Does Good Governance Mediate Between GDP To Debt and Economic Development?

Abstract

The main motive of the study was to investigate the role of good governance
between debt to GDP and economic development. Existing study used the data
over the period of period 1990 to 2020 of World Bank. Per capita Income (PCI) is
taken as dependent variable for economic performance. While good governance
(GG) is considered as mediating variable in this study which is measured through
the Worldwide Governance Indicators (WGI). Whereas debt to GDP is used as an
independent variable in this study. This study measured the direct and indirect
effect of mediating and independent variables. The study results concluded that
there is a relationship between debt to GDP and economic development. It shows
that more debt to GDP leads to higher economic development. Study also found
significant relationship of mediating variable between debt to GDP and economic
development