The impact of investments in permanent assets on the increase in the number of employees and their salaries by entrepreneurial sectors

Abstract

This work aimed to identify the impact of investments in permanent assets on the number of employees by sector and its impact on employee salaries. We draw the data from the Financial Statements Annual Bulletin published by the Serbian Business Registers Agency, representing aggregated data of all enterprises in Serbia and their analysis by sectors. The data set spans the period from 2013 to 2020. The results show a high positive correlation between investment in permanent assets and the number of employees in the manufacturing sector and information and communication sector, and a negative one in the agricultural industry. We did not find a significant correlation between investments in permanent assets and the number of employees with their salaries.