DETERMINANTS OF ECONOMIC GROWTH: THE CASE OF KAZAKHSTAN

OpenAlex · İngilizce

The determinants of economic growth have been the subject of important academic studies for numerous years. Considering the differences in the development levels of countries, there is no consensus on which factors are more effective in growth. For this reason, identifying the factors that determine economic growth remains interesting to determine the growth potential of countries and creating appropriate policies. This study examines the impact of various variables, including gross domestic product (GDP), gross domestic product per capita, trade openness, labor force participation rate, primary school enrollment, gross capital formation, and foreign direct investment, on economic growth in the Kazakhstan economy from 1991 to 2021. The Autoregressive Distributed Lag (ARDL) test method was employed for the research. According the findings got from the study shows that increases in gross domestic product (GDP) and the gross domestic product per capita (GDPPER) in the short term, and in the long term, increases in openness, labor force participation rate (LABOR), and primary school enrollment levels have a positive impact on economic growth. While the gross capital formation (GCF) variable, whose impact on economic growth was measured in the study, was found to have a negative effect on economic growth in the short term, it was determined that the Foreign direct investment (FDI) variable was not statistically significant on economic growth in both the short and long term.