Research ArticleOpen AccessGoogle Scholar indexed
Determinant Factors of Trade
Westminster School, London, UK
- 1 Westminster School, London, UK
Journal of Financial Risk Management·Volume 14 (2025)·Pages 498–511·Published 15 October 2025·DOI10.4236/jfrm.2025.144026
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Abstract
The purpose of this paper is to investigate the effect of GDP per capita growth on trade indicators. Moreover, we would like to investigate whether the developing level of the countries plays a significant role in this relationship. The dataset of 154 countries is derived from the World Bank World Development Indicator. By using regression analysis, the results highlight a positive relationship between GDP per capita growth and trade indicators for developing countries, while we couldn’t capture significant relationship for developed countries, suggesting that the level of development in these countries plays an important role in the relationship. These findings have important insights for policymakers, investors, and managers.
KeywordsTradeExportImportFDIGDP per capita growthRegression
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