Economies

25 pages, 5177 KB

Open AccessArticle

Impact of Government Investment in Human Capital on Labor Force Participation and Income Growth Across Economic Tiers in Southeast Asian Countries

by Pathairat Pastpipatkul, Htwe Ko and George Randolph Dirth

Economies 2025, 13(9), 249; https://doi.org/10.3390/economies13090249 - 23 Aug 2025

Viewed by 92

Abstract

Prior economic research emphasized land, labor and physical capital as the primary drivers of growth, but contemporary work highlights the pivotal role of human capital. Investments in education, health and governance are now regarded as central to sustainable development; yet important questions remain regarding their effectiveness and context-specific impact. This study investigates how human capital investment influences labor force participation and income growth within the ASEAN nine economies for the period from 2000 to 2022 which provides a rich example of contrast in economic and governance outcomes within a single geographic region. Impacted units of measurement of labor force participation and income growth are evaluated using the Bayesian Additive Regression Trees model to select the most important variables, the Bayesian Dynamic Nonlinear Multivariate panel model to estimate regional effects, and the Time-varying Seemingly Unrelated Regression Equations model to evaluate country-specific dynamics, which considers not just the influence of investments in health and education but also the context of rule, law, and governance. The findings indicate that human capital investments exhibit heterogenous effects across economic tiers and the need for strategies and future study of preconditions to improve returns particularly in low-tier economies. Accordingly, mid-tier, emerging economies exhibit the greatest benefit from human capital investments while top-tier exhibit the probable impact of the law of diminishing returns as their human capital development is already well underway. Despite the limited scope, this study still has the potential to draw constructive theoretical and practical implications. Full article

(This article belongs to the Special Issue The Asian Economy: Constraints and Opportunities)

► Show Figures

Graphical abstract

23 pages, 511 KB

Open AccessArticle

Investigating Economics Students’ Perception of the Recent Trends in Globalization, Localization, and Slowbalization

by Titus Suciu, Alexandra Zamfirache, Ruxandra-Gabriela Albu and Ileana Tache

Economies 2025, 13(9), 248; https://doi.org/10.3390/economies13090248 - 22 Aug 2025

Viewed by 167

Abstract

This study investigates the perceptions of economics students from Romania’s Central Region regarding the global phenomena of globalization, localization, and slowbalization (GLS), analyzed through the lens of environmental, economic, and educational sustainability. The research highlights a high level of awareness and understanding of globalization and localization, while the concept of slowbalization remains relatively unfamiliar and often perceived with uncertainty or neutrality. Most respondents view globalization as the most sustainable model for long-term economic development, emphasizing its contributions to international trade, market expansion, investment flows, and access to global education and research. At the same time, localization is recognized for its role in preserving cultural identity, strengthening local economies, and addressing pressing environmental issues through low-carbon solutions. Regarding educational sustainability, students support a hybrid model that balances global exposure with the appreciation of local knowledge and traditions—a glocal approach particularly endorsed by master’s students. The study also reveals statistically significant differences between undergraduate and graduate respondents, indicating more mature perspectives among those in advanced studies. The paper could help in course design and lesson engagement and concludes by recommending curricular reforms in economic education and proposing future interdisciplinary, comparative, and qualitative research to deepen understanding of GLS dynamics, particularly in the context of emerging global trends and technological transformations. Full article

(This article belongs to the Special Issue Globalisation, Environmental Sustainability, and Green Growth)

► Show Figures

Figure 1

17 pages, 587 KB

Open AccessArticle

The Impact of Exchange Rate Volatility on South African Agricultural Exports

by Ireen Choga and Teboho Charles Mashao

Economies 2025, 13(9), 247; https://doi.org/10.3390/economies13090247 - 22 Aug 2025

Viewed by 140

Abstract

The South African exchange rate has been volatile in recent years affecting the competitiveness of commodities in the market. Consequently, South African agricultural exporters have faced lower profitability or entire losses. More South Africa is among the top agricultural exporters in Africa. Thus, the purpose of this study was to examine the effect of exchange rate volatility on agricultural exports in South Africa using the Exponential Generalized Autoregressive Conditional Heteroskedastic (EGARCH) model over the period extending from first quarter of 2013 to first quarter of 2024. The study finds that the exchange rate affects agricultural export negatively in South Africa. The findings display that the exchange rate is statistically significant in explaining agricultural exports in South Africa. In addition, this study finds interest rate affects agricultural exports negatively whereas investment and trade openness affect agricultural export positively in South Africa. This infers that agricultural exports in South Africa are explained by various economic factors. Therefore, this study proposes implementing currency stabilisation policies is a crucial strategy to reduce exchange rate volatility, thereby reducing the negative impact on agricultural exports in South Africa. The policymakers can use currency hedging as tool to lessen the negative impact associated with the exchange rate volatility. Full article

► Show Figures

Figure 1

Journal Menu

Journal Browser

Economies, Volume 13, Issue 9 (September 2025) – 3 articles

Further Information

Guidelines

MDPI Initiatives

Follow MDPI