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Background factors facilitating economic growth using linear regression and soft regression

Eli Shnaider, Nava Haruvy. Netanya Academic College


This article attempts to explore the background factors facilitating economic growth. In this article background factors mean some set of factors that by their nature are slow to build up, but their presence is necessary to attain higher levels of aggregate income. Their presence, however, in itself does not guarantee higher levels of income; in particular if not all are present in sufficient amounts. In this study we do not claim to cover all such factors, but we will attempt to identify some of them. The purpose is to demonstrate quantitative methodology to identify such factors, so that similar methodology could be used in the future to identify additional factors facilitating growth. In this study we utilize international economic data from the data base of the World Bank.



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