The use of regression analysis in the evaluation of the impact of digitalisation and technological inovations in three measures of the development of economy and society

Abstract

The objective of this paper is to examine the correlation between the achieved level of technology and innovations and the development of the financial market, index of human development and gross domestic product per capita. The research question reads: "Is the level of technology and innovations related to the market development index, the human development index and GDP per capita, and in what way?" the research objective is to determine whether there is a reason to believe that, by imitating a certain country in relation to the level of digitalisation and innovations, it is possible to further develop the financial market, affect the level of human development or the increase in GDP per capita. Methods used in this paper are regression analysis, i.e. simple linear regression, as well as the analysis and consolidation of preceding research and theoretical findings in order for conclusions to be drawn through an induction method. The paper represents the authors' contribution to the theory and application of economics, as well as to the wider public. The research results also indicate that it would be rational for financial intermediaries in developing countries to consider changing their business models and new possibilities for their adjustment to accelerated technological changes.

Keywords

• digitalisation
• innovations
• financial markets
• fd index
• hdi
• bdp per capita