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Impact of Insurance Market on Economic Growth in Post-Transition Countries

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  • Phutkaradze Jaba

    (Ph. D. Student, Warsaw School of Economics)

Abstract

The purpose of this work is to identify whether the development of an insurance market is linked to economic growth in former transition countries. A multiple regression analysis is employed to estimate the insurance-growth relationship, using a cross-country panel dataset analysis tracking annual total insurance penetration in 10 countries over the 2000-2012 period, and applying a fixed effect model to test the hypothesis that this linkage is demonstrably positive. The results show a negative and statistically non-significant correlation between insurance and GDP growth, suggesting a lack of evidence that insurance promotes economic growth in post-transition economies.

Suggested Citation

  • Phutkaradze Jaba, 2014. "Impact of Insurance Market on Economic Growth in Post-Transition Countries," International Journal of Management and Economics, Warsaw School of Economics, Collegium of World Economy, vol. 44(1), pages 92-105, December.
    • Handle: RePEc:vrs:ijomae:v:44:y:2014:i:1:p:92-105:n:5
    DOI: 10.1515/ijme-2015-0011
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