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Impact of Globalization on HDI (Human Development Index): Case Study of Pakistan

Mohammad, Sulaiman D. and Majeed, Sadaf and Hussain, Adnan and Lal, Irfan (2010): Impact of Globalization on HDI (Human Development Index): Case Study of Pakistan. Published in: European Journal of Social Sciences , Vol. 13, No. 1

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The purpose of the study is to find out whether the foreign direct investment (FDI) and international trade extension is an effective tool of economic stability and development in the current international scenario in case of Pakistan or not, this our research question in this study. The data which have been selected in this research is from 1975 to 2008, which was the age of economic and financial liberalization under an open economy (globalization). The Statistics have been analyzed through Ordinary least squired (OLS) with HDI as dependent variable and ratio of FDI to GDP, real GDP growth rate along with export and import as independent variables. The coefficient of FDI is significant as anticipated, however the coefficient of real GDP- ratio is insignificant and has negative sign because of income inequality in the case of Pakistan.

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