THE ECONOMIC AND ENVIRONMENTAL FACTORS INFLUENCE ON HDI IN SOUTHEAST EUROPEAN COUNTRIES
DOI: 10.5937/etp2401019M
Keywords:
Human Human Development Index (HDI), standard of living, industrial development, service sector, renewable energy sources.Abstract
Human development can be defined as the process of
enriching the basic freedoms, capabilities and opportunities of
individuals with the aim of improving their general well-being. This
concept includes the people’s knowledge, abilities and skills
enrichment, the expansion of their possibilities of choice, the
encouragement of freedoms and the human rights enjoyment as wider
determinants of the societal development. This article is devoted to the
study of the impact of some economic and environmental factors on
the Human Development Index (HDI) in nine selected countries of
Southeast Europe in the period from 2006 to 2019. In addition to the
presented HDI calculation methodology, the article also uses the
Cross-sectional Seemingly Unrelated Regression (SUR) estimation
technique, which indicated a positive and significant impact of the
living standard, but at the same time a negative and significant impact
of industrial development and the service sector on the HDI. On the other hand, a negative and significant impact of renewable energy
sources is also observable, which suggests that decision-makers
should encourage appropriate measures, innovations and investments
in renewable energy sources more intensively with the aim of boosting
further human development and environmental protection.
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