he study was conducted to evaluate the causal relationship between education output and inflation... more he study was conducted to evaluate the causal relationship between education output and inflation using empirical evidence from Nigeria. Using time series data spanning thirty one years (1981-2012) which was obtained from the Central Bank of Nigeria (CBN) statistical bulletin volume 23, and UNICEF official website the nature of the relationship existing between the focus variables-education output (proxied by education contribution to GDP),inflation rate and GDP growth rate was explored. The Augmented Dickey Fuller (ADF) and Philip- Perron (PP) tests were used to test for the stationarity of the variables while the granger causality test was employed to ascertain the direction of influence between inflation and education output in Nigeria. The results show that there exists a statistically significant positive relationship between education output and GDP growth rate and a negative relationship between inflation and GDP growth rate. Education output increased by 99.5% from 1981 to 2...
Journal of economics and international finance, 2021
The research used vector autoregressive (VAR) and the vector error correction mechanism (VECM) te... more The research used vector autoregressive (VAR) and the vector error correction mechanism (VECM) technique to see whether disaggregated manufacturing sectors had any effect on Nigeria's economic growth over the last 49 years (1970-2018). The productivity of the oil refining subsector is an effective tool for economic growth, according to empirical findings; the coefficient is positive and meaningful in the short run and insignificant in the long run. A further review of the findings reveals that the other sub-sector identified as M3 in the study plays an important role in Nigeria's long-term economic growth, with variance decomposition results indicating positive fluctuations. The study recommends that the manufacturing sector must be acknowledged not only as a promoter for wealth creation, poverty alleviation, and employment generation but as a major sector for enhancing economic growth Key words: Manufacturing, oil refining, vector error correction mechanism (VECM), Nigeria.
It is an established economic reality that the size of the workforce directly impacts on a countr... more It is an established economic reality that the size of the workforce directly impacts on a country’s GDP (growth). Not only does the work force produce manufactured goods or services or agricultural produce in direct proportion, but also brings in its wake increasing purchasing power, which in turn, fuels economic growth. This paper looks at the relationship between unemployment and growth in Nigeria (1985-2009). One major findings of the study is that the economy grew by 55.5 percent between 1991 and 2006; and the population increased by 36.4 percent. All things been equal, this should have resulted to a decrease in the rate of unemployment but rather, unemployment increased by 74.8 percent. The study also found out that the average contribution of the oil sector to the GDP between 1991 and 2006 is 30.5 percent while agriculture that is the main source of gainful employment in the country contributed 36.7 percent just a difference of 6.1 percent from that of oil that employs less t...
Abstract: This paper investigates the relationship between foreign direct investment (FDI) and ec... more Abstract: This paper investigates the relationship between foreign direct investment (FDI) and economic growth in Nigeria between 1970-2011. The ordinal least square method is used to show the relationship between foreign direct investment and gross domestic product in Nigeria. Gross domestic product is taken as dependent variable while foreign direct investment, Government Size, Exchange Rate, Interest Rate, Political stability, Index of electricity consumption and Capital expenditure as independent variables. All the variables used are integrated of order one. The results suggest that there is a positive relation between foreign direct investment, exchange rate, Index of electricity consumption and gross domestic product in the country. In the light of the above, the paper recommends, among other things, the creation of enabling business environment in Nigeria through the improvement in power supply and political stability which will help in no small measure in boosting investors&...
Journal of economics and sustainable development, 2016
Health sector in any country has been recognized as the primary engine of growth and development.... more Health sector in any country has been recognized as the primary engine of growth and development. This study makes a modest contribution to the debates by empirically analyzing the contribution of Nigeria Health sector recurrent spending on its output using time series data from 1961 to 2012, obtained from the Central Bank of Nigeria. It employs the Ordinary Least Square (OLS) regression technique and Pair wise Granger Causality tests. The estimation reviews that Political Stability (PSB) and Consumer Price Index (CPI) in Nigeria have positive effect on Total health output (HGDP) while Total Government Recurrent Expenditure on Health (TGREH) has a negative effect on Total health output (HGDP). On the contrary, rising Government recurrent expenditure on health does not results to an increase in Total health output. Based on the result of granger causality, the paper concludes that a very weak causality exist between the two main variables used in this study. The authors therefore adv...
Academic Journal of Interdisciplinary Studies, 2014
Few scholars disagrees that electricity consumption is an important supporting factor for economy... more Few scholars disagrees that electricity consumption is an important supporting factor for economy growth. However, the relationship between electricity consumption and economy growth has different manifestation in different countries according to previous studies. This paper examines the causal relationship between electricity consumption and economic growth for Nigeria. In an attempt to do this, the paper tests the validity of the modernization or depending hypothesis by employing various econometric tools such as Augmented Dickey Fuller (ADF) and Johansen Co-integration test, the Error Correction Mechanism (ECM) and Granger Causality test on time series data from 1971-2012. The Granger causality is found not to run from electricity consumption to real GDP and from GDP to electricity consumption during the year of study. The null hypothesis is accepted at the 5 per cent level of significance where the probability value (0.2251 and 0.8251) is greater than five per cent level of sign...
This study examined the relationship between government spending on agriculture and its output ov... more This study examined the relationship between government spending on agriculture and its output over the period 1970-2015 using Engle-Granger (1987) two step modeling (EGM) procedure involving: cointegration analysis and error correction of parameter estimates. Additionally, Granger causality test was carried out to determine the direction of causation between government spending on agriculture and agriculture sectors output. Based on the data analysis, it was discovered that Total government spending on agriculture (TGSA) has significant effect on agriculture output (AGDP) in the long and short-run.; this relationship is statistically significant in the long run and in the short run. Spending on agriculture sector has the capacity to increase its output by 10.7% if the allocation increases by 1% in the long run while in the short run, one percent increase in government expenditure on agriculture will bring about 10% increase in agriculture output. The study concludes that public exp...
This study makes a modest contribution to the debates by empirically analyzing the relationship b... more This study makes a modest contribution to the debates by empirically analyzing the relationship between Nigeria inflation trend and investment growth (gross fixed capital formation), using time series data from 1980 to 2015, obtained from the World Economic Outlook (WEO) database of the IMF and World Development Indicators (World Data Bank Online Version). It employs the Engle-Granger two step modeling (EGM) procedure to co-integration based on unrestricted Error Correction Model and Pair wise Granger Causality tests. From the analysis, my findings indicate that inflation and gross fixed capital formation are cointegrated in this study. The error correction term of-0.76 is negatively signed and also significant at all conventional level indicating that when the variables wonder away from equilibrium following an exogenous shock, 76 percent of the disequilibrium is corrected after one year. Based on the result of granger causality, the paper concludes that causality exist between the...
This paper investigates the relationship between foreign direct investment (FDI) and economic gro... more This paper investigates the relationship between foreign direct investment (FDI) and economic growth in Nigeria between 1970-2011. The ordinal least square method is used to show the relationship between foreign direct investment and gross domestic product in Nigeria. Gross domestic product is taken as dependent variable while foreign direct investment, Government Size, Exchange Rate, Interest Rate, Political stability, Index of electricity consumption and Capital expenditure as independent variables. All the variables used are integrated of order one. The results suggest that there is a positive relation between foreign direct investment, exchange rate, Index of electricity consumption and gross domestic product in the country. In the light of the above, the paper recommends, among other things, the creation of enabling business environment in Nigeria through the improvement in power supply and political stability which will help in no small measure in boosting investors’ confidenc...
Government expenditures are very crucial instruments for economic growth at the disposal of polic... more Government expenditures are very crucial instruments for economic growth at the disposal of policy makers in developing countries like Nigeria. The study, “total government expenditure on social and community services and its effect on economic growth in Nigeria”, is an attempt at highlighting the quantity and quality of national commitment (through public expenditure) to education, health and the socially and economically disadvantaged using time series data from 1961 to 2013, obtained from the Central Bank of Nigeria Annual Report and Statement of Account. Using error correction model (ECM), the results indicate that total expenditure on social and community services is not statistically significant but has a positive relationship on economic growth in Nigeria in the long run, while in the short run, total expenditure on social and community services is highly and statistically significant and has a positive relationship on economic growth in Nigeria, and the speed of adjustment t...
This research used annual data from 1970 to 2019 to investigate the impact of wages on Nigerian p... more This research used annual data from 1970 to 2019 to investigate the impact of wages on Nigerian productivity growth, employing one of the most advanced econometric approaches to evaluate experimentally the hypotheses developed. In this regard, utilizing a systems simultaneous equation, cointegration analysis was introduced to capture long- and short-run connections among variables. This is because Vector Autoregressive (VAR) considers all variables to be endogenous. The simultaneous equation was simulated using this technique and VAR through the Vector Error Correction Mechanism (VECM) procedure. Ex-ante forecasting using impulse response and variance decomposition simulations, as well as ex-post forecasting to evaluate the time under research, were also used in the study. The study also looked at causality correlations between series using the VECM Granger causality technique, which is used in F-/Wald test simulation to determine short-run causation between variables. The above-men...
This paper investigates the relationship between Nigeria’s total expenditure and economic growth ... more This paper investigates the relationship between Nigeria’s total expenditure and economic growth from 1980- 2012. This study makes a modest contribution to the debates by empirically analyzing the relationship between Nigeria total government expenditure and its contribution to economic growth, using time series data from 1980 to 2012, obtained from the Central Bank of Nigeria Annual Report and Statement of Account and Federal Office of Statistics. It employs the Engle-Granger two step modeling (EGM) procedure to co-integration based on unrestricted Error Correction Model and Pair wise Granger Causality tests. From the analysis, our findings indicate that GDP and total government expenditure are cointegrated in this study. The speed of adjustment to equilibrium is 44% within a year when the variables wander away from their equilibrium values. Based on the result of granger causality, the paper concludes that a very weak causality exist between the two variables used in this study. T...
The success of generating income for majority of rural and urban dwellers with no formal paid emp... more The success of generating income for majority of rural and urban dwellers with no formal paid employment highly depends on Entrepreneurship. They are the backbone of economic development all over the world and play important role for employment, income and societal changes, particularly in transition economies like Nigeria. This paper is concerned with the nature and the extent to which entrepreneurship in Nigeria has been developed so far, and outlines the initiative by government and also the main current and future challenges and perspectives for the development of entrepreneurship. The study revealed that such initiatives by government failed abysmally due to over bearing bureaucracies, corruption, inadequate and inefficient infrastructural facilities and maladministration. The paper concludes that entrepreneurship miracle in other country is an engine for job creation; innovation and diversity and Nigeria’s entrepreneurs have a long way to go before they can effectively drive c...
It is an established economic reality that the size of the workforce directly impacts on a countr... more It is an established economic reality that the size of the workforce directly impacts on a country’s GDP (growth). Not only does the work force produce manufactured goods or services or agricultural produce in direct proportion, but also brings in its wake increasing purchasing power, which in turn, fuels economic growth. This paper looks at the relationship between unemployment and growth in Nigeria (1985-2009). One major findings of the study is that the economy grew by 55.5 percent between 1991 and 2006; and the population increased by 36.4 percent. All things been equal, this should have resulted to a decrease in the rate of unemployment but rather, unemployment increased by 74.8 percent. The study also found out that the average contribution of the oil sector to the GDP between 1991 and 2006 is 30.5 percent while agriculture that is the main source of gainful employment in the country contributed 36.7 percent just a difference of 6.1 percent from that of oil that employs less t...
The study examined the commitment of the federal government of Nigeria to education through her b... more The study examined the commitment of the federal government of Nigeria to education through her budgetary allocations and also assessed the causal relationship between the government expenditure on education and economic growth from 1981-2011using time series data. The result reveal that Expenditure on education is positively related to the GDP(Gross Domestic Product) while Gross fixed capital formation is negatively related to GDP. In other words, previous year`s GDP tend to increase Expenditure on education in the current year and previous year`s Gross fixed capital formation is negatively related to Education expenditure in the current year with statistically insignificant coefficient. The error correction term possess the expected negative sign and indicate that the 140% of the drift from the long-run equilibrium value will be restored within a year and the coefficient is equally statistically significant. The granger causality result shows that Gross Domestic Product granger ca...
For decades now, the issue of climatic change has never been associated with economic development... more For decades now, the issue of climatic change has never been associated with economic development. Development economists have been concentrating more on instruments and investible funds for economic development. Climatic change has today added to the numerous problems of development especially in SSA countries. This paper has identified climatic change as a serious impediment to economic development of the poor nations of the world. It therefore suggests that concerted and urgent national and international efforts should be immediately put in place in order to avoid a catastrophic end for the world beginning from the poorest nations.
This study makes a modest contribution to the debates by empirically analyzing the relationship b... more This study makes a modest contribution to the debates by empirically analyzing the relationship between Nigeria expansionary monetary policy (money supply) and investment growth (gross fixed capital formation), using time series data from 1970 to 2012, obtained from the Central Bank of Nigeria statistical bulletin and the West African Institute for Financial and Economic Management data base. It employs the Engle-Granger two step modeling (EGM) procedure to co-integration based on unrestricted Error Correction Model and Pair wise Granger Causality tests. From the analysis, my findings indicate that money supply and gross fixed capital formation are cointegrated in this study. The error correction term of -0.76 is negatively signed and also significant at all conventional level indicating that when the variables wonder away from equilibrium following an exogenous shock, 76 percent of the disequilibrium is corrected after one year. Based on the result of granger causality, the paper c...
he study was conducted to evaluate the causal relationship between education output and inflation... more he study was conducted to evaluate the causal relationship between education output and inflation using empirical evidence from Nigeria. Using time series data spanning thirty one years (1981-2012) which was obtained from the Central Bank of Nigeria (CBN) statistical bulletin volume 23, and UNICEF official website the nature of the relationship existing between the focus variables-education output (proxied by education contribution to GDP),inflation rate and GDP growth rate was explored. The Augmented Dickey Fuller (ADF) and Philip- Perron (PP) tests were used to test for the stationarity of the variables while the granger causality test was employed to ascertain the direction of influence between inflation and education output in Nigeria. The results show that there exists a statistically significant positive relationship between education output and GDP growth rate and a negative relationship between inflation and GDP growth rate. Education output increased by 99.5% from 1981 to 2...
Journal of economics and international finance, 2021
The research used vector autoregressive (VAR) and the vector error correction mechanism (VECM) te... more The research used vector autoregressive (VAR) and the vector error correction mechanism (VECM) technique to see whether disaggregated manufacturing sectors had any effect on Nigeria's economic growth over the last 49 years (1970-2018). The productivity of the oil refining subsector is an effective tool for economic growth, according to empirical findings; the coefficient is positive and meaningful in the short run and insignificant in the long run. A further review of the findings reveals that the other sub-sector identified as M3 in the study plays an important role in Nigeria's long-term economic growth, with variance decomposition results indicating positive fluctuations. The study recommends that the manufacturing sector must be acknowledged not only as a promoter for wealth creation, poverty alleviation, and employment generation but as a major sector for enhancing economic growth Key words: Manufacturing, oil refining, vector error correction mechanism (VECM), Nigeria.
It is an established economic reality that the size of the workforce directly impacts on a countr... more It is an established economic reality that the size of the workforce directly impacts on a country’s GDP (growth). Not only does the work force produce manufactured goods or services or agricultural produce in direct proportion, but also brings in its wake increasing purchasing power, which in turn, fuels economic growth. This paper looks at the relationship between unemployment and growth in Nigeria (1985-2009). One major findings of the study is that the economy grew by 55.5 percent between 1991 and 2006; and the population increased by 36.4 percent. All things been equal, this should have resulted to a decrease in the rate of unemployment but rather, unemployment increased by 74.8 percent. The study also found out that the average contribution of the oil sector to the GDP between 1991 and 2006 is 30.5 percent while agriculture that is the main source of gainful employment in the country contributed 36.7 percent just a difference of 6.1 percent from that of oil that employs less t...
Abstract: This paper investigates the relationship between foreign direct investment (FDI) and ec... more Abstract: This paper investigates the relationship between foreign direct investment (FDI) and economic growth in Nigeria between 1970-2011. The ordinal least square method is used to show the relationship between foreign direct investment and gross domestic product in Nigeria. Gross domestic product is taken as dependent variable while foreign direct investment, Government Size, Exchange Rate, Interest Rate, Political stability, Index of electricity consumption and Capital expenditure as independent variables. All the variables used are integrated of order one. The results suggest that there is a positive relation between foreign direct investment, exchange rate, Index of electricity consumption and gross domestic product in the country. In the light of the above, the paper recommends, among other things, the creation of enabling business environment in Nigeria through the improvement in power supply and political stability which will help in no small measure in boosting investors&...
Journal of economics and sustainable development, 2016
Health sector in any country has been recognized as the primary engine of growth and development.... more Health sector in any country has been recognized as the primary engine of growth and development. This study makes a modest contribution to the debates by empirically analyzing the contribution of Nigeria Health sector recurrent spending on its output using time series data from 1961 to 2012, obtained from the Central Bank of Nigeria. It employs the Ordinary Least Square (OLS) regression technique and Pair wise Granger Causality tests. The estimation reviews that Political Stability (PSB) and Consumer Price Index (CPI) in Nigeria have positive effect on Total health output (HGDP) while Total Government Recurrent Expenditure on Health (TGREH) has a negative effect on Total health output (HGDP). On the contrary, rising Government recurrent expenditure on health does not results to an increase in Total health output. Based on the result of granger causality, the paper concludes that a very weak causality exist between the two main variables used in this study. The authors therefore adv...
Academic Journal of Interdisciplinary Studies, 2014
Few scholars disagrees that electricity consumption is an important supporting factor for economy... more Few scholars disagrees that electricity consumption is an important supporting factor for economy growth. However, the relationship between electricity consumption and economy growth has different manifestation in different countries according to previous studies. This paper examines the causal relationship between electricity consumption and economic growth for Nigeria. In an attempt to do this, the paper tests the validity of the modernization or depending hypothesis by employing various econometric tools such as Augmented Dickey Fuller (ADF) and Johansen Co-integration test, the Error Correction Mechanism (ECM) and Granger Causality test on time series data from 1971-2012. The Granger causality is found not to run from electricity consumption to real GDP and from GDP to electricity consumption during the year of study. The null hypothesis is accepted at the 5 per cent level of significance where the probability value (0.2251 and 0.8251) is greater than five per cent level of sign...
This study examined the relationship between government spending on agriculture and its output ov... more This study examined the relationship between government spending on agriculture and its output over the period 1970-2015 using Engle-Granger (1987) two step modeling (EGM) procedure involving: cointegration analysis and error correction of parameter estimates. Additionally, Granger causality test was carried out to determine the direction of causation between government spending on agriculture and agriculture sectors output. Based on the data analysis, it was discovered that Total government spending on agriculture (TGSA) has significant effect on agriculture output (AGDP) in the long and short-run.; this relationship is statistically significant in the long run and in the short run. Spending on agriculture sector has the capacity to increase its output by 10.7% if the allocation increases by 1% in the long run while in the short run, one percent increase in government expenditure on agriculture will bring about 10% increase in agriculture output. The study concludes that public exp...
This study makes a modest contribution to the debates by empirically analyzing the relationship b... more This study makes a modest contribution to the debates by empirically analyzing the relationship between Nigeria inflation trend and investment growth (gross fixed capital formation), using time series data from 1980 to 2015, obtained from the World Economic Outlook (WEO) database of the IMF and World Development Indicators (World Data Bank Online Version). It employs the Engle-Granger two step modeling (EGM) procedure to co-integration based on unrestricted Error Correction Model and Pair wise Granger Causality tests. From the analysis, my findings indicate that inflation and gross fixed capital formation are cointegrated in this study. The error correction term of-0.76 is negatively signed and also significant at all conventional level indicating that when the variables wonder away from equilibrium following an exogenous shock, 76 percent of the disequilibrium is corrected after one year. Based on the result of granger causality, the paper concludes that causality exist between the...
This paper investigates the relationship between foreign direct investment (FDI) and economic gro... more This paper investigates the relationship between foreign direct investment (FDI) and economic growth in Nigeria between 1970-2011. The ordinal least square method is used to show the relationship between foreign direct investment and gross domestic product in Nigeria. Gross domestic product is taken as dependent variable while foreign direct investment, Government Size, Exchange Rate, Interest Rate, Political stability, Index of electricity consumption and Capital expenditure as independent variables. All the variables used are integrated of order one. The results suggest that there is a positive relation between foreign direct investment, exchange rate, Index of electricity consumption and gross domestic product in the country. In the light of the above, the paper recommends, among other things, the creation of enabling business environment in Nigeria through the improvement in power supply and political stability which will help in no small measure in boosting investors’ confidenc...
Government expenditures are very crucial instruments for economic growth at the disposal of polic... more Government expenditures are very crucial instruments for economic growth at the disposal of policy makers in developing countries like Nigeria. The study, “total government expenditure on social and community services and its effect on economic growth in Nigeria”, is an attempt at highlighting the quantity and quality of national commitment (through public expenditure) to education, health and the socially and economically disadvantaged using time series data from 1961 to 2013, obtained from the Central Bank of Nigeria Annual Report and Statement of Account. Using error correction model (ECM), the results indicate that total expenditure on social and community services is not statistically significant but has a positive relationship on economic growth in Nigeria in the long run, while in the short run, total expenditure on social and community services is highly and statistically significant and has a positive relationship on economic growth in Nigeria, and the speed of adjustment t...
This research used annual data from 1970 to 2019 to investigate the impact of wages on Nigerian p... more This research used annual data from 1970 to 2019 to investigate the impact of wages on Nigerian productivity growth, employing one of the most advanced econometric approaches to evaluate experimentally the hypotheses developed. In this regard, utilizing a systems simultaneous equation, cointegration analysis was introduced to capture long- and short-run connections among variables. This is because Vector Autoregressive (VAR) considers all variables to be endogenous. The simultaneous equation was simulated using this technique and VAR through the Vector Error Correction Mechanism (VECM) procedure. Ex-ante forecasting using impulse response and variance decomposition simulations, as well as ex-post forecasting to evaluate the time under research, were also used in the study. The study also looked at causality correlations between series using the VECM Granger causality technique, which is used in F-/Wald test simulation to determine short-run causation between variables. The above-men...
This paper investigates the relationship between Nigeria’s total expenditure and economic growth ... more This paper investigates the relationship between Nigeria’s total expenditure and economic growth from 1980- 2012. This study makes a modest contribution to the debates by empirically analyzing the relationship between Nigeria total government expenditure and its contribution to economic growth, using time series data from 1980 to 2012, obtained from the Central Bank of Nigeria Annual Report and Statement of Account and Federal Office of Statistics. It employs the Engle-Granger two step modeling (EGM) procedure to co-integration based on unrestricted Error Correction Model and Pair wise Granger Causality tests. From the analysis, our findings indicate that GDP and total government expenditure are cointegrated in this study. The speed of adjustment to equilibrium is 44% within a year when the variables wander away from their equilibrium values. Based on the result of granger causality, the paper concludes that a very weak causality exist between the two variables used in this study. T...
The success of generating income for majority of rural and urban dwellers with no formal paid emp... more The success of generating income for majority of rural and urban dwellers with no formal paid employment highly depends on Entrepreneurship. They are the backbone of economic development all over the world and play important role for employment, income and societal changes, particularly in transition economies like Nigeria. This paper is concerned with the nature and the extent to which entrepreneurship in Nigeria has been developed so far, and outlines the initiative by government and also the main current and future challenges and perspectives for the development of entrepreneurship. The study revealed that such initiatives by government failed abysmally due to over bearing bureaucracies, corruption, inadequate and inefficient infrastructural facilities and maladministration. The paper concludes that entrepreneurship miracle in other country is an engine for job creation; innovation and diversity and Nigeria’s entrepreneurs have a long way to go before they can effectively drive c...
It is an established economic reality that the size of the workforce directly impacts on a countr... more It is an established economic reality that the size of the workforce directly impacts on a country’s GDP (growth). Not only does the work force produce manufactured goods or services or agricultural produce in direct proportion, but also brings in its wake increasing purchasing power, which in turn, fuels economic growth. This paper looks at the relationship between unemployment and growth in Nigeria (1985-2009). One major findings of the study is that the economy grew by 55.5 percent between 1991 and 2006; and the population increased by 36.4 percent. All things been equal, this should have resulted to a decrease in the rate of unemployment but rather, unemployment increased by 74.8 percent. The study also found out that the average contribution of the oil sector to the GDP between 1991 and 2006 is 30.5 percent while agriculture that is the main source of gainful employment in the country contributed 36.7 percent just a difference of 6.1 percent from that of oil that employs less t...
The study examined the commitment of the federal government of Nigeria to education through her b... more The study examined the commitment of the federal government of Nigeria to education through her budgetary allocations and also assessed the causal relationship between the government expenditure on education and economic growth from 1981-2011using time series data. The result reveal that Expenditure on education is positively related to the GDP(Gross Domestic Product) while Gross fixed capital formation is negatively related to GDP. In other words, previous year`s GDP tend to increase Expenditure on education in the current year and previous year`s Gross fixed capital formation is negatively related to Education expenditure in the current year with statistically insignificant coefficient. The error correction term possess the expected negative sign and indicate that the 140% of the drift from the long-run equilibrium value will be restored within a year and the coefficient is equally statistically significant. The granger causality result shows that Gross Domestic Product granger ca...
For decades now, the issue of climatic change has never been associated with economic development... more For decades now, the issue of climatic change has never been associated with economic development. Development economists have been concentrating more on instruments and investible funds for economic development. Climatic change has today added to the numerous problems of development especially in SSA countries. This paper has identified climatic change as a serious impediment to economic development of the poor nations of the world. It therefore suggests that concerted and urgent national and international efforts should be immediately put in place in order to avoid a catastrophic end for the world beginning from the poorest nations.
This study makes a modest contribution to the debates by empirically analyzing the relationship b... more This study makes a modest contribution to the debates by empirically analyzing the relationship between Nigeria expansionary monetary policy (money supply) and investment growth (gross fixed capital formation), using time series data from 1970 to 2012, obtained from the Central Bank of Nigeria statistical bulletin and the West African Institute for Financial and Economic Management data base. It employs the Engle-Granger two step modeling (EGM) procedure to co-integration based on unrestricted Error Correction Model and Pair wise Granger Causality tests. From the analysis, my findings indicate that money supply and gross fixed capital formation are cointegrated in this study. The error correction term of -0.76 is negatively signed and also significant at all conventional level indicating that when the variables wonder away from equilibrium following an exogenous shock, 76 percent of the disequilibrium is corrected after one year. Based on the result of granger causality, the paper c...
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