Endogenous Growth Factors and Economic Development: An In-depth Analysis of the Impact of Investments in R&D and Human Capital on Total Factor Productivity and Export Dynamics

Authors

  • Sonja Šlander-Wostner Department of International Economics and Business School of Economics and Business, University of Ljubljana and EIPF Institute of Economics, Slovenia
  • France Križanič Department for Macroeconomic econometric analysis; EIPF, Institute of Economics, Slovenia https://orcid.org/0000-0002-8609-7856
  • Borut Vojinovic Department for Macroeconomic econometric analysis; EIPF, Institute of Economics, Slovenia https://orcid.org/0000-0002-6417-6166

DOI:

https://doi.org/10.5755/j01.ee.36.2.35715

Keywords:

Endogenous Growth, Research and Development, Human Capital, Total Factor Productivity, Exports

Abstract

Investments in research and development (R&D) and human capital affect economic growth by influencing total factor productivity (TFP) and competitiveness (exports). The determinants of this influence were analysed on a cointegrated panel of seven large countries and separately on five medium-sized or small countries. The results show that TFP and exports per unit of R&D or per unit of human capital mainly depend on the interconnection of these two factors, but also on capital per employee, the control of inflation, the foreign trade share in GDP, oil prices, digitalisation, electrification, the concentration of development activity related to the share of military expenditures in GDP, energy efficiency and ecological protection in the national economy. In medium-sized or small countries, the influence of regulation is greater, while the effect of development activities related to military expenditures is much smaller than in the large countries.

Author Biographies

Sonja Šlander-Wostner, Department of International Economics and Business School of Economics and Business, University of Ljubljana and EIPF Institute of Economics, Slovenia

Sonja Šlander Wostner, PhD in Economics, is an Assistant Professor at the Department for International Economics and Business, Faculty of Economics, University of Ljubljana. Her scientific research activity deals mainly with the topics of European Union cohesion policy and factors of growth and development in a spatial context. http://www.ef.uni-lj.si/en.

France Križanič, Department for Macroeconomic econometric analysis; EIPF, Institute of Economics, Slovenia

France Križanič, PhD in Economics, received a PhD from the Faculty of Economics in Zagreb (1997). He is a scientific councilor at EIPF, the Institute of Economics in Ljubljana. His research interests are: External Exchange and Capital Flow, Economic Growth, Energy and Ecology. His research papers are published in numerous international JCR journals and are listed under his Open Researcher and Contributor identifier (ORCiD) 0000-0002-8609-7856. He served as Chairman of the Council of Experts of the Insurance Supervision Agency of the Republic of Slovenia (2000 - 2005), Director of EIPF Economic Institute (2001 - 2008), the Minister of Finance in the Government of the Republic of Slovenia (2008-2012) and the Member of the National Assembly of the Republic of Slovenia (2014 – 2015). 

Borut Vojinovic, Department for Macroeconomic econometric analysis; EIPF, Institute of Economics, Slovenia

Borut Vojinović, PhD in Economics, is a Professor at the EIPF, Institute of Economics, Ljubljana. His research interests are: General Economics, Macroeconomics, and International Economics. He is the author of several research papers published in different scientific journals and listed on ORCiD number 0000-0002-6417-6166. He is also a member of the Editorial Team at Lex localis, Journal of Local Self Government, a JCR-listed journal. During his professional training, he lectured at several international universities.

Additional Files

Published

2025-04-30

Issue

Vol. 36 No. 2 (2025)

Section

Articles