A two-day training workshop on the Long-Term Growth Model (LTGM) was delivered to Malaysian officials from the Ministry of Economic Affairs, Ministry of Finance, Department of Statistics Malaysia, Malaysia Productivity Corporation, and ¶¹ÄÌÊÓƵAPP Negara Malaysia on September 5-6, 2019. The training was conducted by researchers from the Development Research Group of the World ¶¹ÄÌÊÓƵAPP: Jorge Guzman, Young Eun Kim, Norman V. Loayza and Steven Pennings.
The LTGM is a World ¶¹ÄÌÊÓƵAPP tool for analyzing long-term growth scenarios and has been designed to support policymakers who are working on medium- to long-term strategy exercises. The workshop covered an introduction to the standard version of the LTGM, including both theory and practice, followed by theoretical overviews and hands-on sessions for each of the main extensions to the model: the Public Capital Extension; the Human Capital Extension; and the Total Factor Productivity Extension. Participants used the LTGM extensions to carry out exercises to analyze the future long-run growth in Malaysia under a baseline scenario, and then the effects of various shocks to the baseline.