The impact of stem workforce, gross capital formation, government budget in scientific research and development, patent on invention, foreign direct investment and global competitiveness rank of the nation on Thailand GDP during 2009 and 2018

Abstract

Developing human capital, fundamentally in science, technology, engineering, and mathematics (STEM), is perceived as crucial growth engine among emerging economies for encouraging R&D and escalating the third world economy status and developing nations out of the “middle income trap. Nevertheless, it is obscure whether what the Government view on investing intensively on STEM-related factors to drive the economy is sufficient. Rather than merely invest in human capital in STEM education, a number of domestic investment, the Government spending on Science and technology, invention patent, Foreign Direct Investment, and Thai global competitiveness rank should also be embraced and taken in to consideration. The result revealed that adding 1 additional unit of GCF in Thailand is predicted to cause 1.8 unit increase in GDP. Enhancing 1 more unit in Research and development budget from the Government is forecasted to result in 9.1 in GDP and increasing 1 more unit of Stem labor force per 10,000 people employed contributes to 301.2 unit increase in GDP. On the other hand, the number of patent on invention, Foreign Direct investment, and Thailand global competitiveness rank are statistically insignificant to be incorporated in the model.