The Social Sciences

Year: 2010
Volume: 5
Issue: 4
Page No. 293 - 301

Impacts of Globalisation on Economic Change and Metropolitan Growth in Malaysia: Some Regional Implications

Authors : Katiman Rostam, Mohd Fuad Mat Jali and Mohd Ekhwan Toriman

Abstract: Since the last decade, globalization has significantly changed the pattern of economic activities of many developing countries including Malaysia. This economic shift has in turn brought about changes to the country’s population and wealth distributions in favor of the large cities, particularly cities around Kuala Lumpur, the capital of Malaysia. The metropolitan city and its surrounding areas, by virtue of their location and other attractions, became the focus of investment of many Trans National Corporations. Expansion of industrial activities and recently service activities, to the peripheral areas has increased the level of urbanization of the region. The region is known as the Klang-Langat Metropolitan Region. The level of primacy of the metropolitan region during 2000 census as calculated using Four City Index was >71%. This pattern of polarized urbanization and economic development undoubtedly had positive implications on the country’s economy. For instance, the GNP per capita for the country increased significantly from RM4,426 in 1990 to RM14,584 in 2000. This rapid economic growth mainly contributed by manufacturing and services sectors. The Klang-Langat Metropolitan Region emerged as the main player. However, such polarization of economy and urbanization can create some degree of regional imbalances. The gaps of income and other socioeconomic well beings of people in the country not only widening regionally but also ethnically. The trend now is that such a pattern of development continues to take place. These regional and racial inequalities can be major constrains for the country to achieve a long term objective of national integration.

How to cite this article:

Katiman Rostam, Mohd Fuad Mat Jali and Mohd Ekhwan Toriman, 2010. Impacts of Globalisation on Economic Change and Metropolitan Growth in Malaysia: Some Regional Implications. The Social Sciences, 5: 293-301.

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