Nexus among Entrepreneurial Activities, Human Capital, and Economic Growth to achieve Sustainable Development Goals (SDGs): Moderating Role of Financial Development
Abstract
Every economy invests heavily to achieve Sustainable Development Goals (SDGs). SDGs attempt to provide everyone with an access to a high-quality education. The more access to schooling individuals have, the more likely they are to think creatively and take entrepreneurial initiatives. It is vital to invest in personnel to generate economic activities that are suitable for the intricacies of a sustainable economy. The current study attempted to examine the effects of human capital and economic growth on entrepreneurial activities, considering the moderating impact of financial development. The study employed a fixed effects estimation technique to unbalance panel data in various economies using the time period from 2011-2019. The results indicated that human capital, through secondary and tertiary education, significantly and positively stimulates the entrepreneurial activities to achieve SDGs worldwide. In contrast, human capital acquired through primary education doesn't affect entrepreneurial activities positively. Financial development has a positive and statistically significant effect as an explanatory variable, however, the moderating effects of financial development remain poorly grasped. The current study provided policymakers, researchers, and academia with valuable information to foster an environment conducive to entrepreneurial activities in order to achieve the SDGs.
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