MACROECONOMIC STABILITY AND SOCIAL DYNAMICS: ANALYZING INFLATION, UNEMPLOYMENT, AND THEIR IMPACT ON COHESION, POVERTY, AND INEQUALITY IN UZBEKISTAN

Abstract

This study investigates the interplay between macroeconomic stability indicators—specifically inflation and unemployment—and their impacts on social cohesion, poverty, and income inequality in Uzbekistan. Using econometric models and data from 2018 to 2022, the research highlights the dual role of inflation and unemployment in shaping social outcomes. The findings reveal that higher inflation and unemployment undermine social cohesion and exacerbate poverty and income inequality, while economic growth, social expenditure, education, and political stability mitigate these effects. By integrating macroeconomic and social policies, Uzbekistan can achieve sustainable development, balancing economic reforms with social inclusion. The study underscores the importance of controlling inflation, fostering employment, and investing in social welfare and education to build a resilient, equitable society.