Are the Different Dimensions of Globalisation Necessary and Sufficient for Human Development? (A Worldwide Study)

The current literature on the relationship between different globalisation indicators and the human development index (HDI) is contradictory and no specific relationship can be found between them. The aim of this study is to determine the necessary and sufficient conditions for different dimensions of globalisation at the level of HDI for 170 countries during 2005-2021. The results of the Necessary Condition Analysis (NCA) show that in the high-income countries, different dimensions of globalisation and urbanisation rates are essential for HDI, and in the low-income countries, the overall index of globalisation, political and social indexes, and urbanisation rates are essential for HDI. In addition, the Fuzzy Qualitative Comparative Analysis (fsQCA) has emphasised for both groups of countries that the dimensions of globalisation should be improved with high consistency to increase HDI. The findings indicate that policymakers should focus on increasing their interactions with the world to increase HDI.