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Investigating The Impact Of Civil Liberties And Creative Class On Innovation Output And Economic Growth: An Empirical Case Study For Pakistan

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  • ABDUL ALEEM NAJAM

    (SCHOOL OF ECONOMICS, UNIVERSITY OF THE PUNJAB, LAHORE, PAKISTAN)

  • MUHAMMAD ZAHID NAEEM

    (SCHOOL OF BUSINESS AND ECONOMICS, UNIVERSITY OF BRUNEI DARUSSALAM, BRUNEI DARUSSALAM)

  • BIRAU RAMONA

    (FACULTY OF ECONOMIC SCIENCE, UNIVERSITY CONSTANTIN BRANCUSI, TG-JIU, ROMANIA)

  • NINULESCU PETRE VALERIU

    (UNIVERSITY OF CRAIOVA, DOCTORAL SCHOOL OF ECONOMIC SCIENCES, CRAIOVA, ROMANIA)

Abstract

Innovations play a crucial role to foster the economic growth and sustainable development by addressing urgent economic and social needs, and by enhancing productivity and competitiveness. Due to its significance, this study examines the impact of civil liberties and creative class on innovation output in case of Pakistan. Innovation output is proxied by patent and trademark applications of residents of Pakistan. The study employs a time series data over the period of 1982-2014 and negative binomial method to test the hypotheses empirically. The results implicitly support the hypotheses that lesser civil liberties are negatively related to the innovation output. Whereas, explicitly lesser civil liberties negatively but insignificantly related to the patent applications and are significantly positively related to the trademark applications. Creative class and school enrollment positively significantly related to the innovation output. Other factors such as, political rights and foreign direct investment negatively insignificantly relates to the trademark applications whereas positively significantly relates to patent applications. Expenditures on education as percentage of GDP (Proxy of R&D) negatively and significantly relates to trademark applications but negatively insignificantly to patent applications.

Suggested Citation

  • Abdul Aleem Najam & Muhammad Zahid Naeem & Birau Ramona & Ninulescu Petre Valeriu, 2023. "Investigating The Impact Of Civil Liberties And Creative Class On Innovation Output And Economic Growth: An Empirical Case Study For Pakistan," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 3, pages 14-31, June.
    • Handle: RePEc:cbu:jrnlec:y:2023:v:3:p:14-31
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    References listed on IDEAS

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    1. Khan, Jangraiz & Rehman Khattak, Naeem Ur, 2014. "The Significance of Research and Development for Economic Growth: The Case of Pakistan," MPRA Paper 56005, University Library of Munich, Germany.
    2. Hamna Ahmed & Mahreen Mahmud, 2011. "What Determines Innovation in the Manufacturing Sector? Evidence from Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 50(4), pages 365-376.
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    4. Carl Henrik Knutsen, 2015. "Why Democracies Outgrow Autocracies in the Long Run: Civil Liberties, Information Flows and Technological Change," Kyklos, Wiley Blackwell, vol. 68(3), pages 357-384, August.
    5. Pál Czeglédi, 2014. "Why are civil liberties more important than executive constraints in economic development? A property rights approach," Society and Economy, Akadémiai Kiadó, Hungary, vol. 36(1), pages 37-68, March.
    6. Hadhek Zouhaier & Kefi Mohamed Karim, 2012. "Democracy, Investment and Economic Growth," International Journal of Economics and Financial Issues, Econjournals, vol. 2(3), pages 233-240.
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