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April 3, 2026Политика и ОбществоOpen Access

The impact of geopolitical tension on the economic development rates of developed and developing countries

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Authors

ANAndrey Vadimovich Novikov

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Overview

Comprehensive analysis reveals varying effects of geopolitical risks on economic growth in diverse national contexts.

Key Points

  • The study aims to analyze how geopolitical tension affects economic development rates in developed versus developing countries.
  • Analyzed panel data from 40 developed and developing countries from 1995 to 2025
  • Utilized regression analysis with generalized least squares method
  • Included fixed effects for countries and time
  • Examined channels of geopolitical risk influence on economic dynamics
  • Identified a positive relationship between geopolitical risks and growth rates in developed countries
  • Found that developing countries show an insignificant direct effect from geopolitical risks
  • Revealed that institutional conditions like economic freedom affect adaptability to geopolitical shocks
  • Demonstrated that democracy can negatively influence growth due to investment crowding-out effects

Cite This Study

Andrey Vadimovich Novikov (2026) studied this question.

synapsesocial.com/papers/69cf5ea85a333a821460d3cehttps://doi.org/10.7256/2454-0684.2026.1.77614
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