An analysis of new economy policy in reducing ethnics economic gap in Malaysia: evidence from ethnics occupation segregation and wage differential

This paper estimates the ethnic economic gap in Malaysia before the New Economic Policy (NEP) in 1970 and after the end of the NEP in 1986. Specifically, this paper uses the Duncan Dissimilarity Index to estimate occupation segregation between ethnic Malays and the ethnic Chinese; ethnic Malays an...

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Main Author:	Hazrul Shahiri
Format:	Article
Language:	English
Published:	Penerbit Universiti Kebangsaan Malaysia 2012
Online Access:	http://journalarticle.ukm.my/6350/ http://journalarticle.ukm.my/6350/ http://journalarticle.ukm.my/6350/1/jeko_47-1.pdf

id	ukm-6350
recordtype	eprints
spelling	ukm-63502016-12-14T06:40:56Z http://journalarticle.ukm.my/6350/ An analysis of new economy policy in reducing ethnics economic gap in Malaysia: evidence from ethnics occupation segregation and wage differential Hazrul Shahiri, This paper estimates the ethnic economic gap in Malaysia before the New Economic Policy (NEP) in 1970 and after the end of the NEP in 1986. Specifically, this paper uses the Duncan Dissimilarity Index to estimate occupation segregation between ethnic Malays and the ethnic Chinese; ethnic Malays and ethnic Indians; and the ethnic Chinese and ethnic Indians before and after the policy. Next, the paper estimates the wage gap between the three ethnicities by using A Generalized Oaxaca Decomposition, both before and after the NEP. The data of this study is obtained from two principal sources. Data concerning wage and salary figures is obtained fromthe1966-67 West Malaysian Family Survey; 1976- 77 First Malaysian Family Life Survey; and the 1988 Second Malaysian Family Life Survey. The other sources of data variables are obtained from the 1970 Population Census of Peninsular Malaysia; the 1980 Population Census of Peninsular Malaysia; and the 1991 Population and Housing Census of Malaysia. The study finds that occupation segregation was reduced between all ethnicities by the end of the NEP. However, the wage gap between the ethnic Chinese and ethnic Malays; and the ethnic Chinese and ethnic Indians continued to rise after 1986.Additionally, while the wage gap decreased between ethnic Malays and ethnic Indians in some specific occupations, the wage gap increased between ethnic Malays and the ethnic Chinese in all specific occupations during the same period. Penerbit Universiti Kebangsaan Malaysia 2012 Article PeerReviewed application/pdf en http://journalarticle.ukm.my/6350/1/jeko_47-1.pdf Hazrul Shahiri, (2012) An analysis of new economy policy in reducing ethnics economic gap in Malaysia: evidence from ethnics occupation segregation and wage differential. Jurnal Ekonomi Malaysia, 46 (2). pp. 127-139. ISSN 0127-1962 http://www.ukm.my/fep/jem/content/2012-2.html
repository_type	Digital Repository
institution_category	Local University
institution	Universiti Kebangasaan Malaysia
building	UKM Institutional Repository
collection	Online Access
language	English
description	This paper estimates the ethnic economic gap in Malaysia before the New Economic Policy (NEP) in 1970 and after the end of the NEP in 1986. Specifically, this paper uses the Duncan Dissimilarity Index to estimate occupation segregation between ethnic Malays and the ethnic Chinese; ethnic Malays and ethnic Indians; and the ethnic Chinese and ethnic Indians before and after the policy. Next, the paper estimates the wage gap between the three ethnicities by using A Generalized Oaxaca Decomposition, both before and after the NEP. The data of this study is obtained from two principal sources. Data concerning wage and salary figures is obtained fromthe1966-67 West Malaysian Family Survey; 1976- 77 First Malaysian Family Life Survey; and the 1988 Second Malaysian Family Life Survey. The other sources of data variables are obtained from the 1970 Population Census of Peninsular Malaysia; the 1980 Population Census of Peninsular Malaysia; and the 1991 Population and Housing Census of Malaysia. The study finds that occupation segregation was reduced between all ethnicities by the end of the NEP. However, the wage gap between the ethnic Chinese and ethnic Malays; and the ethnic Chinese and ethnic Indians continued to rise after 1986.Additionally, while the wage gap decreased between ethnic Malays and ethnic Indians in some specific occupations, the wage gap increased between ethnic Malays and the ethnic Chinese in all specific occupations during the same period.
format	Article
author	Hazrul Shahiri,
spellingShingle	Hazrul Shahiri, An analysis of new economy policy in reducing ethnics economic gap in Malaysia: evidence from ethnics occupation segregation and wage differential
author_facet	Hazrul Shahiri,
author_sort	Hazrul Shahiri,
title	An analysis of new economy policy in reducing ethnics economic gap in Malaysia: evidence from ethnics occupation segregation and wage differential
title_short	An analysis of new economy policy in reducing ethnics economic gap in Malaysia: evidence from ethnics occupation segregation and wage differential
title_full	An analysis of new economy policy in reducing ethnics economic gap in Malaysia: evidence from ethnics occupation segregation and wage differential
title_fullStr	An analysis of new economy policy in reducing ethnics economic gap in Malaysia: evidence from ethnics occupation segregation and wage differential
title_full_unstemmed	An analysis of new economy policy in reducing ethnics economic gap in Malaysia: evidence from ethnics occupation segregation and wage differential
title_sort	analysis of new economy policy in reducing ethnics economic gap in malaysia: evidence from ethnics occupation segregation and wage differential
publisher	Penerbit Universiti Kebangsaan Malaysia
publishDate	2012
url	http://journalarticle.ukm.my/6350/ http://journalarticle.ukm.my/6350/ http://journalarticle.ukm.my/6350/1/jeko_47-1.pdf
first_indexed	2023-09-18T19:46:39Z
last_indexed	2023-09-18T19:46:39Z
_version_	1777405945009143808

An analysis of new economy policy in reducing ethnics economic gap in Malaysia: evidence from ethnics occupation segregation and wage differential

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