Globalisation, Domestic Economic Conditions, and Economic Growth in Emerging Markets: A Comparative Empirical Study

Abstract

This study examines the relationship between globalisation, domestic economic conditions, and economic growth in selected emerging market economies. The research is positioned within the contemporary debate on globalisation, protectionism, trade restructuring, and domestic economic resilience. Using secondary macroeconomic data, the study analyses globalisation through trade openness and foreign direct investment, while domestic economic conditions are examined through inflation, unemployment, GDP per capita, government expenditure, and population growth. The study adopts a structured quantitative and comparative approach, combining descriptive analysis, correlation analysis, regression modelling, and interpretive comparison.
The findings indicate that globalisation remains an important structural feature of emerging markets, particularly through stable patterns of trade openness. However, foreign direct investment is found to be more volatile and sensitive to global economic conditions. The regression analysis demonstrates that domestic economic variables have a more direct influence on economic growth, especially inflation, unemployment, GDP per capita, and government expenditure.
The comparative analysis further shows that globalisation alone does not fully explain growth variations across emerging markets. Instead, domestic macroeconomic stability and internal economic capacity determine how effectively countries convert global integration into growth outcomes. The study concludes that sustainable economic growth in emerging markets depends on the combined interaction of external integration and domestic economic strength. The findings have implications for policymakers seeking to balance openness with domestic resilience, particularly in an era of global uncertainty, trade fragmentation, and renewed protectionist tendencies.
Keywords
Globalisation; Economic Growth; Emerging Markets; Trade Openness; Foreign Direct Investment; Domestic Economic Conditions; Inflation; Unemployment; GDP per Capita; Protectionism; Macroeconomic Stability