ix contents page chapter 1 restoring economic dynamism i introduction 3 ii responding to developments during the review period iii key challenges 5 dealing with changing dynamics in global competition 6 minimising risks of volatility 7 iv way forward 8 reinforcing macroeconomic fundamentals 10 bolstering resilience 12 enhancing competitiveness 13 reactivating private investment 14 venturing into new sources growth 15 accelerating transformation high technology 17 and knowledge based economy increasing supply quality human resource 18 moving towards a more equitable society 19 promoting an exemplary value system 20 international cooperation for prosperity 21 v conclusion 22 2 perspective 25 progress 2001 2003 26 aggregate demand total factor productivity 30 sectoral output 31 balance payments 36 price development 38 39 terms trade 41 x prospects 2004 2005 43 world malaysian 45 strategies 46 49 53 54 distribution 59 60 poverty