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Journal : Journal of Multidisciplinary Academic Business Studies

The effect of economic freedom, economic complexity and population growth rate on per capita income Handayani, Crisnina; Marselina, Marselina; Ratih, Arvina
Journal of Multidisciplinary Academic Business Studies Vol. 2 No. 3 (2025): May
Publisher : Goodwood Publishing

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35912/jomabs.v2i3.2957

Abstract

Purpose: This study investigates the effects of economic freedom, economic complexity, and population growth on per capita income across different groups of countries classified by income level, namely, high-, upper-middle-, lower-middle-, and low-income countries. Methodology: This study applies panel data regression using a cross-sectional dataset covering 102 countries. Per capita income is employed as the dependent variable, while the independent variables consist of indicators of economic freedom, complexity, and population growth. Separate analyses were conducted for each income group to identify heterogeneous impacts. Results: The findings revealed diverse effects across income levels. In high-income countries, only trade freedom significantly and positively influences the per-capita income. For upper-middle-income countries, none of the variables demonstrated significant effects. In lower-middle-income countries, monetary freedom is positively related to per capita income, whereas economic complexity is negatively related. In low-income countries, business freedom is the only factor that significantly enhances per capita income. Collectively, all independent variables significantly influenced per capita income across all income groups, with adjusted R² values ranging from 28.2% to 59.6%. Conclusions: The study concludes that the drivers of per-capita income vary across income classifications. The structural differences among country groups necessitate context-specific policy approaches rather than one-size-fits-all strategies. Limitations: The use of secondary cross-sectional data and a limited set of explanatory variables may not capture the full dynamics influencing income levels. Contribution: This research enriches the discourse on economic development by offering empirical evidence of differentiated impacts across income groups, providing valuable insights for policymakers in designing tailored economic strategies.
The effect of economic freedom, economic complexity and population growth rate on per capita income Handayani, Crisnina; Marselina, Marselina; Ratih, Arvina
Journal of Multidisciplinary Academic Business Studies Vol. 2 No. 3 (2025): May
Publisher : Goodwood Publishing

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35912/jomabs.v2i3.2957

Abstract

Purpose: This study investigates the effects of economic freedom, economic complexity, and population growth on per capita income across different groups of countries classified by income level, namely, high-, upper-middle-, lower-middle-, and low-income countries. Methodology: This study applies panel data regression using a cross-sectional dataset covering 102 countries. Per capita income is employed as the dependent variable, while the independent variables consist of indicators of economic freedom, complexity, and population growth. Separate analyses were conducted for each income group to identify heterogeneous impacts. Results: The findings revealed diverse effects across income levels. In high-income countries, only trade freedom significantly and positively influences the per-capita income. For upper-middle-income countries, none of the variables demonstrated significant effects. In lower-middle-income countries, monetary freedom is positively related to per capita income, whereas economic complexity is negatively related. In low-income countries, business freedom is the only factor that significantly enhances per capita income. Collectively, all independent variables significantly influenced per capita income across all income groups, with adjusted R² values ranging from 28.2% to 59.6%. Conclusions: The study concludes that the drivers of per-capita income vary across income classifications. The structural differences among country groups necessitate context-specific policy approaches rather than one-size-fits-all strategies. Limitations: The use of secondary cross-sectional data and a limited set of explanatory variables may not capture the full dynamics influencing income levels. Contribution: This research enriches the discourse on economic development by offering empirical evidence of differentiated impacts across income groups, providing valuable insights for policymakers in designing tailored economic strategies.
Co-Authors Abdul Rozak Ade Darmawan Afriyani, Annisa Esabita Ahmadi, Dwi alwiyah, afifah halimatu Amalia, Fauziah Amalkhan, Gwen Adhitya Ambya, Ambya Ananda, Salsa Billa Anatria, Dinda Andri Satria Andromeda, Gilar Cahya Andryani.A, Zelna Yuni Antarini, Destya Anugrah Martua Raja Armi, Armi Assyifa, Nabila Azis, Sulihin Aziz, Marlina Azizah, Muflikhatun Berliyani, Diana Buchair, Hikmah Ciptawaty, Ukhti Dewi, Antih Puspita Dewi, Masita Sari Evellia Priastuti Fadeli Yusuf Afif Febrianto Wibowo Fika Akhrani, Elsa Fitri Hayati Fuad Buntoro Gunarto, Toto Gyanata Adiwisastra, Nuzul Handayani, Crisnina Hanif Hanif Hardiansa Nur Syahputra Hartini, Diah Ayu Hazanah, Uswatun Herawanto Herawanto, Herawanto HERU WAHYUDI I Wayan Suparta . Indra Setiawan Jannah, Zam Zam Zainatul Joko Prasetyo, Tri Jusniati, Jusniati Kamilah, Shakilla noor Khasanah, Umiatul La Ode Muhammad Anwar Lismiyah, Efi Lolotandung, Reni Luciana, Lady Lusia Salmawati Megasyani Anaperta, Megasyani Meliyana, Relin Muh Jusman Rau Muhammad Anwar, La Ode Muslih, Hamdan Faisal Mutiara Sari Nadila Fitriansyah Nalsal Winata Sinaga, Dion Neli Aida Nova Elia Nurhakim, Deslia Putri Nurhalisah, Siti Nurhidayat Nuriyah, Nur Aini Nurjanah, Nina Nuzul Gyanata Adiwisastra Papa, Yohanes Aprilianus Perdiansyah, Gilang Aditia Pertiwi Pertiwi Prayudha Ananta Prisila Damayanty Putri, Andini Rizqita Putri, Felly Olivia Setya Putri, Intan Auliya Putri, Tri Yuliana Rahma Dwi Larasati Rahmania Rahmania Ratih, Arvina Reza Aulia Rizka Malia Rosa Indah, Sopiah Rosiana, Rosiana Rosmala Nur Royana, Nurul Vida RR. Aryanti Kristantini Sadli Syam Saepudin saepudin Salamah, Hanifah Ikka Salma Hilmy Rusydi Hashim Sari, Nur Fadhilah Seftafiani, Wiwik Siatan, Mairizal Salehudin Siffa, Naila Azizatus Simbaju, Deiske Stefiani Bengan Laba Suparmi, Ninik Syam, Nurul Fitri Sugiarti Taher, Arivina Ratih Yulihar Taher, Arvinia Ratih Theresyam Kabanga Toto Gunarto Tri Joko Prasetyo Ulfah, Ulyati Umar, Mutmainnah Vidyanto, Vidyanto Vitriyani Tri Purwaningsih Widia Anggi Palupi Widjanarko Widjanarko, Widjanarko Wijayanti, Desi Wulan Septiani, Wulan Yahya Ayasi Yohanes ALS, Dewa Putu Yulihar Taher, Arivina Ratih Yulika, Herma Zainul hamzah