Abstract

This paper analyzes the contribution of services sector for the production of different industries in the Malaysian economy. The purpose of this paper is to provide direct and indirect service intensities from 1990 to 2000 and the contribution of services sector in the Malaysian economy during the two time periods. The findings indicate that the contribution of services sector almost steady during the time period and direct and indirect intensities of other sectors, transport & communication, trade, financial related service, public service and entertainment sectors are quite significant. More compactly, the average direct services use per unit of output produced in the Malaysian economy almost steady from 12.08% in 1991 to 12.07% in 2000. On the other hand the indirect intensities decrease from 17.09% in 1991 to 16.93% in 2000. These figures indicate that both the direct service intensity and the direct plus indirect service intensity have almost same throughout the study period (1991-2000).

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