Page 342 - Contributed Paper Session (CPS) - Volume 4

CPS2258 Siti Norfadillah Md Saat et al.
is no causality from number of health sector tourists to health sector
expenditure in Turkey.
In another study, Zahra Pourkhaghan (2013) examines the interaction of
economic indicators and medical tourism using descriptive and qualitative
content analysis. The results show that medical tourism is helping the
sustainable development and economy dynamism through exchange gaining,
creating jobs and etc. This type of tourism is more profitable than the other
subdirectories of tourism and considers the sustainable development of
tourism destinations in a more appropriate manner.
Wang Liangju, Zhang Huihui and Li Wanlian (2012) investigate the causal
relationship between China’s domestic tourism and economic growth by using
cointegration analysis and Granger causality test. Cointegration analysis
indicates that there are long-term and stable equilibrium relationships
between the development of China’s domestic tourism and economic growth.
The results from the Error Correction Model indicate that there are short-term
disequilibrium relationship between the development of China’s domestic
tourism and economic growth. The development of China’s domestic tourism
is the Granger cause of economic growth, and China’s economic growth is the
Granger cause of development of domestic tourism as well. The findings imply
that China may enhance its economic growth by strategically strengthening
the tourism industry while not neglecting the other sectors which also
promote growth.
In a study on the relationship between healthcare and tourism sectors to
economic growth in Malaysia, Singapore and Thailand, Chan-Fatt Cheah and
A. S. Abdul-Rahim (2018) employed ARDL test. The results show a significant
positive short and long run relationship between development of healthcare
and tourism sectors to economic growth in Malaysia, Singapore and Thailand.

3. Methodology
The aim of this study is to examine relationship between Malaysia real GDP
and healthcare travellers who come to Malaysia for treatment. This study
covers the quarterly time series data obtained from DOSM and MHTC that
covers the period from quarter 1 2012 to quarter 4 2017. The data used are
Malaysia real GDP and the number of healthcare travellers’ visits to Malaysia
for the purpose of health or for medical reasons. In this study, it is found that
Malaysia real GDP has seasonality. Hence, the seasonality is removed before
conducting relationship study.
In this study, general model is as follows:
= 10 − + + +
11 −1
12
12 −1

= 20 − + + +
21 −1

22 −1
21

Where:
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