Volume 30, Issue 2, 2021
DOI: 10.24205/03276716.2020.4018
The Impact of Political Instability on Economic Growth in Pakistan
Abstract
This research examines the key goals relationship between political instability and economic development, and how does political instability affect GDP and growth in the country? To this end, we have selected four variables for calculating their effect on Gross Domestic Product (GDP), such as political uncertainty, inflation rate, unemployment and public debt. We have used time - series data of 10 years (from 2010 to 2019). to draw the findings and analyze them through SPSS software. We have applied the techniques of Multiple Regression, ANOVA, Pearson and Correlation for data analysis. Our result shows that debt and index growth rates are closely, correlated, while unemployment and inflation are negatively correlated. We must therefore accept our first and third hypothesis while denying, the second hypothesis, which indicates that GDP has a positive association with unemployment.
Keywords
Gross Domestic Product; Inflation Rate; Political Instability; Public Debt; Unemployment