Indonesian Capital Market Review
Vol. 16, No. 1

Impact of the Relationship among Financial Development, ICT and English Proficiency on Income Inequality: Evidence from Malaysia

Shaharuddin, Norhasimah (Unknown)
Azam, Abdul Hafiz Mohd (Unknown)
Wahab, Mohd Hafiz Abdul (Unknown)
Karim, Norzitah Abdul (Unknown)
Hilmiyah, Nurul (Unknown)
Shakrein, Sharul Shahida (Unknown)
Osman, Adibah Alawiah (Unknown)



Article Info

Publish Date
01 Jan 2024

Abstract

Income inequality is a persistent phenomenon and fundamental issue of concern, especially in this new digital era, because unequal access to finance has long been recognized as a critical mechanism for generating persistent income inequality. ICT tools and approaches are being used widely today due to their convenience, omnipresence and economy. This study examines the influence of financial development, ICT, and English proficiency on income inequality in Malaysia during the period of 1979-2019. The empirical results based on the ARDL bounds test indicated that financial develop- ment and English proficiency support the hypothesis that both factors can reduce the income gap in the long run. While ICT has shown different results, its improvement has only reduced the income gap in the short term. Hence the need for strengthening ICT policy is crucial as it can lead to develop- ment. Mastery of English is also considered to foster economic resilience.

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Journal Info

Abbrev

publication:icmr

Publisher

Subject

Economics, Econometrics & Finance

Description

The intent of the Editors of The Indonesian Capital Market Review is to discuss, to explore, and to disseminate the latest issues and developments in Empirical Financial Economics particularly those related to financial frictions in the Emerging Markets. The topics cover capital markets, financial ...