JOURNAL OF ECONOMICS AND ALLIED RESEARCH

FINANCIAL DEVELOPMENT, URBANIZATION AND THE ENVIRONMENTAL NEXUS IN NIGERIA: A NON-LINEAR ANALYSIS

Fri, 06 Sep 2024 00:00:00 +0000

This paper examines the determinants of carbon dioxide (CO2) emissions by analysing the consequences of financial development (FD) and urbanization (URB) accompanied by economic growth (RGDP) in Nigeria over the period 1986-2022. The study used nonlinear autoregressive distributive lag (NARDL) model posing the asymmetry aspect that can happen among financial development, urbanization and economic growth which movements in either of the variables. The analysis establishes the asymmetric effect of URB, FD and RGDP shocks on CO2 emissions both in the short run, while FD and RGDP shocks impacted CO2 emission in the long run. Moreover, RGDP contributed significantly to CO2 emissions both in the short- and long-run. The study also fulfils to a large degree the existence of EKC associating the unilateral (inverted U shape) connection among FD, RGDP and CO2 emissions in Nigeria. Furthermore, the error correction model confirms a short-run relationship among the variables. Finally, the study proposes the implementation and use of clean energies and technologies are vital for controlling environmental degradation in Nigeria.

MONETARY POLICY AND DEPOSIT MONEY BANKS PERFORMANCE IN NIGERIA

DAVIS OJIMA , EMMANUEL IFEANYI AJUDUA — Fri, 06 Sep 2024 00:00:00 +0000

The paper examined the impact of monetary policy on the performance of deposit money banks in Nigeria from 1990 to 2022. Employing deposit money bank’s asset as the dependent variable and monetary policy rate, cash reserve ratio, liquidity ratio and treasury bill rate as the independent variables, the study utilized the Error Correction Mechanism estimation techniques to ascertain the relationship between the dependent and independent variables sourced secondarily from the Central Bank of Nigeria Statistical Bulletin. Findings from the study showed that all the independent variables were correctly signed, and had a significant impact on deposit money banks in Nigeria during the period of study. Based on the findings, the study recommends that the monetary policies of the nation and its monetary instruments should be well managed such that the effects of monetary policy variables (MPR, CRR, LR, and TBR) on deposit money banks' assets (DMBA) should be taken into account by policymakers while developing and executing monetary policies. Also, continuous monitoring of the short-run dynamics is essential for understanding and responding to changes in the relationship between monetary policy and deposit money bank performance while strategies should be developed to manage short-term fluctuations and ensure stability and sustainability in the banking industry over the medium to long-term

MONEY SUPPLY, EXCHANGE RATE AND OUTPUT GROWTH VOLATILITY IN NIGERIA

OKEOWO IDOWU ADENIYI, AWOTADE JOSHUA ADEYEMI — Fri, 06 Sep 2024 00:00:00 +0000

The supply of money and the rate at which one currency is exchanged for another can be an important determinant of output growth volatility. The paper used money supply, exchange rate and output growth variables in its analysis. The study used time series data from 1987-2023. After establishing the existence of Autoreggressive Conditional Heteroscedasticity (ARCH) and Generalised Autoreggressive Conditional Heteroscedasticity (GARCH), Generalised Linear Model (GLM) was used to analyse the data. The result shows that the exchange rate has a higher impact on output growth volatility than the money supply. It was recommended that currency sterilization which advocates for slow growth of money supply by keeping the monetary base from expanding when the central bank’s intervention in the foreign exchange market leads to greater holding of international reserves can be a viable policy option.

PUBLIC HEALTH EXPENDITURE AND LIFE EXPECTANCY IN NIGERIA

JOSEPH PAUL, MARGRET AGADA — Fri, 06 Sep 2024 00:00:00 +0000

This study examined the impact of public health expenditure on life expectancy in Nigeria. Data was sourced from CBN and World Bank Development Index for the period of 1985-2022. The study used Descriptive Statistics, ARDL model and Granger causality test for data analysis. The study found a long-run relationship between public health expenditure and life expectancy in Nigeria. The findings also revealed that there is non-causal relationship between public health expenditure and life expectancy in Nigeria. The study recommends that Nigerian government should intensify efforts in ensuring the increase of public health expenditure based on the 2001 Abuja declaration standard of 15% of the annual national budget in other to enhance health conditions of her citizens, ensure efficient allocation of resources to targeted public health sector, focusing on preventive measures, disease control, and health education. Key words: Life expectancy, under-five mortality, public health expenditure

IMPACT OF HEALTH AND EDUCATION EXPENDITURES ON POVERTY REDUCTION IN NIGERIA

ALI MADINA DANKUMO, SUNDAY BENJAMIN SHIDO-IKWU, JIMOH IBRAHIM , YUSUF AUTA — Fri, 06 Sep 2024 00:00:00 +0000

Nigerian governments have continued to make concerted efforts on providing community goods and services to enhance welfare at the same time reduce poverty through its expenditures, yet no significant results as these expenditures are regularly influenced by factors such as corruption. Hence, this study look at the effect of health and education spending by government in reducing poverty in Nigeria spanning from 1996-2021 employing the ARDL bounds test methodology. Results of the analysis showed that spending on education and health expenditures are all significant at a 5 percent level of significance and are positively related to the dependent variable implying that on average, the higher the education and health expenditure, the higher the poverty reduction, ceteris paribus. While the short run results revealed that health expenditures negatively relate with poverty at the conventional level of significance, i.e 5 percent On the other hand, a positively significant association exists between spending on education and corruption with poverty reduction at a conventional level of 5 percent significance. The study suggested that the Nigerian government need to concentrate on improving the quality of health care services and that of education by spending more on policies and programme that are pro-poor via increasing investments in health and education, while the government implements anti-corruption measures to reduce all forms of corruption to the barest minimum

TRANSMISSION CHANNEL BETWEEN BUDGET DEFICITS AND UNEMPLOYMENT THROUGH ECONOMIC GROWTH IN NIGERIA

DAGWOM Y. DANG, BENARD A. SOEPDİNG, SAIDU I. HALIDU — Fri, 06 Sep 2024 00:00:00 +0000

Many economies worldwide, including both developed and emerging ones, employ deficit budgeting and deficit financing as a strategy for fiscal policy, in line with Keynesian principles. Nigeria is among the countries that follow this approach. This study investigates the potential linkage between budget deficits and unemployment through economic growth in Nigeria, using data from 1981 to 2022. Employing endogenous lag models, the study utilizes both an unrestricted vector autoregressive (VAR) model and a restricted autoregressive (vector error correction - VEC) model to determine if there is a transmission channel between budget deficits and unemployment through economic growth in Nigeria. Wald statistics significance and the error correction term coefficients were utilised to assess short-term and long-term causality respectively. The findings indicate that budget deficits stimulate economic growth in Nigeria. However, subsequent economic growth does not lead to a reduction in unemployment. This suggests the absence of a transmission channel between budget deficits and unemployment through economic growth in Nigeria. Given the findings of this study, policymakers should reassess the primary objectives of fiscal policy. The study recommends that instead of solely focusing on using deficit spending to stimulate economic growth, policymakers should consider alternative strategies to address unemployment directly. This could involve targeted interventions such as job creation programs, vocational training initiatives, or incentives for private sector employment generation. By adopting a more comprehensive approach to fiscal policy, policymakers can better address the issue of unemployment and promote inclusive economic growth.

ECONOMIC POLICY UNCERTAINTY, MACROECONOMIC VOLATILITY AND STOCK MARKET BEHAVIOUR IN NIGERIA

UHUNMWANGHO MONDAY , IZEKOR ANDREW OSARETIN — Fri, 06 Sep 2024 00:00:00 +0000

This study investigates the impact of economic policy uncertainty and macroeconomic instability (volatility) on stock market behaviour (returns, liquidity and volatility) using monthly data collected from Central Bank of Nigeria statistical database, Nigeria Exchange Limited database and World uncertainty database covering April 2016 to July 2022. Macroeconomic volatility and stock market volatility were detected using GARCH (1,1). The autoregressive distributive lag model was used for the study. This study found that economic policy uncertainty positively and significantly impacts stock market returns, stock market liquidity, while its effect on volatility is significantly negative. Macroeconomic volatility (exchange rate volatility) significantly and positively determines stock market returns and market liquidity, but its impact on market volatility is negative but insignificant. This study also found that stock market volatility positively and significantly accounts for stock market returns and market liquidity. This study recommends that the Security and Exchange Commission (SEC) should initiate policy targeted at boosting market liquidity and strengthening the stock market resilience against shocks associated with economic policy changes, while the Central Bank of Nigeria should intensify the current economic policy, especially exchange rate policy aimed at stabilizing the macro-economy because of the positive impact on stock market returns and liquidity

AN ANALYSIS OF THE ROLE OF THE STATE IN NATURAL DISASTER MANAGEMENT IN NIGERIA: A STUDY OF KOGI STATE FLOODING

EZENWAJIOBI CHIDINMA CHARITY — Fri, 06 Sep 2024 00:00:00 +0000

Floods occur naturally, but human activities may contribute to the magnitude of the impact, damage, and losses. Floods are the most common hazard, and they can occur as a result of unusually heavy rainfall, Climate change, tropical cyclone storm surges, dam breaks, quick snow melts, or even broken water mains. The broad objective of the paper is to evaluate the impact of human activities on flooding in Kogi state, and to ascertain the flood disaster management role of the disaster management bodies in the state. The paper adopted the Maslow’s Basic Need theory as its theoretical framework. Both secondary and primary means of data collection. As drawn from the findings, it is evident that human activities such as; building on water channels, indiscriminate dumping of refuse, contributes to flooding in Kogi State. There is a low disaster management by NEMA which is visible in a flood disaster in Kogi State. The paper recommends; legislations should be made to tackle all Human activities that contributes to flooding as a punishable offense by law. As well, the Government should prepare a Flood Emergency Management Plan for Kogi State as a matter of urgency and lastly

IMPACT OF RISK ON THE FINANCIAL PERFORMANCE OF LISTED INSURANCE FIRMS IN NIGERIA

MONDAY DUNIYA, GARBABI UMARU HAMBALI , MOHAMMED ABDULMALIK — Fri, 06 Sep 2024 00:00:00 +0000

This study examined risk and financial performance of listed insurance firms in Nigeria for the period of ten years from 2011-2020. The population of the study consists of 22 insurance firms listed on the floor of Nigerian Stock Exchange as at 31st December 2020. Secondary data was extracted from the audited financial reports of the sampled insurance firms. The data was analyzed using the regression model. The study findings revealed that underwriting risk is negatively and significantly influencing the financial performance of listed insurance firms in Nigeria. Conversely, liquidity risk revealed a statistical negative and insignificant impact on financial performance. The study concluded that underwriting risk has a strong relationship with the financial performance of the listed insurance firms for the period. Following this, the study recommends that insurance firms should continually develop and implement risk management policies and strategies that will help reduce their risk profile in order to improve their financial performance.

THE PREVALENCE OF OPEN DEFECATION IN THE TOLON DISTRICT IN GHANA

ABUBAKARI ABDUL-NASIR, FEI-BAFFOE BERNARD, MIEZAH KODWO — Fri, 06 Sep 2024 00:00:00 +0000

Poor sanitation practices are a major health concern for most countries. The prevalence of open defecation is one of the leading factors eroding the gains towards a cleaner environment in most sub-Saharan countries. In Ghana, open defecation is seen to be predominant in rural areas. However, there is limited data on the prevalence of open defecation in these areas. In the absence of sufficient data, one cannot thoroughly assess the successes or failures in the fight against open defecation. Hence, this study aims to determine the prevalence of open defecation in the Tolon District in the Northern part of Ghana. The study employed a quantitative descriptive cross-sectional design, utilizing structured questionnaires to collect data from 132 randomly sampled participants. Data analysis was done descriptively using SPSS software. And results were compared to similar studies elsewhere. The study found that 73.5 % of respondents practised open defecation while 26.% utilised existing facilities such as latrines in their households in the Tolon district. There is a relatively higher prevalence of open defecation in the rural part of Ghana, especially in the Northern part of the country. Also, the majority of people do not have access to toilet facilities in rural Ghana. The lack of access to toilet facilities is a major contributory cause of the high prevalence of open defecation in the rural part of Ghana. The study recommends strong sanitation policies and provision of toilet facilities by the Ghanaian government to address the open defecation prevalence in the Tolon District

EFFECT OF FOREIGN DIRECT INVESTMENT ON ENVIRONMENTAL QUALITY IN WEST AFRICA

HABIBU ZAYYANA , MURTALA ABDULLAHI KWARA — Fri, 06 Sep 2024 00:00:00 +0000

The study empirically examines the impact of foreign direct investment (FDI) on environmental quality and tests the validity of the Pollution Haven Hypothesis in West Africa. The study uses annual panel data for 16 West African countries, spanning from 1996 to 2022. The study employs two estimation techniques (for robustness check), namely, panel-corrected standard errors (PCSE) and feasible generalized least squares (FGLS). The results reveal that FDI has a negative effect on West African environmental quality before the turning point; thus, after the threshold level, the effect changes positively. The results confirm the validity of the pollution haven hypothesis in West Africa. Based on the results, policymakers in the region should adopt threshold-based environmental policies, encourage sustainable economic growth, and strengthen monitoring and enforcement of environmental regulations

IMPACT OF POPULATION GROWTH ON UNEMPLOYMENT IN NIGERIA: A DYNAMIC OLS APPROACH

ADAMU, MARYAM BALA , BULUS, BULUS TIM — Fri, 06 Sep 2024 00:00:00 +0000

This study investigates the relationship between population growth and unemployment in Nigeria from 1980 to 2022, drawing on the Demographic Transition Theory, Structural Unemployment Theory, and Endogenous Growth Theory as a theoretical framework. Employing a quantitative approach with Dynamic Ordinary Least Squares (DOLS) regression, the research analyzes time series data to explore the impact of population growth on unemployment. The results suggest that, within the specified period, reduction in population growth alone does not significantly affect the unemployment rate in Nigeria, emphasizing the intricate nature of labor market dynamics beyond demographic factors. The theoretical framework highlights the importance of addressing structural unemployment through targeted skill development, comprehensive education reforms, and investments in technology and innovation. Additionally, the study underscores the need for integrated demographic and labor market policies, emphasizing monitoring and evaluation for evidence-based policy adjustments. The findings contribute to a nuanced understanding of the Nigerian labor market, guiding policymakers toward multifaceted strategies for sustainable development and inclusive growth.

ASSESSING THE EFFECT OF ENTREPRENEURIAL MARKETING STRATEGIES ON CUSTOMERS’ PATRONAGE OF RESTAURANTS IN DELTA STATE, NIGERIA

STANLEY AKPEVWE ONOBRAKPEYA — Fri, 06 Sep 2024 00:00:00 +0000

The study assessed the effect of entrepreneurial marketing strategies on customers’ patronage of restaurants in Delta State, Nigeria. The research design method that was adopted for this study is the cross-sectional survey research design. The population of the study was limited to customers of restaurants in Delta state Nigeria. The Cochran formula was used to determine the sample size of 384 participants for the study. The study employed the judgmental sampling technique. The data used for this study were basically obtained from the primary source using a structured questionnaire. The research instrument was tested using internal consistency reliability. Data collected were analyzed using descriptive and inferential statistical techniques. Findings indicated that when restaurants prioritise customer centricity, innovativeness, proactiveness, and resilience, they can stay competitive, adapt to changing market conditions, and thrive in an increasingly complex and dynamic market. The study concluded that restaurant owners can allocate resources confidently towards developing and implementing entrepreneurial marketing strategies, knowing that these efforts are likely to yield significant returns in terms of increased customer patronage. The study recommended amongst others that restaurants should develop a culture of resilience and adaptability, prioritize supply chain diversification and risk management. Stay flexible and willing to pivot in response to changing market conditions or customer preferences.

IMPACT OF CAPITAL MARKET ON ECONOMIC GROWTH IN NIGERIA

HAUWA ALIYU, MIKE DURU, ALEXANDER ABRAHAM, AYODEJI SALIHU — Fri, 06 Sep 2024 00:00:00 +0000

This paper evaluates the contribution of capital market development on economic growth in Nigeria. Annual time series data was generated from 1986 to 2022 and Autoregressive Distributed Lag (ARDL) technique was used for data analysis. Capital market development index (CMD) was constructed to proxy capital market development, GDP growth rate proxied economic growth, while interest rate, technological advancement and government expenditure are control variables. The ARDL F-Bound test result revealed that a long-run relationship exists among the variables. The result further indicates that all variables in the long-run have insignificant negative relationship with growth; while in the short run, a positive and significant impact of capital market development (1.1503) and technological advancement (0.0067) was found on economic growth; interest rate was positive but insignificant; on the other hand, exchange rate (-0.0507) and government expenditure (-1.3280) have significant negative impact on economic growth. The study therefore concludes that capital market development has significant positive impact on growth in Nigeria. To further enhance growth, it is recommended that financial authorities should encourage more private sector participation in the market to raise fund. This increases the capacity of the private sector to expand output which in turn generates employment and consequently, enhances growth in the economy.

IMPACT OF FEMALE LABOUR FORCE PARTICIPATION ON ECONOMIC GROWTH IN NIGERIA

Fri, 06 Sep 2024 00:00:00 +0000

This study looked at how women's engagement in the labor sector affects Nigeria's economic growth, within the period 1990-2022. The study is anchored on the feminization U-shaped hypothesis. To determine if the variables were stationary, the study used the augmented Dickey-Fuller test and the Phillips Perron test. Autoregressive Distributed Lag (ARDL) bound test approach was employed in testing for cointegration among the series. The ARDL technique explores the impact of female labor force participation on economic growth in the short- and long-term. The series are of mixed order of integration. The coefficient of the error correction mechanism was negative and statistically different from zero. The study showed a positive and statistically significant impact of female labour force participation on economic growth in Nigeria for the reviewed period. There exists a unidirectional causation from female labour force to economic growth. This study suggests that women should explore the Nigerian economic environment with their male counterparts in order to empower themselves and shed the notion that they are the "weaker sex" group.

IMPACT OF FOREIGN DIRECT INVESTMENT INFLOW ON TRADE OPENNESS: NEW EMPIRICAL EVIDENCE FROM NIGERIAN DATA

MILLICENT NWAMAKA OGENYI — Fri, 06 Sep 2024 00:00:00 +0000

Following the dearth of studies on the FDI inflow-trade openness nexus in Nigeria, this raised three important questions aimed at understanding the political economy of this relationship. First, is there a long-term relationship between FDI inflow and trade openness in Nigeria? Second, how is FDI inflow impacting on trade openness in Nigeria? Third, what is the causal relationship between FDI inflow and trade openness in Nigeria? Using various tests for co integration, the study demonstrated that there is a stable long-term relationship between FDI inflow and trade openness in Nigeria. Using OLS regression, the study found that FDI inflow significantly deters trade openness in Nigeria. The results also indicate that real GDP growth and credit to the private sector are potent drivers of trade openness, while the level of infrastructural development and exchange rate fluctuation are deterring factors. The Granger causality test showed that there is a unidirectional causality running from FDI inflow to trade openness in Nigeria. The policy implications of these findings were also discussed.

EXTERNAL DEBT AND CAPITAL FORMATION IN NIGERIA: NEW INSIGHT FROM THE QUANTILE AUTOREGRESSIVE DISTRIBUTED LAG (QARDL) MODEL

Fri, 06 Sep 2024 00:00:00 +0000

The study is on the impact of external debt on capital formation in Nigeria from 1981 to 2022 using the Quantile Autoregressive Distributed Lag (QARDL) model. The findings indicate that external debt has a notable adverse effect on capital formation in Nigeria, suggesting that increased levels of external debt impede capital formation by disrupting investment choices and distorting economic growth prospects. Additionally, the study reveals a positive relationship between gross domestic product and gross national savings on capital formation. Granger causality tests support the significance of external debt and national savings as key predictors of capital formation in Nigeria. The study recommends that policies should be geared toward increasing transparency in debt management, promoting domestic savings, diversifying the economy, enhancing export capacity, improving financial sector regulation, fostering public private partnerships, and monitoring debt sustainability indicators. Implementing these recommendations can enhance capital formation, stimulate economic growth, and reduce reliance on external borrowing in Nigeria

HEALTH SPENDING AND LIFE EXPECTANCY DISPARITIES: A GENDER ANALYSIS IN NIGERIA

HABIB, ADETUTU OMOTOLA, AWOLAJA, GBENGA OLADAPO, AWORINDE, OLALEKAN BASHIR — Fri, 06 Sep 2024 00:00:00 +0000

Gender gap in life expectancy remains a crucial issue in Nigeria. The study examined the long run relationship between health spending and life expectancy of males and females in Nigeria. Health spending was disintegrated into public and private spending. The data which include public expenditure on health, private expenditure on health, public expenditure on health per capita, and private expenditure on health per capita were collected from World Development Indicators from 2000-2021. The stationarity properties of the data series were tested using Augmented Dickey Fuller unit root test. Dynamic Ordinary Least Square (DOLS) was adopted to obtain the long-run estimates with four models varying proxies for robustness checks. Public expenditure on health regardless of proxy was negatively associated with both life expectancy of males and females. However, life expectancy was sensitive to the proxy of private expenditure used. Per capita private health spending was positively related to life expectancy of males and females while private health spending showed a negative but insignificant relationship. These results suggest that private health spending is a notable contributor to life expectancy in Nigeria irrespective of gender. Based on the findings, it is recommended that government re-evaluate healthcare financing to identify inefficiencies in order to address the current negative trends. Also, private sector investment in health should be encouraged using appropriate schemes and incentives.

THE EFFECT OF GOVERNMENT EXPENDITURE AND SMALL AND MEDIUM SIZED ENTERPRISES' OUTPUT ON EMPLOYMENT IN NIGERIA

Fri, 06 Sep 2024 00:00:00 +0000

This study investigated the impact of government expenditure and micro and medium enterprises output on employment in Nigeria using the Auto Regressive Distributed Lag model econometric technique. The research design was an analytical approach within the ex-post facto research strategy and the econometric equation is anchored on the Keynesian theory of employment. Secondary data from 1981 to 2022 was collected from The Central Bank of Nigeria, the International Labour Organization, and the World Bank Development Indicators. The unit root test showed that the variables were of mixed order of integration which warranted the use of the Bounds testing approach. The short-run ARDL results for the employment equation show that the estimated long-run coefficients of total government expenditure, output of small and medium-scale enterprises measured by wholesale and retail trade, and human capital development measured by secondary school enrolment were all positive and statistically significant. The study recommended proper channeling of government expenditure into productive economic activities with a direct bearing on the lives of the people. The Government should also encourage and strengthen small-scale enterprises through training and credit support to reduce unemployment. Dedicated funds in specialized funding bodies like the Bank of Industry and Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL) should be increased to increase loans to micro and small enterprises (MSEs).

TOURISM AND ECONOMIC GROWTH IN NIGERIA AND SOUTH AFRICA: A COMPARATIVE ANALYSIS

Fri, 06 Sep 2024 00:00:00 +0000

The study examined a comparative analysis of tourism on economic growth in Nigeria and South Africa between 1995 to 2021. This was in a bid to determine and compare the impact of tourism on economic growth in Nigeria and South Africa. This informed the objective of this research. Secondary annual time series data was collected from World Development Indictors (WDI) from 1995-2021. The variables used in this study were economic growth rate, tourism arrivals, tourist receipts as percentage of exports, political stability index and consumer price index. The Augmented Dicker- Fuller and Philip-perron tests were used to test for stationarity of the variables. The Vector Error Correction Model (VECM) was then used to examine the effect of tourism on economic growth in Nigeria and South Africa. The findings revealed that there is a long run causality from tourism in Nigeria and South Africa, and political stability is a critical factor in boosting the tourism industry. The study recommended that the Nigerian ministry of works and infrastructure should work with the finance minister to invest in improving tourism infrastructure such as airports, hotels, and tourist attractions to increase tourism arrivals while South Africa should focus on increasing marketing and promotional activities to attract more tourists and emphasize South Africa’s unique attractions and cultural heritage.

EFFECTS OF MONETARY AND FISCAL POLICY ON ECONOMIC GROWTH IN NIGERIA: AN ANALYSIS

Fri, 06 Sep 2024 00:00:00 +0000

Monetary and fiscal policy instruments administered by the CBN and Federal government, respectively, hold significant influence over crucial the Nigerian economy. The study examined the effects of monetary and fiscal policy on economic growth in Nigeria from 1986 to 2020. Stationarity tests were conducted using the Augmented Dickey Fuller test and the Phillips perron test. As the variables showed mixed integration order, the ARDL Bounds Co-integration test checked for long-run relationships among the variables. The Auto Regressive Distributed Lag (ARDL) was employed to estimate the model. The findings revealed both short run and long relationship between monetary and fiscal policy variables on economic growth in Nigeria. Majorly, government revenue has a negative effect on economic growth while expenditure boosts the economy in the short and long run. External debt slows down the economy in the long run, usually due to debt financing. Interest rate was positively associated with economic growth, but money supply tends to hurt the economy. The study recommends that the CBN and the federal government should collaborate more closely and synchronize their policy objectives. Second, the Budget Office of the Federation (BOF) and the Ministry of Finance should ensure that more funds are directed towards capital projects and social infrastructure. Already, external debts slow down the economy as observed in the results of this study. The Debt Management Office (DMO) should explore sustainable debt management strategies that will drive the implication that the extra funds used to service unnecessary debts are used for more productive economic activities.

ANALYSIS OF THE FACTORS THAT INFLUENCE DEATH AND SURVIVAL OF ADVERTISING AGENCIES IN NIGERIA

NWOKORO, UCHE CHRIS — Fri, 06 Sep 2024 00:00:00 +0000

The study which covers 2001-2011; 2019-2024, adopted stratified random sampling using in-depth interview to examine the factors that influence survival in seven accredited advertising institutions dead and alive in Nigeria. The objectives were to compare the failing factors with the survival factors so as to share reliable data that would contribute in saving the industry from extinction. Results showed that: a monumental stagnancy is hitting the industry; while poor entrepreneurial spirit ranked highest on the causes of death; followed by clients’ debts and economic downturn in 2011; inability to work with modern technology and innovations (as practiced in performance advertising agency) and economic downturn caused the 80% death rate in 2019-2023. Since dead and surviving agencies operated under same economic factors, the study concluded that inability to practice performance advertising and poor entrepreneurial spirit are the root causes of death in advertising agencies. To save the industry from extinction, the study called on ad practitioners and regulatory bodies to collaborate with performance advertising; involve fully the performance advertising practitioners in the skill-update programs of the Advertising Academy; restrict unskilled entrepreneurs and non-marketers from heading agencies.

MANUFACTURING OUTPUT AND ECONOMIC GROWTH IN NIGERIA: A DISAGGREGATED ANALYSIS

Fri, 06 Sep 2024 00:00:00 +0000

The thrust of this study was to analysed the existing relationship between the manufacturing sector and economic growth in Nigeria between the period, 1990 to 2023. Specifically, the study quantified the contribution of manufacturing output to economic growth in Nigeria; the effect of food, beverages, and tobacco on economic growth in Nigeria; and the effect of textile, apparel and footwear output on economic growth in Nigeria. The findings demonstrate that manufacturing sector output positively impacts economic growth in Nigeria both in the short run and long run, with statistical significance evident mostly in the short run. From the food, beverages, and tobacco equation, it was found that; in the long run, Food, Beverages, and Tobacco output has a positive but non-statistically significant relationship with economic growth in Nigeria. In the short run, the current period of food, beverages, and tobacco output revealed a positive and statistically significant impact on economic growth in Nigeria. From the Textile, Apparel, and Footwear equation, it was found that, in the long run, Textile, Apparel, and Footwear output has a positive and statistically significant relationship with economic growth in Nigeria. 'In the short run, textile, apparel, and footwear, revealed a positive non statistically significant impact on economic growth. It’s recommended that the Nigerian government support and Invest in the Manufacturing Sector. Increased investments in the production of garments, such as shirts, pants, and dresses from fabrics like cotton and silk, should be encouraged to drive sustained economic growth in the country.

DOES REMITTANCES ACTUALLY IMPROVE THE WELFARE OF NIGERIAN’S HOUSEHOLDS?

IBRAHIM, TAIWO RAZAQ, AKINTUNDE, TEMITOPE SADE , ADAGUNODO, MATHEW. — Fri, 06 Sep 2024 00:00:00 +0000

The paper employed ARDL regression method to investigate the impact of remittances on the welfare of average Nigeria household for the period 1986–2022. The results show that remittances increases household consumption expenditure in the shortrun, reduces the rate of inflation both in the shortrun and the longrun. However, the result shows negative effect of remittances on the household welfare both in the shortrun and the longrun when measure as real consumption through interaction of inflation and household consumption. These findings suggest that the remittances inflow increases the cash available to the household for consumption but not the welfare of the household in Nigeria

SOCIO-ECONOMIC CONSEQUENCES OF MEDIOCRITY ON THE DEVELOPMENT OF THE NIGERIAN ECONOMY

Okonkwo N. Osmond, KALU SUNDAY AGWU, IDIKA NGOZI KALU — Fri, 06 Sep 2024 00:00:00 +0000

This study explores the consequences of mediocrity on the development of the Nigerian
economy and offers policy recommendations to combat its detrimental effects. Mediocrity
manifests in various sectors, including education, governance, infrastructure, and innovation,
leading to inefficiency, stagnation, and missed opportunities for economic growth. The lack of
quality education hampers human capital development and innovation, while governance
failures perpetuate corruption and undermine institutional capacity. Weak infrastructure further
compounds these challenges, hindering productivity and competitiveness. To address
mediocrity, policymakers must prioritize education reform, promote merit-based governance,
invest in infrastructure development, foster innovation and entrepreneurship, and ensure
inclusive growth. International collaboration and continuous monitoring are essential for
implementing and evaluating policy interventions effectively. By tackling mediocrity
comprehensively, Nigeria can unlock its potential for sustainable economic development,
prosperity, and social well-being.

ENERGY DIVERSIFICATION IN AFRICA: THE PANACEA FOR SOLVING THE ENERGY PARADOX

NWOGWUGWU, UCHE COLLINS, UGWOKE THEOPHILUS IFEANYI — Fri, 06 Sep 2024 00:00:00 +0000

The paper empirically examined energy diversification in Africa. Although Africa is endowed
with abundant energy resources, their accessibility, efficiency and affordability are far-fetched.
This is paradoxical, a situation of scarcity in the midst of plenty. A cross sectional panel data
sourced from World Development Indicators (WDI), International Monetary Bank (IMF) and
World Bank were used to examine five selected African countries, one from each region of the
continent. In this paper, Gross Domestic Product (GDP) which represents economic growth
stood as proxy for Energy diversification – the dependent variable while Renewable Energy
(RE), Nonrenewable Energy (NRE), Gross National Expenditure (GNE), Trade Openness
(TOP) and Population (POP) were the explanatory variables. The panel estimation techniques
employed in this study were the fixed effect model and the Random effect model and thereafter,
the Hausman test was performed to ascertain whether to adopt the fixed effect model or the
Random effect model. The Hausman test confirmed that the fixed effect model is more
preferable. Some of the major findings of the study include that RE & NRE exhibited both
positive but insignificant relationship with economic growth while GNE & TOP were both
positive and significant. Population however impacted negatively and insignificantly to
economic growth in the selected countries. The paper recommended that the government
should increase the availability and affordability of abundant RE resources through increased
energy diversification.

INCLUSIVE GROWTH AND RESOURCE CURSE IN OIL-RICH COUNTRIES OF SUB-SAHARAN AFRICA

GABRIEL OLUSEGUN ODUYEMI — Fri, 06 Sep 2024 00:00:00 +0000

This study investigates the impact of natural resource dependence on inclusive growth in oilrich sub-Saharan African countries, addressing the resource curse paradox. The research
emphasizes the significance of institutional quality, including regulatory quality, control of
corruption, and government effectiveness, in moderating the effects of natural resource
exploitation on economic inclusivity. Using the cross-sectional augmented autoregressive
distributed lag (CS-ARDL) technique, the study analyzes data from Algeria, Congo Republic,
Gabon, Nigeria, South Africa, and Sudan over the period 1991-2022. The findings highlight
that natural resource rents and oil resource rents significantly influence inclusive growth, with
institutional quality playing a critical role in this relationship. Specifically, the results suggest
that weak institutions exacerbate the negative effects of natural resource dependence, leading
to increased income inequality and limited economic diversification. Conversely, strong
institutional frameworks can mitigate these adverse effects, promoting more equitable
economic development. This research provides valuable insights for policymakers and
development practitioners, emphasizing the need for robust institutional mechanisms to
ensure that natural resource wealth translates into broad-based economic benefits. The study
aligns with the UN’s Sustainable Development Goals, particularly those related to poverty
reduction, good governance, and inclusive growth. The results underscore the importance of
governance reforms and effective policy implementation in harnessing natural resources for
sustainable and inclusive development in sub-Saharan Africa.

IMPACT OF FOREIGN DIRECT INVESTMENT INFLOW ON ECONOMIC GROWTH OF SUB-SAHARAN AFRICAN COUNTRIES

ABDULLAHI M. ADAMU, MOHAMMED HASSAN NGGADA — Fri, 06 Sep 2024 00:00:00 +0000

This study examines the impact of FDI Inflow and Economic Growth of Sub-Saharan African
Countries over the period 1981–2021. The objective of the study is to examine the impact of
foreign direct investment inflow on economic growth of Sub-Saharan African countries. To
achieve these objectives, Panel Autoregressive Distributed Lag (ARDL) was used. The results
revealed that FDI and have a positive and significant long run impact on economic growth in
sub-Saharan African countries. The short-run country-wise result revealed that FDI is
positively related to economic in all the selected countries. The study therefore recommended
that SSA countries should formulate more FDI-led policies and structural reforms that would
encourage the openness of their economy in order attract more FDI and promote larger
economic growth.

EVALUATION OF THE LEVEL OF HEALTH, SAFETY AND ENVIRONMENT FACTORS COMPLIANCE IN MATERIAL SUPPLY CHAIN OF BUILDING CONSTRUCTIONS IN ABUJA, NIGERIA

Fri, 06 Sep 2024 00:00:00 +0000

The study aimed at identifying the level of health, safety, and environmental compliance as
well as the challenges preventing effective safety compliance in the material supply chain in
the construction industry. The study utilises purposive sampling to pick 22 construction sites
for the investigation. 250 questionnaires were distributed among the construction professionals.
The gathered data was analysed with the aid of frequency, percentages, mean index score, and
ranking. The outcome of the study reveals a high level of health, safety, and environmental
compliance among the construction professionals, with a mean index score of 2.6686. Also,
the study findings showed that human error, stakeholder will, bribery, and corruption were the
major challenges preventing effective compliance with health and safety practices in the
building construction industry in Abuja. In conclusion, effective health and safety compliance
is vital for the reduction of occupational hazards. The study suggested, among others, that the
government, through her relevant agency checkmate, bribery and corruption in health and
safety compliance in the industry.