The Relationship between Domestic Investment and Economic Growth in Nigeria
Journal Title: International Journal of Research in Social Sciences - Year 2012, Vol 2, Issue 3
Abstract
This study aims at investigating the relationship between domestic investment and economic growth in Nigeria using secondary time series data set sourced from Central Bank of Nigeria (CBN) Statistical Bulletin for the year 2010. The data set has been analysed using STATA Version 9.1. This data set covers the period of 30 years, 1981 to 2010. Non probability sampling method in the form of availability sampling technique has been used in selecting the number of years that constitutes the sample size of this study. This technique has been applied due to availability of the relevant data for the selected years only. From the cointegration results, it is clear that there is a significant long run positive relationship among domestic investment, exports and economic growth in Nigeria. For the short run relationship, the results of Granger causality test indicate a significant feedback causality running from domestic investment to economic growth and vice versa in the short run. In addition, in the short run, there is a significant negative bidirectional relationship between domestic investment and exports in Nigeria. Nonetheless, the findings indicate no short run causal relationship between exports and economic growth. The findings of this study therefore have the following implications: first, economic growth should be strengthened in order to achieve high level of domestic investment both in the short and long runs. Furthermore, although export does not have any significant influence on economic growth in the shot run, such influence exists in the long run. Therefore, measures that will ensure exports promotion should be adopted.
Authors and Affiliations
Abdulmumini Baba Alfa and Tukur Garba
Keywords
Related Articles
- EP ID EP19836
- DOI -
- Views 348
- Downloads 13
Menace of Black Money in India and its Mitigation
This paper endeavours to study the Concept of black money in India. The mounting size of black money in India has been drawing attention since last many decades. The black money affects the macroeconomics variables as...
Role of Microfinance in Empowering Women of Minority Religion
Since the ancient period, women are under the paws of inequality in our socio-economic environment. There was a few number of women in the elite society who were considered as the path finders of women development in t...
A HISTORICAL STUDY OF THE ART AND ARCHITECTURE IN BARAK VALLEY
The archaeological remains found in Barak Valley are relic of an art movement. Barak Valley, culturally distinct from the Brahmaputra Valley of Assam has a number of places yielding remains of architecture and sculptur...
The Legal Functions of Marine Conservation Forum in Supporting the Development of Marine Conservation Areas in Rote Ndao Regency
Marine Conservation Areas have significant contributions to many aspects of human life. Conservation of marine resources performed by governments and non-governmental organizations and institutions is therefore conside...
CORPORATE SOCIAL RESPONSIBILITY IN THE WAKE OF COMPANIES ACT 2013: CONCEPTUAL ANALYSIS
The Concept of CSR in India is not new, but the term may be. The Process through acclaimed recently. It has been followed since ancient times informally. Philosophers likes, Kautilya and Gandhi (Ethical Model) From Ind...