An Analysis of Economic Growth for Major Advanced Economies

Abstract

The study's main aim is an analysis of economic growth in G7 countries. The period examined in the study in which annual data was used covers 2001-2021. For this purpose, a panel data analysis was conducted. Economic growth is a function of account balance, employment, inflation, and investment, and there is a positive relationship between economic growth and employment and between inflation and investment. Conversely, there is a negative relationship between economic growth and account balance. The results are statistically significant. The highest contribution to economic growth in G7 countries comes from technological innovations. Economic growth is a dynamic area. Many factors affect economic growth, including geography, democracy, market form and technology, and cultural and religious factors. For this reason, economic growth covers a broad study area.