Journal of Economics and Management Advances
Journal of Economics and Management Advances (JEMA) is a peer-reviewed academic journal dedicated to the dissemination of high-quality research in the fields of economics and management. The journal publishes original research articles, review papers, and case studies that contribute to theoretical advancement and practical solutions in both disciplines. JEMA provides an international platform for scholars, researchers, and practitioners to exchange innovative ideas, empirical insights, and policy-relevant findings. The journal welcomes contributions that adopt interdisciplinary approaches and that address contemporary challenges in economics and business management. Committed to academic excellence, JEMA upholds a rigorous peer-review process and ethical publishing standards. The journal serves as a valuable resource for academics, policymakers, and industry professionals seeking to stay informed about the latest trends and research developments in the fields of economics and management.
published by "İqtisad Universiteti" publishing house of UNEC
Artificial Intelligence and Digital Transformation in Labor Market:Implications for Sustainable Development
In the context of the modern economy, AI and digital transformation are fundamentally reshaping the structural and functional characteristics of the labor market. Technological advancements do not merely optimize production processes; they also fundamentally transform workers’ skill requirements, occupational structures, and the availability of jobs. As a result, certain job functions are automated, routine and standardized tasks are replaced by technological systems, and simultaneously, new occupations requiring high-level skills emerge. The objective of this study is to analyze the impact of artificial intelligence technologies and digital transformation on the labor market within the framework of sustainable development, evaluating structural changes and socio-economic outcomes. The analysis indicates that AI enhances labor productivity while generating polarization in the skill structure of the workforce. However, managing the risks associated with this technological transformation requires appropriate institutional and educational policies. Lifelong learning programs, reskilling initiatives, and skill development-oriented state policies can help maintain workforce competitiveness and promote labor market inclusiveness. In this regard, AI and digital transformation are not only technological processes that enhance economic efficiency but also strategic instruments for achieving sustainable and balanced socio-economic development. The study also proposes policy recommendations and strategic approaches to help labor markets adapt to evolving demands.
Artificial intelligence, digital transformation, labor market, sustainable development, technological unemployment, skills transformation
Copyright (c) 2026 Journal of Economics and Management Advances https://creativecommons.org/licenses/by/4.0
An Investigation into the Relationship Between Service Quality and Customer Satisfaction in Cargo Companies in Azerbaijan
This study examines the relationship between service quality and customer satisfaction in cargo companies operating in Azerbaijan. The research is based on the SERVQUAL model, which is widely used in the service management literature to evaluate service quality across diverse sectors. SERVQUAL conceptualizes service quality through five fundamental dimensions tangibles, reliability, responsiveness, assurance, and empathy and posits that these dimensions collectively shape customers’ perceptions and evaluations of service performance. Within the scope of the present study, each of these dimensions was assessed to determine its relative influence on customer satisfaction in the cargo industry, where timely delivery, transparency, and operational efficiency are of critical importance. The empirical component of the research is grounded in data gathered from 114 participants who regularly use cargo and delivery services. The dataset was analyzed to evaluate how customers perceive service quality and to identify which dimensions most strongly predict their satisfaction levels. Overall, this study contributes theoretically to the service quality literature while offering practical implications for the strategic development of cargo service providers in Azerbaijan.
Customer Loyalty, Service Quality, Customer Satisfaction, Cargo Companies
EU Digital Paradox: GDPR as a Barrier for the Digitalizationof Polish SMEs
Poland's transition to a digital knowledge economy is still slow, especially in the predominant microenterprise sector, despite the country's steady economic convergence with Western standards. This study explores the "EU Digital Paradox," in which Polish small and medium-sized enterprises (SMEs) face a structural obstacle due to the simultaneous pursuit of digital acceleration and strict data restrictions under the General Data Protection Regulation (GDPR). Using secondary quantitative data from the Polish Agency for Enterprise Development (PARP, 2025) and the Digital Economy and Society Index (DESI, 2022–2024), this study adopts the Resource-Based View (RBV) of the firm and uses a descriptive analytical design. The analysis reveals that companies are forced into "defensive digitalization" and data avoidance due to prohibitive compliance expenses, which are expected to be between 40,000 and 100,000 PLN per year. The study emphasizes that although making up the great majority of the economic landscape, micro-enterprises are subject to the same compliance obligations as larger businesses due to the current legal framework's failure to separate them. The article recommends introducing GDPR regulatory sandboxes for micro-enterprises and transitioning to a vendor-based compliance model to remove these structural barriers and accelerate digital growth.
GDPR, digitalization, SMEs, Poland, compliance costs, Resource-Based View
Dynamics and Short-Term Forecasting of the U.S. Consumer Price Index: An Empirical Analysis
This article presents an empirical analysis of the dynamics and short-term forecasting of the U.S. Consumer Price Index (CPI) using econometric time-series modeling techniques. Official macroeconomic data from the Federal Reserve Bank of St. Louis (FRED) serve as the empirical basis for the study. Preliminary analysis reveals the non-stationary nature of the original time series, which necessitates the application of ARIMA-class models incorporating differencing. The optimal model specification is selected based on the Akaike and Bayesian information criteria, while model adequacy is confirmed through residual diagnostics. Based on the selected specification, short-term forecasts are generated over a 12-period horizon with corresponding confidence intervals. The forecasting results indicate the persistence of a moderately upward trend in the Consumer Price Index over the projected period. Forecast accuracy is further assessed using the Mincer–Zarnowitz test, which detects no statistically significant bias and confirms both the unbiasedness and informational efficiency of the forecasts. Overall, the findings demonstrate the high predictive performance of ARIMA models in analyzing CPI dynamics and their practical relevance for assessing short-term monetary conditions.
consumer price index; time series; ARIMA; short-term forecasting; U.S. economy.
Econometrics of Risk: Theoretical and Methodological Foundations of Econometric Analysis of Risks
Econometrics is the integration of economic theory, mathematical statistics, and empirical data, and in the insurance sector it is often regarded as the science of forecasting future outcomes based on historical information. In insurance, econometric methods are used to analyze and predict risks, losses, and financial indicators through mathematical and statistical models. This field lies at the intersection of econometrics and insurance practice, providing analytical tools for managing uncertainty and supporting evidence-based decision-making. Since insurance operations are inherently based on uncertainty, econometric analysis enables insurers to estimate future losses, calculate appropriate premium levels, and maintain financial solvency. Risk refers to the deviation of actual outcomes from expected results and, unlike uncertainty, can be measured and quantified. The insurance sector is a fundamental component of the modern digital economy, contributing to economic stability through risk distribution and financial protection mechanisms. This study examines the nature of risk factors affecting the insurance sector and explores their evaluation through econometric methods. The research analyzes the influence of macroeconomic and microeconomic indicators on insurance market performance using multivariate regression models. The findings indicate that inflation, gross domestic product, interest rates, and loss frequency significantly affect risk levels and the financial stability of insurance institutions.
econometrics of risk, econometric model, correlation-regression analysis, risk forecasting, insurance sector
Examining the Territorial Differences in the Visegrad Countries, with Special Reference to the Region Type Model
The aim of the study is to examine the NUTS3 level areas of the Visegrad countries using the region type model. By applying the region model, the regions of the Visegrad countries that are performing exceptionally well and have a positive impact on neighbouring regions can be highlighted. The region-type model is often found in the literature but is not widely used. Using the region type model, regions are grouped according to two dimensions (GDP per capita and population density). An important factor in defining the research period was to reduce the negative impact of the 2008 crisis. Thus, the research period is 2014 to 2019, where can be described as the "last year of peace". The region type study with the values of the capitals was analysed. The results show Prague as a knowledge hub region and Budapest and Warsaw as cosmopolitan regions for all the periods studied. The region type classification of the Czech Republic can be considered homogeneous in 2014, but the regions return to their original equilibrium status in 2019 for the Visegrad region. The results show that the region type analysis and the convergence studies can be put in parallel.
territorial inequalities, regio model, competitiveness, economic growth
Economic Growth Assessment through Tourism Development Using the Type-2 Fuzzy Multi-Criteria Decision-Making Method
Tourism development plays a significant role in stimulating economic growth by promoting investment, job creation, and regional development. Assessing the impact of tourism on economic growth involves complex decision-making processes characterized by uncertainty, subjectivity, and imprecise expert judgments. To address these challenges, this study proposes a framework for evaluating the economic growth of tourism development using a Type-2 fuzzy set method. The proposed approach utilizes linguistic expert judgments and models the associated uncertainty using Type 2 fuzzy sets. This allows for a more realistic representation of ambiguities compared to traditional Type-1 fuzzy methods. Key tourism-related criteria, including infrastructure development, service quality, accessibility, investment intensity, and socioeconomic impacts, are systematically analyzed and weighed within the framework. The aggregation and defuzzification processes enable the prioritization of tourism development factors according to their contribution to economic growth. A case study serves to validate the applicability and effectiveness of the methodology. The results demonstrate that the Type-2 fuzzy logic approach yields more robust and reliable estimates, thereby supporting policymakers and stakeholders in developing effective tourism development strategies that promote sustainable economic growth in the face of uncertainty.
Fuzzy Numbers, Type-2 Fuzzy Sets, Multi-Criteria Decision-Making, Economic Growth, Tourism Development
Ecological Aspects of the Development of Ecological, Circular and Green Economy and Azerbaijan Realities
The article analyzes issues related to the environmental aspects of the application of the principles of ecological, circular and green economy and provides an overview of the current state of affairs in Azerbaijan. It also pays attention to the historical aspects of the formation of the stages of economic development of Azerbaijan. The article describes the ecological and economic aspects of the impact of the development of industry, agriculture and other economic sectors on the environment. Studies show that resource constraints, the use of consumption and production waste have always existed. However, these issues have been solved differently in different historical periods. The solution to these accumulated problems consists in the transition to an ecological and circular economy model, which ultimately means a “green” economy. The introduction of more advanced technologies not only reduces the negative impact of current production activities on the environment, but also reduces the volume of waste accumulated from past production periods. Special attention is paid to government initiatives and institutional reforms aimed at reducing environmental impacts and improving the efficient use of natural resources. The advantages of investment activities in the green sector and the relationship between environmentally friendly projects and the dynamics of economic growth are determined. The article examines a special approach to the economic structure of modern society, which has been known in recent years as the “green” economy. The green economy aims to ensure sustainable socio- economic development of society through the efficient use of natural resources, their protection and restoration. The article notes that the rapidly changing climate, the irreversible destruction of animals and plants, the increase in pollution-related diseases, and the impact of industrial waste, water and soil pollution and depletion clearly indicate that the old economy has led to a crisis in the relationship between humanity and the world.
Copyright (c) 2025 Journal of Economics and Management Advances https://creativecommons.org/licenses/by/4.0
Implementation of the Green Economy in Azerbaijan
This paper explores how Azerbaijan has adopted and applied the principles of a green economy as one of the central drivers of modern global economic transformation. Within the framework of accelerating green development, it evaluates future projections for the oil and gas sector between 2010 and 2040. The analysis focuses on distinguishing long-term and short-term trends influenced by external and internal factors that shape the industry’s evolution. Moreover, the paper investigates the strategic directions available for the petroleum sector in a period when green transformation becomes a national priority. The primary aim is to determine integrated strategic models and policies that can promote an efficient and sustainable transition toward a green economy in Azerbaijan, a country where hydrocarbons still play a major role. A SWOT analysis was employed to examine the sector’s strengths, weaknesses, opportunities, and threats. Concepts of green growth, the green economy, and sustainable development models were discussed comprehensively. The research drew on relevant academic sources and official documents. It concludes that all sectors, particularly energy should align with green economy standards to guarantee sustainable development and continuity in this direction. Consequently, the integrated framework of green growth and sustainable development provides promising prospects for Azerbaijan’s future progress.
Digitalization in the Field of Human Resources in Azerbaijan: The North-West `Example
The term digitalization has affected all areas of daily life. This rapid integration and its effects have not bypassed the field of human resources (HR). With the continuous updating of technologies and the new opportunities created by economic resources, digitalization also influences the management functions of HR. The main purpose of this study is to determine the directions defined for digitalization in Azerbaijan and to identify the steps taken in human resource management (HRM) in public and private institutions operating in the North-West region of the country. In this research, initial steps taken for the development of a digital society supporting modern technological fields and the efforts of the Azerbaijani government to improve its systems in the field of digitalization are particularly emphasized. In the study, qualitative, logical generalization, semi-structured survey, and comparative methods were used. The practical significance of the article is to identify the current state of digitalization in HRM in public institutions operating in Azerbaijan, particularly in the North-West region. Based on the research, it was concluded that the limited number of academic studies conducted on the relationship between HRM and digitalization in public institutions in Azerbaijan is one of the study’s main limitations. As an information base for the study, foreign literature, authors’ articles, the statistical compendium “Digital Development of Azerbaijan”, reports from the Center for Analysis and Coordination of the Fourth Industrial Revolution, the Global Digital Economy Report, and a number of online resources were used. The research results show that certain steps have been taken in institutions operating in the country toward the digitalization of HRM functions. Particularly in the North-West region, digitalization in this field is expanding; however, not all organizations have yet achieved full integration.
A Comparative Analysis of Digital Entrepreneurship via Startups in the South Caucasus and Central Asian Countries
This study investigates the impact of digital entrepreneurship on economic growth in the South Caucasus and Central Asian countries, with a particular focus on startup ecosystems. By conducting a comparative analysis, the research examines the current state of digital entrepreneurship, identifies existing challenges, and evaluates each country’s position and advantages within the regional digital entrepreneurship landscape. The study employs an analysis-based approach to assess the effects of digital entrepreneurship on key economic indicators, including GDP, employment, and innovation. Findings reveal that intercountry collaboration is essential to foster regional development, and the establishment of platforms for knowledge exchange, startup promotion, and investment flow between the South Caucasus and Central Asian countries is recommended. The study provides evidence-based insights and strategic recommendations to guide policymakers, entrepreneurs, and academics in enhancing the effectiveness and efficiency of digital entrepreneurship across the region.
Trends in Education of the Fourth Industrial Revolution in Azerbaijan
Innovations associated with the Fourth Industrial Revolution, particularly digitalization and artificial intelligence, are reshaping the substance and methodology of education in profound ways. In today’s world, learning is no longer restricted to the physical boundaries of schools and universities, education is no longer restricted to the physical boundaries of schools and universities and has instead become accessible anywhere and at any time, thereby significantly broadening the educational environment. This evolving landscape is transforming the professional roles of teachers, enriching students’ learning experiences, and redefining the principles of educational management. This article seeks to offer readers a comprehensive and systematic examination of the role that digitalization and innovative technologies play in contemporary education. It specifically explores the integration of digital tools and artificial intelligence applications into educational processes, considering both global trends and developments within Azerbaijan, and evaluates their influence on teaching, learning, and management practices. The overarching aim is to analyse the current situation within a scientific framework and to promote a deeper understanding of emerging directions and innovative transformations in the field of education. Through this analysis, readers will gain insight into how technological advancements shape teaching and management processes, facilitate the renewal of instructional methods, and support the effective use of digital resources in educational institutions.
Analysis of the Impact of High-Tech Exports and Industrial Scale on Employers in Azerbaijan
Modern technologies accelerate and change the economic activity of both developed and developing countries. The application of technologies in a wide range of fields, from production processes to the service sector, increases macroeconomic competitiveness. It is for this reason that employers' high technology export and connection with industry can be considered as one of the main components of economic success in the modern era. The study mainly assesses the impact of employers on high-tech exports and changes in the size of industry. This assessment provides optimized data for the study of the relationship between employers and potential export and the impact of employers on growth in the industrial sphere. The aim of the study is to examine the interaction between employers and the following variables: domestic loans provided by banks to the private sector (% of GDP), Industry (including construction) with value added (annual % growth), High-tech exports (% of manufactured exports), and GDP. The task of the study is to determine the role of employers in the development of high-tech exports and industries. High technology export is the sale of technological products and services to other countries. This is usually associated with innovative technology products. These products include more automated information technology, production technology, biotechnology, etc. High technology export represents a very important situation for the employer parties. Because these products can be sold at a higher price in the world market and earn more profit. The statistical annual data used in the study are taken from the database of the World Bank and the State Statistics Committee of Azerbaijan. Technological exports and employers developed in Azerbaijan between 2007-2023 and other macroeconomic indicators were analyzed using the Granger causality analysis method. As a result of the analysis, it is concluded that employers are related to high-tech export technologies and industry.
Green Finance and Environmental Aspects of Modern Tax Policy
This article examines the theoretical and practical aspects of developing green finance and greening tax policy. It demonstrates the role of the state and the financial sector in shaping a sustainable economic model that combines economic growth with environmental protection. Key challenges in implementing environmental taxes and ways to improve them are highlighted. The study focuses on government fiscal regulation tools aimed at encouraging organizations to reduce their negative environmental impact. The aim of this study is to identify opportunities for tax incentives to green the economy and develop recommendations for the further development of relevant tax instruments. The research was conducted using general scientific methods, such as systems and situational analysis, generalization, synthesis, and logical and descriptive methods. Based on the results of the study, tax measures aimed at addressing pressing environmental issues were proposed for the financial and economic activities of organizations. Allowing free depreciation of equipment operated using best available technologies will provide an additional incentive for their implementation and reduce the negative impact of production processes. Reducing the VAT rate on recycled goods will lead to increased demand, the popularity of such products, and the development of a circular economy.
The Current State of Azerbaijan's Financial Security: Threats and Solutions
This paper examines the financial security of the Republic of Azerbaijan, focusing on key indicators such as budgetary performance, banking sector stability, monetary policy, and external sector resilience. Using data from 2019 to 2025, the study evaluates fiscal sustainability, liquidity, capital adequacy, inflation, and external debt management. The analysis shows that Azerbaijan’s financial system remains relatively stable, with manageable budget deficits, a resilient banking sector, and strong international reserves. Nonetheless, potential risks exist, including dependency on oil revenues, low foreign investment, and exposure to global economic fluctuations. The paper highlights policy measures aimed at enhancing fiscal sustainability, financial stability, and economic resilience, emphasizing the importance of strategic planning, monetary stability, and investment promotion to ensure long-term financial security.
Analysis of Foreign Direct Investments in Azerbaijan and Directions for Improving the Legal Attraction Mechanism in Local Self-Government Bodies
This paper provides a comprehensive analysis of foreign direct investment (FDI) in Azerbaijan and explores avenues for enhancing the legal mechanisms employed by local self-governance bodies to attract such investments. The study underscores the theoretical and practical significance of fostering a more developed investment climate and improving the efficiency of local governance systems. Given the critical role of investments in economic development, the creation of a favorable legal environment by local governance bodies is deemed essential for attracting and protecting foreign investments. The article examines the existing legal framework in Azerbaijan, identifies challenges hindering the development of the investment climate, and outlines actionable steps for local self- governance bodies in this domain. Additionally, it analyzes key economic indicators influencing the investment environment, including import volumes, export volumes to foreign countries, industrial output (goods, works, and services), GDP, and the consumer price index. The research methodology employs econometric techniques, including the Augmented Dickey-Fuller (ADF) test, Fully Modified Ordinary Least Squares (FMOLS) estimator, and Johansen Cointegration test, to investigate the interrelationships among these economic indicators.
The Role of Budgetary Regulation in the Management of Macroeconomic Processes and Macroeconomic Problems of Increasing Tax Revenues ofRegions
The article examines the development of the national economy and the mechanisms of its effective regulation by the state. Particular attention is paid to the study of the role of budgetary regulation of macroeconomic processes. The article notes that effective budgetary regulation is, in general, the most priority issue in the system of economic management mechanism. The normal development of the national economy largely depends on its orderly regulation by the state. Thus, even at the maximum level, liberalization of the economy does not deny the participation of the state in the management of economic processes. The presence of each state's own interests and priorities makes it necessary for the state to intervene in all spheres of public life. Modern trends in the development of the tax system, in addition to the well-known positive components, are characterized by an extremely uneven distribution of tax potential across the country and, as a consequence, by different contributions of individual territorial entities to the formation of budget revenues. As a rule, tax relations “unfold” within a specific regional economic space that has attributive features that are essential for the dynamics of fiscal efficiency: socio-economic and institutional heterogeneity, multi-vector trajectories and different rates of economic development. The current situation generates additional risks that reduce the efficiency of the tax system due to the disproportionate distribution of the tax burden, which, in turn, not only violates the principle of justice in the territorial context, but also contributes to a decrease in the stability of tax revenue formation.
Assessing The Impact of Waste Management on The Green Economy: A Case Study of Azerbaijan
This paper explores how waste management is shaping both energy generation and economic growth in Azerbaijan, all through the lens of sustainability. As the world grows more worried about environmental damage and limited natural resources, turning waste into energy has started to look less like a futuristic idea and more like a necessary step toward a smarter, circular economy. To get a well-rounded picture, the research blends numbers - looking at how much waste is being produced and how much energy it can generate - with real-world insights into local policies and the technologies currently in use. What the study finds is a bit of a mixed bag. Azerbaijan has taken some positive steps, but most of its waste still ends up in landfills. More advanced methods of converting waste into energy are barely being used. The data shows that doing more with waste - rather than just dumping it - could seriously cut the country’s reliance on fossil fuels, reduce pollution, and create economic opportunities, including new jobs. But there are still some real problems getting in the way. A lot of the necessary infrastructure just isn’t there yet. Most people don’t really know much about what waste-to-energy even means, and even when the laws are in place, they’re not always followed or enforced the way they should be. The paper doesn’t just point out the problems - it also looks at what could actually work. It suggests building up recycling and composting systems, putting money into newer technologies like incineration and biogas, and creating better incentives so private companies want to be part of the solution. Bottom line: if Azerbaijan can get its waste-to-energy strategy on track, it won’t just help the environment - it could also give the economy a boost and make the country less dependent on outside energy sources.
waste management, waste-to-energy, green economy, economic efficiency, Azerbaijan, circular economy, sustainability
Copyright (c) 2025 Journal of Economics and Management Advances
Development Trends of Commercial Activity in The Sports Field Within The Framework of The National Economy
Recently, continuous dynamic changes in the external environment necessitate the search for new management solutions for both business structures and society as a whole. In turn, sport, as an element of social experience, is capable of exerting a powerful influence on the individual and society. And this influence is not limited to the application of sports principles and analogues at the level of organizations or functional units, it has much greater potential. Competent use of this potential can be an effective tool for making management decisions to achieve a more prosperous and happy society. Modern civilization is changing the environment, social institutions, and the person himself to a large extent. In this regard, physical education is considered not only as a source of social innovations, but also as a means of changing the nature of man (Homo sapiens) as a social individual. This clearly demonstrates the desire of modern researchers to identify the potential of social institutions associated with the restoration of the physical culture of society, to find their internal resources and new opportunities for effective management of socio-cultural processes. Physical education and sports are an integral part of public life, often rightly called the socio-economic phenomenon of the 20th and 21st centuries, one of the most important elements of the value system created by humanity of our modern culture. Indeed, in our modern era, physical education and sports began to occupy a place in the life of society that it had never occupied before in the history of mankind. Today, many informed economists see sports as a new and very promising sector of the national economy. Therefore, this area is increasingly attracting the attention of economists, managers, sociologists and other specialists in the natural and human sciences. The listed problems of theoretical, methodological and empirical sociological analysis of sports as a social institution in the physical education system of modern Azerbaijani society are of great relevance, theoretical and practical importance. The optimization of the development of social processes in the country also largely depends on their solution.
sports business, sports organizations, sports projects, financing of sports clubs, athletes
Socio-Economic Transformation of Post-Soviet States: A Statistical Analysis of Azerbaijan, Belarus, and Kyrgyzstan
After the collapse of the Soviet Union, former republics faced the urgent need to restructure their economies and governance systems. Azerbaijan, Belarus, and Kyrgyzstan represent three distinctive paths of socio-economic transformation, shaped by diverse institutional frameworks, natural resource bases, and reform trajectories. This paper provides a comprehensive comparative analysis of macroeconomic and social development in these countries from 1991 to 2024. Using official statistical data, the study evaluates key indicators such as GDP per capita, poverty rates, inflation, employment, and education. The research focuses particularly on the relationship between income and human capital and their impact on poverty reduction. To quantify these effects, we apply multiple linear regression models, where poverty serves as the dependent variable and average wage and education level as independent variables. The statistical results confirm the significance of both factors in explaining poverty dynamics, although with varying intensity across countries. Azerbaijan shows the strongest responsiveness due to consistent economic growth and investment in education. Belarus displays a more state-centered model with stable poverty rates, while Kyrgyzstan’s results are moderated by a weaker institutional environment and high dependence on remittances. The findings support the hypothesis that human capital and income are critical to poverty alleviation in post-Soviet contexts. Moreover, the paper demonstrates the utility of econometric modeling as a policy tool for identifying effective strategies for sustainable and inclusive development.
post-Soviet transformation, macroeconomics, poverty, regression analysis, Azerbaijan, Belarus, Kyrgyzstan
Problems of Using Big Data in Econometric Research
We live in the age of Big Data and it is no coincidence that big data has been dubbed the ‘new oil’. The term ‘big data’ (or metadata) was first used by Clifford Lynch in 2008. Emphasising that the volume of information in the world is growing rapidly, he defined big data as any heterogeneous data matrix exceeding 150 GB (75*231 Gb) per day. Until 2011, big data analysis was carried out only within the framework of scientific and statistical research. However, in early 2012, the volume of data started to be expressed in very large numbers and serious needs arose for their systematisation, classification and practical use. These needs raised the question of developing new methods of analysis to make more accurate and justified economic decisions. Thus, the need to build clear econometric models and detect patterns as a result of collecting, processing and analysing regular and large amounts of data arose. Since econometrics is a science that quantitatively and qualitatively studies economic relationships using mathematical methods, statistical models and computer science, in this paper we examine the problem of applying big data, which is part of Data Science, in econometric scientific research and in building econometric models. Because only by using econometric methods can the digital economy make more reliable forecasts, evaluate cause-effect relationships and calculate risks with high accuracy. This paper aims to highlight the importance and potential of using big data in econometric research and to provide recommendations for researchers and practitioners who are trying to use these data effectively in their work.
Econometric models, Big Data, econometric forecasting, Data Science, Information Technology, Machine Learning methods
Macroeconomic Impact on Stock Indices: Turkey & Russia
Since stock market is a high volatility market, they are affected by various variables. In this study, we aimed to investigate the relationship between the stock price index and consumer price index, interest rate and industrial production index for the stock markets of Russia and Turkey for the quarter period of 2000Q1-2021Q4. In this direction, ARDL model is used and the results of the paper show that there is a long-run relationship between stock markets and macroeconomic variables for both Russia and Turkey. When the long-run coefficients are analyzed, it is found that there is a long-run relationship between the Russian stock price index and the interest rate and the industrial production index, while there is no relationship with the consumer price index. In the short-run relationships, statistically significant results are produced since the error correction coefficient (-0.7900) is negative. According to the results of Turkey's long-run coefficients, there is a long-run relationship between the stock price index and the consumer price index, while there is no relationship between the interest rate and the industrial production index. As for the short-run relationship, the coefficient of ECM (-1.1669) is negative and statistically significant and there is a short-run relationship between Turkey's stock price index and interest rates. The findings show that the stock price index for both Russia and Turkey is affected by macroeconomic variables in the short and long run. In other words, macroeconomic variables should not be ignored while making long-term forecasts for stock markets.
ARDL, stock markets, macroeconomics, short and long term
The Impact of Oil Prices on Monetary Aggregates In Azerbaijan: Ardl and Combined Cointegration Method
Each state is known for its main economic resource. This resource is one of the factors affecting all its economic indicators. Oil is the main economic resource in Azerbaijan. Undoubtedly, the volume of oil production and especially oil prices on the world market play the role of the main driving force of the economy. Thus, many macroeconomic indicators, economic development, economic growth, sustainability indicators, social welfare of the population, balance of payments, foreign trade are highly dependent on the oil factor. At this time, the banking sector is not an exception. In this study, the impact of the world price of oil on monetary aggregates, which act as certain indicators of the banking sector, has been evaluated. The study covers the period 2005M01‒2023M09. The overall result of the study was an emphasis on the importance of further deepening the measures taken to reduce the dependence of the monetary policy of the state and the banking sector on the oil factor in parallel with the further acceleration of work on the diversification of the economy and the development of the non‒oil sector.
WOP, monetary aggregates, Combined cointegration
The Environmental Harms of Greenhouse Gas Emissions: An Interdisciplinary Assessment
Greenhouse gas (GHG) emissions have become a dominant driver of global environmental change, contributing significantly to climate warming, biodiversity loss, ocean acidification, and ecosystem degradation. The multifaceted nature of these impacts necessitates an interdisciplinary approach that integrates environmental science, economics, and public policy to comprehensively evaluate their consequences.This study synthesizes empirical data from international institutions including the IPCC, UNEP, and the World Bank to analyze the environmental harms of GHG emissions from 2000 to 2023. The findings reveal strong correlations between rising GHG levels and negative ecological indicators such as increased global temperatures, declining biodiversity, and worsening ocean chemistry. Quantitative analysis shows that per capita emissions are highest in developed regions, while developing countries bear disproportionate burdens from climate impacts. The study further evaluates the effectiveness of mitigation strategies such as the Paris Agreement and national climate policies, identifying significant gaps between stated commitments and actual emission trends. Additionally, the paper highlights regional disparities in adaptation capacity and policy impact, emphasizing the need for tailored interventions.
Greenhouse gases, environmental degradation, climate change, biodiversity, ocean acidification, CO₂ emissions, policy mitigation
Stimulating Economic Growth Through High Technologies: The Case of The Republic of Azerbaijan
This paper explores the role of high technologies in stimulating economic growth in Azerbaijan, a country transitioning from a resource-based economy towards a more diversified, innovation-driven development model. With the increasing global importance of technological advancement, Azerbaijan’s government has strategically positioned high-tech industries as a key driver for sustainable economic development. This study examines the impact of emerging technologies such as ICT, AI, and renewable energy on Azerbaijan’s GDP, employment, and export diversification. Through a mixed-methods approach, including both quantitative analysis of economic indicators and qualitative case studies, the paper identifies key policy frameworks and strategic investments that have supported the high-tech sector’s growth. The findings indicate that while significant progress has been made, challenges such as limited innovation capacity, dependence on oil revenues, and insufficient R&D infrastructure remain. In conclusion, the paper recommends targeted policy interventions, such as increased public and private investment in R&D, the development of technology hubs, and a more robust innovation ecosystem, to ensure that high technologies continue to contribute to Azerbaijan’s long-term economic growth. The study provides valuable insights for policymakers and researchers interested in the role of technology in economic transformation, particularly in post-Soviet economies.
high technologies, economic growth, innovation policy, Azerbaijan, technology-driven development
The Impact of Import Dependency on the Labor Market (A Political Economy Perspective)
The increasing integration of national economies into the global trade system, particularly in developing countries, has intensified debates about the effects of import dependency on domestic labor markets. This article examines these effects through a political economy lens, arguing that such dependency can lead to a decline in domestic production capacity, a rise in informal employment, and the erosion of institutional frameworks governing labor relations. The study systematically compares theoretical approaches from diverse schools of economic thought—liberal, structuralist, and neo-mercantilist—to understand varying interpretations of import dependency's consequences. It then analyzes the United States' recent protectionist policies as a contemporary case example of a developed nation responding to perceived vulnerabilities. A comparative empirical assessment of labor markets in Latin America (e.g., Mexico), Bangladesh, the United States, and Germany provides broad international context, highlighting common challenges and divergent outcomes. Crucially, the paper offers an in-depth examination of Azerbaijan's labor market, exploring how import dependency in key sectors intersects with its ongoing economic diversification efforts, regional inequalities, and the prevalence of informal labor. The analysis also considers income volatility linked to the energy sector and its implications for social protection. The findings reveal that import dependency has profound economic, social, and political implications, extending beyond mere trade balances to fundamentally reshape labor market structures. Addressing the disruptions necessitates a multi-faceted approach that goes beyond traditional tariff-based interventions, requiring robust institutional reinforcement, comprehensive regulation of labor relations, strategic industrial policy, and fostering regional cooperation. The political economy framework offers a robust lens for understanding these complex, multi-dimensional dynamics and formulating viable policy alternatives.
import dependency, labor market, political economy, informal employment, protectionism, structural reform
Statistical Determinants of German Tourists Destination Choice:The Case of Goygol, Azerbaijan
This study examines the statistical factors that influence German tourists’ decision to choose Goygol, Azerbaijan, as a tourism destination. While Azerbaijan possesses rich natural, historical, and cultural assets that favour tourism development, the share of tourism in the national economy remains limited. Goygol, with its German colonial heritage, scenic landscapes, and growing tourism infrastructure, holds untapped potential to attract international visitors, particularly from Germany. Using a survey-based research approach, the study collected data from 283 German respondents—individuals who had visited or intended to visit Azerbaijan. The survey assessed key factors such as affordability, transportation quality, language barriers, safety, service standards, and the availability of tourist activities. A multiple regression analysis was performed to determine which variables significantly impact the likelihood of choosing Goygol as a destination. Results showed that affordability, quality of transportation, the absence of language barriers, and quality accommodation were statistically significant and positively correlated with tourists’ destination choice. In contrast, factors such as safety risks, availability of tourist activities, and overall service quality were not found to have significant influence. This research provides both theoretical and practical insights for tourism stakeholders in Azerbaijan. By identifying the most influential factors in tourist decision-making, particularly for a niche market such as German travellers, the findings help guide policy recommendations and regional development strategies. Enhancing language support services, improving transport connectivity, and investing in high-quality accommodation facilities could significantly boost Goygol’s attractiveness as a cultural and eco-tourism hub.
Goygol, German tourists, Tourism cluster, regression analysis, tourism destination choice