The Impact of Investment on Economic Growth and Employment Absorption
Keywords:
Investment, Economic Growth, Employment Absorption, Economic Literature, Development PolicyAbstract
This journal examines the impact of investment on economic growth and employment absorption based on previous literature. The primary objective is to understand how both domestic and foreign investments influence economic expansion and job creation. The methodology includes a systematic review of empirical studies and relevant economic theories, along with comparative analysis across different countries and time periods. Results indicate that increased investment is positively correlated with rapid economic growth and higher employment rates, particularly in manufacturing and service sectors. However, the effects are also influenced by institutional factors and government policies. These findings highlight the importance of investment policies that support a conducive business climate and economic stability to foster sustainable growth and reduce unemployment. This literature provides valuable insights for policymakers and economic actors in formulating development strategies based on investment.References
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