No	Name of the Researchers	Project Title
1	Assoc Prof Gil-Soo Han Prof Lee Poh Aun Prof Mahendhiran Nair Dr. Patricia Goon	The Digital Divide and Minding the Gap: Views from Malaysian Rural Grassroots

I. Non-MUSC Research Grant – CPA Research Fund

Date

Name of the Researcher

Project Title

Jan 2006

Aniza Zainol

Corporate Research and Development Announcement and share Value : The Case of Public Listed Companies

Jan 2006

Kalaithasan Kuppusamy

Value Relevance of Syariah Index Additions : Evidence from the Malaysian Stock Market

J. Non-MUSC Research Grant – E-Science Fund from Ministry of Sciences, Technology and Innovation (MOSTI)

No	Duration	Name of the Researcher	Project Title
1	Dec 2006 to Oct 2008	Prof. Mahendhiran Nair	Bridging the Digital Divide in Rural Agricultural & Fishing Communities in Malaysia.

RESEARCH STUDENTS (MPHIL/PHD)

PhD

Wong Chin Chin Emerging wireless markets in selected countries in South East Asia: Challenges and Opportunity

Aniza Zainol Relevance of Reporting R & D fro Decision Making – An Empirical Study