Strategies for Safeguarding Financial Stability: Integrating Government Intervention, Financial Freedom, and Information Management Systems for Resilient Economies

This study uses a big dataset that spans the years 2005 to 2021 to examine the relationships between economic indicators, financial inclusion, and government debt. The paper thoroughly examines the connections between government debt, financial inclusion, and other economic aspects using a System GMM model. To increase the breadth of the research, control factors such as household debt-to-income ratios, financial innovation, the robustness of the regulatory system, and data quality are taken into consideration. The results show the intricate connections between public debt and factors including income inequality, financial stability, economic development, and the effectiveness of early warning systems. The findings suggest that financial inclusion reduces income inequality, and strong regulatory systems mitigate public debt's effects on financial stability. The moderation study emphasizes how crucial information management tools and strong data architecture are to building these relationships. The moderation study shows that modern information management systems boost financial inclusion's impact on economic stability. The findings' practical implications imply that financial policies that balance the benefits of public debt with those that foster stability and economic growth can be shaped by policymakers using the information presented here. In addition, the focus on information management systems promotes the development of sophisticated data infrastructure as a means of enhancing economic resilience and decision-making. This transdisciplinary study analyses how economic events like the global financial crisis and COVID-19 affect generalizability and relevance.