Advanced International Journal for Research

E-ISSN: 3048-7641   •   Impact Factor: 9.11

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Relativistic Economic Growth and Investment Decision

Author(s) Prof. Ferdinand Calimpusan Paurom
Country Philippines
Abstract The research employed time series data sourced from the World Bank database, where time in years serves as a vital variable within the dataset. It analyzed the trends of the average global GDP as well as its present value concerning GDP growth rate over time. Discounting future value is crucial for effective financial planning, enabling the utilization of funds to create increased wealth over time. In both cases, the study determined that the growth rate of GDP is inversely associated with time itself. This relationship can further be elucidated by the inverse correlation between the average log transformation of global GDP and time. Time may be perceived differently depending on the observer's context. For a stationary observer, time seems to elapse more slowly in a rapidly growing economy, while it appears to progress more quickly in a slowly expanding economy. The values of GDP are affected by the expected output capacities of capital and labor inputs. In situations where labor productivity diminishes, a nation may aim for a higher capital-labor ratio, whereas it may pursue a lower capital-labor ratio when capital productivity declines. Over the long term, an increase in GDP is linked to a reduction in the time required for GDP generation.
Keywords Relativity, Economic Growth, Investment
Field Business Administration
Published In Volume 6, Issue 4, July-August 2025
Published On 2025-08-07
DOI https://doi.org/10.63363/aijfr.2025.v06i04.1083
Short DOI https://doi.org/g9zx7w
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E-ISSN 3048-7641
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