Exports and Nigerian’s Economic Growth: a Co-Integration Analysis
Journal Title: Asian Economic and Financial Review - Year 2012, Vol 2, Issue 2
Abstract
This research work employed the use of cointegration analysis in the study of export and economic growth in Nigeria. It was embarked on, in order to determine whether there is bi-directional relationship between exports and economic growth in Nigeria. More so, it tries to evaluate significant impact of exports on the economic growth in Nigeria. On the application of advanced econometric techniques like Augumented Dickey Fuller and Phillips Perron Unit Root Test, Johansen Cointegration Test and Error Correction Mechanism, the following information surfaced: - There existed a long-run relationship with economic growth and export in Nigeria. None of the variables were stationary at zero level. This means they all have unit roots. Having integrated the short run dynamics and long run equilibrium, Imports (IMP) and Exchange Rate were positively correlated with GDP while Exports (EXC) was negatively related with GDP. The short-run dynamics adjusts to the long-run equilibrium at the rate of 0.866% per annum. In the bid to achieve economic growth, it was recommended that there should be diversification of export commodities, infrastructure development, and maintenance of stable exchange rate and operationalization of Export Processing Zones.
Authors and Affiliations
Udude Celina C| Department of Economics Ebonyi state University Abakaliki, Okulegu Bethran Enyim| Department of Economics Ebonyi state University Abakaliki
Keywords
Related Articles
- EP ID EP1786
- DOI -
- Views 618
- Downloads 37
EFFECT OF DISAGREEMENT ON CORPORATE FINANCING POLICY AND INVESTMENT LEVEL
This study models firm?s financing policy and investment level when manager and outside investors has disagreement. It shows that the firm is more likely to over invest when the level of disagreement is high, and prefers...
TEST OF THE DAY OF THE WEEK EFFECT: THE CASE OF KUWAIT STOCK EXCHANGE
This study examines the presence of the day-of-the-week effect anomaly in the Kuwait Stock Exchange (KSE) using Ordinary Least Square Method (OLS). The day-of-the-week effect is a phenomenon that constitutes a form of an...
COMMERCIAL BANK NON-INTEREST FEE CHARGES: ARE FEE CHARGES DIFFERENT BETWEEN ISLAMIC BANKS AND CONVENTIONAL BANKS? EVIDENCE FROM BANGLADESH
In the Western world, consumers complain about the soaring of non-interest bank fees during the recent years, the post global financial crisis in particular. Commercial banks charge a variety of non-interest fees for the...
NATURAL RESOURCES, CONFLICT AND GROWTH NEXUS
Using panel data and GMM estimators we find that conflict and less developed countries (LDCs) natural resources have a positive and significant impact on GDP in the developed countries (DCs), while the lagged value of th...
REIT PERFORMANCE ANALYSIS: ARE OTHER FACTOR DETERMINANTS CONSTANT?
This main focus of this paper is to propose a regression analysis for the appraisal of REIT performance. The quantitative data required for the study were extracted from the annual financial reports of AMFIRST REIT, a RE...