Empirical Analysis of the Impact of FDI, Trade Openness and Human Capital on Economic Growth Case: Western Balkans (WB6)
Session
Management Business and Economics
Description
In economic literature, a country's real economic growth—measured by the annual growth of real GDP—is frequently the primary approach of analysis. This method eliminates the impact of inflation, allowing for a constant evaluation of economic development. This approach serves as the basis for the study's investigation of the effects of a number of important variables on economic growth, including trade openness, the Human Development Index (HDI), and foreign direct investment (FDI). These factors were chosen because they are relevant to regional dynamics and global trends in the Western Balkans, or WB6, as they are popularly known in this research. Albania, Bosnia and Herzegovina, Kosovo, Montenegro, North Macedonia, and Serbia are all included in this region now known as WB6. The aim of this research is to establish a fundamental relationship between these variables and gain a better understanding of how they influence the economic development of emerging economies. The analysis is empirically based and supported by a thorough study of relevant literature. The study aims to define economic growth, identify significant elements such as FDI, trade openness, and HDI, analyze their relationship, and offer policy-relevant findings. The findings of this study enlighten to better understanding on how foreign direct investment, trade openness, and human capital development affect economic growth in the Western Balkans. By uncovering key links, the report provides of policymakers with insights into how to promote sustainable growth in emerging economies. These findings emphasize the significance of strategic investment, integration into global markets, and long-term investment in education and human resources throughout the WB6.
Keywords:
foreign direct investment, economic growth, human development index, gross domestic product
Proceedings Editor
Edmond Hajrizi
ISBN
978-9951-982-41-2
Location
UBT Lipjan, Kosovo
Start Date
25-10-2025 9:00 AM
End Date
26-10-2025 6:00 PM
DOI
10.33107/ubt-ic.2025.387
Recommended Citation
Uka, Ardian and Uka, Erzana, "Empirical Analysis of the Impact of FDI, Trade Openness and Human Capital on Economic Growth Case: Western Balkans (WB6)" (2025). UBT International Conference. 2.
https://knowledgecenter.ubt-uni.net/conference/2025UBTIC/MBE/2
Empirical Analysis of the Impact of FDI, Trade Openness and Human Capital on Economic Growth Case: Western Balkans (WB6)
UBT Lipjan, Kosovo
In economic literature, a country's real economic growth—measured by the annual growth of real GDP—is frequently the primary approach of analysis. This method eliminates the impact of inflation, allowing for a constant evaluation of economic development. This approach serves as the basis for the study's investigation of the effects of a number of important variables on economic growth, including trade openness, the Human Development Index (HDI), and foreign direct investment (FDI). These factors were chosen because they are relevant to regional dynamics and global trends in the Western Balkans, or WB6, as they are popularly known in this research. Albania, Bosnia and Herzegovina, Kosovo, Montenegro, North Macedonia, and Serbia are all included in this region now known as WB6. The aim of this research is to establish a fundamental relationship between these variables and gain a better understanding of how they influence the economic development of emerging economies. The analysis is empirically based and supported by a thorough study of relevant literature. The study aims to define economic growth, identify significant elements such as FDI, trade openness, and HDI, analyze their relationship, and offer policy-relevant findings. The findings of this study enlighten to better understanding on how foreign direct investment, trade openness, and human capital development affect economic growth in the Western Balkans. By uncovering key links, the report provides of policymakers with insights into how to promote sustainable growth in emerging economies. These findings emphasize the significance of strategic investment, integration into global markets, and long-term investment in education and human resources throughout the WB6.