Malaysia Should Liberalize the Economy as Its New Economic Policy

Abstract 2

1.0 Introduction 4

Body Paragraph

2.0 Argument 1- Encouraging competition Among Entrepreneurs 6

3.0 Argument 2- Give Opportunities to Participate in Market 8

4.0 Counter Argument-Liberalization Makes Consumers Suffers 10

5.0 Refutation- Entrepreneurs Become More Creative 12

6.0 Conclusion 14

References 16

1.0 Introduction

Economy of Malaysia is developing and recovering from economic downturn that had struck Malaysian economy. Economy is important for a country because it is the source of income for a country. Money that is used to build and develop a country mostly comes from economy. Other than that, economy also helps in determining a country's position in the world. A stable economy of a country means that the country can provide and give its citizen a comfortable place to live in.

Liberalization of economy is the new economic policy for Malaysia. This step was taken by Prime Minister of Malaysia Datuk Seri Najib Abdul Razak in order to overcome as well as to boost up the economy of Malaysia after being stricken by economic recession recently. According Wikipedia, economic liberalization means having more private companies in the economies with less rules and regulations from government. Entrepreneurs are given opportunities to be to participate and to produce varies product in the market without intervention from government. It is hope that economy of Malaysia can be improved by implementing this New Economic Policy. Liberalization encourages entrepreneurs to be more competitive as there will be much participation into the market.

In addition, local entrepreneurs need to compete with foreign entrepreneurs in the market. So, being an innovative and creative entrepreneur is highly encouraged. Besides, liberalizing make it easy for individual to enter the market and also lessen the interference of government in trading activities. (V.K. Bhalla, 1993:3) Liberalization encourages businesses to get involve and active in the market so that competition among businesses in order to make economy grow and stable.

"Growth will be driven by investment in technology, talent, infrastructure, research and development (R&D) and marketing to maximize long-term revenue growth and enhance market vibrancy. They should now leverage on the flexibilities granted to explore new opportunities and business models by establishing strategic partnerships and alliances to expand their global reach."(Najib 2009) Technology can enhance communication between entrepreneurs