Exploring the Relationship Between Technological Progress, Human Capital, Political Uncertain, Energy Consumption, and Economic Growth: Evidence from a Panel Data Analysis

Abstract

This study examines the determinants of economic growth by integrating technological progress, human capital, energy consumption, and monetary policy uncertainty in an extended theoretical model. The empirical investigation covers 18 economies from 2009 to 2019 and applies the Bias-Corrected Estimation (BC) and Generalized Method of Moments (GMM) techniques. The findings reveal that while gross capital formation is a significant growth driver, financial development has no meaningful impact. Notably, intermediate education contributes positively to growth, whereas advanced education surprisingly shows a negative effect. Additionally, the results indicate a direct relationship between renewable energy consumption and growth, with oil consumption having a negative impact. Political instability, measured by the Global Economic Policy Uncertainty (GEPU) index, also hinders growth.