Macroeconomic Indicators and Crime Rate on Malaysia Tourism Receipts

Since Malaysia’s tourist receipts have been steadily rising over time, it is imperative to examine the economic factors that most significantly affect these receipts. In this study, 25 annual observations from 1996 to 2021 are used to investigate the relationship between Malaysia’s Tourism Receipts (MTR) and the Exchange Rate (ER), Gross Domestic Product (GDP), Malaysia’s Unemployment Rate (MU), Inflation Rate (IR), and Crime Rate (CR) through Multiple Linear Regression analysis using the Ordinary Least Squares (OLS) method. It is postulated that the selected macroeconomic factors influence Malaysia’s tourism receipts. The findings indicate that GDP, and exchange rate, have a positive significant relationship with tourism receipts, whereas unemployment has a negative significant relationship with tourism receipts.