Effect of Economic Globalization on Human Development: Evidence from South East Asian States

This research is intended to examine the effect of globalization on human development in emerging nations. The objective has been attained by examining 20 years data (from 2000-2019) of six Southeast Asian states (Cambodia, Indonesia, Malaysia, Myanmar, Philippines, and Thailand) associated in ASEAN trade block. Brunei and Singapore were not included in the study because both are developed nations. Vietnam, however, is not a fully developed country but it is regarded as a high-income earning country. Laos was also eliminated from the estimation because of the absence of data. The core variables are trade liberalization and FDI, which are used as a substitute for globalization. Other predictor variables are death rate, government expenditure on health and dependency ratio. The result of Hausman test showed that the fixed effect model is suitable for this study. The results of fixed effect evaluation confirmed that both FDI and trade openness has an adverse impact on Human Development in selected Southeast Asian states