EFFECTS OF UNEMPLOYMENT AND INFLATION ON ECONOMIC GROWTH IN NIGERIA 1980-2012
- Project Research
- 1-5 Chapters
- Abstract : Available
- Table of Content: Available
- Reference Style: APA
- Recommended for : Student Researchers
- NGN 3000
Abstract
This study investigates the effects of unemployment and inflation on economic growth in Nigeria between 1980-2012 through the application of Ordinary Least Square (OLS) technique in estimating the effects of unemployment and inflation on growth, Augmented Dickey-Fuller test and Phillip‟s-Perron test statistics were employed to test the presence of unit root in the series, after which Johansen cointegration test was employed to test the existence of long-run relationship between economic growth and the independent variables. The results of unit root suggest that all the variables in the model were stationary. The Johansen cointegration result shows that there exist 2 cointegrating equations, implying the existence of long run relationship between economic growth, unemployment and inflation. The results also reveal that unemployment impacts negatively on economic growth while inflation rate impacts positively on economic growth. However,, only the coefficient of unemployment was found to be significant. The hypothesis test result using f-statistics reveals that unemployment and inflation jointly affect economic growth at 1 percent and 5 percent respectively, with values of 5.8900 in model II and 4.0637 in model III. This therefore, implies that a good performance of the Nigerian economy in terms of growth may be achieved with lows rate of unemployment and inflation in the country. Based on the coefficients of unemployment -4.6727 and inflation 0.0246 in model III, it follows that 1 percent reduction in unemployment would increase economic growth by 4.6727 percent, while 1 percent increase in inflation would increase economic growth by 0.0246 percent; hence a major policy implication is that concerted effort should be made to reduce unemployment and stabilize the prices of goods and services (inflation) so as to achieve high, rapid and sustained economic growth rate in Nigeria.
Related Project Materials
IMPACT OF COMPUTER STUDY ON BUSINESS EDUCATION
Background of the study
In 1949 the government of Nigeria appointed F.J. Harlow, principal of Chelsea Polytechnic (Londo...
NETWORK BASED SECURITY INFORMATION SYSTEM FOR SHELL PRETROLEUM COMPANY
STATEMENT OF THE PROBLEM
In spite of the level of computation of various organizations, this particular organization on...
AN ASSESSMENT OF SHELVING OF LIBRARY MATERIAL IN COLLEGE LIBRARIES
BACKGROUND TO THE STUDY
Shelving library materials is a proven method of ensuring that books and other...
PHYTOCHEMICAL AND ANTI-INFLAMMATORY STUDIES ON THE HEXANE EXTRACT OF THE STEM BARK OF STEGANOTAENIA ARALIACEAHOSCHTS (APIACEAE)
ABSTRACT
Inflammation has been implicated in virtually all human and animal diseases. It has become the focus of global scientific resear...
PROBLEMS AND PROSPECT OF ELECTRONIC BANKING IN NIGERIA
ABSTRACT
This research work is an attempt to find out the “problem and prospects of electronic b...
THE IMPACT OF MULTIPLE TAXATIONS ON BUSINESS SURVIVAL IN NIGERIA
ABSTRACT
Taxation is one of the major fiscal policies the government of any nation such as Nigeria can...
EXAMINATION ON THE EXTENT OF COMPLIANCE TO INTERNATIONAL FINANCIAL REPORTING STANDARD (A CASE STUDY OF WEMA BANK PLC)
ABSTRACT
This study seeks to investigate whether the International Financial Reporting Standards (IFRS) in Nigeria has b...
THE DETERMINANCE OF INDUCED ABORTION AMONG UNDERGRADUATE STUDENTS: A STUDY OF UNIVERSITY OF CALABAR, CROSS RIVER STATE NIGERIA
ABSTRACT
Abortion is a wide issue and the major concern in most of the discussion on abortion draws heavily from the fact that abortion c...
THE EFFECT OF POOR LEARNING ENVIRONMENT ON THE ACADEMIC ACHIEVEMENT OF PRIMARY SCHOOL PUPILS IN UDI LOCAL GOVERNMENT AREA
Abstract
This research project is aimed at finding the effect of poor learning environment on the Academic achievement o...
EFFECTS OF OVERPOPULATION ON THE ACADEMIC PERFORMANCE OF STUDENTS IN GOVERNMENT SECONDARY SCHOOLS
Abstract
The study aimed at establishing the effects of overpopulation on the academic performance of government seconda...
