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Journal : JDE (Journal of Developing Economies)

Public Debt – Economic Growth Nexus: A Systematic Literature Review Yangailo, Tryson
Journal of Developing Economies Vol. 9 No. 2 (2024)
Publisher : Universitas Airlangga

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.20473/jde.v9i2.54959

Abstract

The purpose of this study was to present a systematic literature review on the public debt-economic growth nexus. The objective was to provide policymakers and researchers with significant insights on the impact of public debt on economic growth and to provide reliable evidence on the gaps in the literature that require their urgent attention. The study used a systematic review of the literature contained in two databases, namely Semantic Scholar and Google Scholar. The study shows that public debt above the threshold is detrimental to economic growth, while low public debt is conducive to growth, and that the degree of non-linearity in the debt-growth relationship varies considerably depending on the economic status and debt burden of the country. Policymakers in each country should identify the tipping point at which further public debt begins to impede growth. Debt policy should take into account not only fiscal constraints, but also the effectiveness of governance and the possible consequences of eroding public confidence. The study also shows that institutional quality, public investment, production expenditure, foreign direct investment and exports are among the variables that significantly affect the relationship between public debt and economic growth. Policymakers should control the level of public debt and its drivers to support longer-term economic growth. The study also recommends that countries account for public debt and ensure that such debt is acquired only to finance profitable investments that generate future returns, and not for consumption, deficit reduction, wasteful spending, or political purposes.
Demystifying Literacy Disparities: The Interplay of Economic Conditions and Educational Spending Yangailo, Tryson
Journal of Developing Economies Vol. 10 No. 1 (2025)
Publisher : Universitas Airlangga

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.20473/jde.v10i1.62016

Abstract

This study provides a comprehensive analysis of the interplay between literacy rates, GDP per capita, and government spending on education in different regions of the world. Using secondary data from the World Bank and Jamovi software for statistical analysis, the study reveals significant disparities in literacy rates. Europe and Central Asia (excluding high-income countries) have the highest literacy rates, while Sub-Saharan Africa and Central Europe and the Baltics have comparatively lower rates. The results of the correlation analysis show a weak linear relationship between GDP per capita and literacy rates, while a non-linear relationship indicates a stronger relationship. Government spending on education shows a moderate positive correlation with literacy rates, but the results of regression analysis reveal inefficiencies, suggesting that increased spending does not always translate into improved literacy outcomes. The study addresses gaps in the existing literature by challenging the simplistic view that higher economic growth and spending automatically improve literacy, and by highlighting the need for more targeted education policies.
The Impact of Industrialisation on Zambia's Economic Growth Yangailo, Tryson; Chambani, Taonga
Journal of Developing Economies Vol. 8 No. 1 (2023)
Publisher : Universitas Airlangga

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.20473/jde.v8i1.43514

Abstract

This research study examines the impact of industrialisation on economic growth in Zambia. The study utilised secondary data from Zambian Central Bank and Word-Bank data statistics. The research did specify the model, where GDP was dependent (outcome) variable whereas, FDI, industrial output, interest rate, inflation and currency exchange rate were the independent (predictor) variables. Regression-analysis was used to analyse data using Jamovi-software. The study presents that industrialisation has a positive significant impact on Zambia's economic growth.