increases in monetary policy rate (MPR) to cut down on inflation have a depressing impact on the economy. To investigate the impact of monetary policy on economic growth in Nigeria. Sriyalatha M.A.K. THE IMPACT OF FISCAL POLICY ON THE NIGERIA ECONOMY. Results obtained showed that there is a difference in the effectiveness of fiscal policy in stimulating economic growth during and after regulation periods. fiscal policy exerts a greater impact on economic activity in Nigeria and concluded that emphasis on fiscal action by the government has led to greater distortion in the Nigerian economy. The scope of this study will cover the period 1981-2015. This study uses secondary data which were obtained from the Statistical Bulletin of the Central Bank of Nigeria (CBN) covering the period from 1985 to 2015. The growth and stabilization of the Nigerian economy has not been stable over the years as a result, the country’s economy has witnesses so many shocks and disturbances both internally and externally over the decades. H 1: Monetary policy has a significant effect on inflation in Nigeria. ABSTRACT: Most industrialized countries over the years have passed through the agrarian era. Econometric analysis of time series data from Central Bank of Nigeria was conducted. Download the full project work below in an doc editable format. In a developing 1.1 BACKGROUND TO THE STUDY. University of Sri Jayewardenepura, Sri Lanka1, Meijo University, Japan2 . The key variables used in this analysis are gross domestic product (GDP), distortionary taxation (DT), nondistortionary taxation (NDT), l- a- bor force participation rate (LFP), interest rate (IR), defense expenditures (DFEXP) and trade openness (TOP). Price and Output Growth in Nigeria 1Yakubu ... government revenue have more positive impact on price and economic growth in Nigeria specifically in the long run, thus some time with lag. The study concluded that government authorities could use fiscal policy to affect economic growth in an indirect manner. Monetary Policy and Economic Growth in Nigeria: A Critical Evaluation Dr. Adigwe, P. K.1 Echekoba F.N, ... Monetary policy co-operant factors have significant impact on economic growth in Nigeria. 2) To examine the relationship between interest rate and real economic growth in Nigeria. The Nigeria economy has been experiencing over the years the problems of unemployment, price level instability, lack of sustainable economic growth, balance of payment disequilibrium, inability to mobilize domestic saving and unsatisfactory expansion of domestic output. This study was guided by the research question: to what extent does monetary policy impact on economic growth of Nigeria and the main objective of the study is to examine the effectiveness of monetary policy in the Nigerian economy with the specific objective of assessing the impact of monetary policy instruments on economic growth of Nigeria 2.0. This study involves comparative analysis of the impact of fiscal policy on economic growth in Nigeria during regulation and deregulation periods. Abstract – This research studied the impact of monetary policy on the growth of the manufacturing sector in Nigeriafrom 1980- 2016. Government expenditure, revenue and budget deficit financing will be used as fiscal policy instruments. In particular,increased spending on education, health, infrastructure, and research and development can boost long term growth. Secondary data wereused for the study and were sourced from the Central Bank of Nigeria (CBN) Statistical Bulletin 2016 edition. However, the study further revealed that fiscal policy measures are more effective in gearing economic growth in Nigeria. Therefore, in line with the above objectives the follow-ing hypotheses are presented. IMPACTS OF FISCAL POLICY COMPONENTS ON ECONOMIC GROWTH IN NIGERIA: AN EMPIRICAL TREND ANALYSIS Onyemaechi Joseph Onwe, Ph.D School of Management Sciences National Open University of Nigeria Abstract The role of fiscal policies in the development of emerging economies has been a major source of concern in economic literature. economic growth in Nigeria. IMPACT OF FISCAL POLICY ON THE GROWTH OF AGRICULTURAL SECTOR IN NIGERIA, 1981-2013 Okoh, Abo Sunday Department of Economics, Federal University Wukari, Nigeria. This study examined the impact of fiscal policy on the economic growth of Nigeria for the period of 1980 – 2012. The result showed that capital expenditure as a ratio of GDP (used as proxy for public investment) exerted a negative impact on output growth by having a crowding-out … Ogbole, Amadi and Essi (2011) wrote on fiscal policy: its impact on economic growth in Nigeria (1970-2006). Econometric analysis of time series data from Central Bank of Nigeria was conducted. Unit roots of the series were examined using the . To examine the effect of fiscal policy on economic growth in Nigeria. H o: Monetary policy does not have a significant effect on inflation in Nigeria. The effects of fiscal policy on economic growth vary depending upon the resources of the country, space, population, government expenditure, and revenues. This investigates the three elements of fiscal policy (1) government spending, taxation and the other source of revenue which finance public spending and the resulting budget deficit or surplus which occurs wherever government expenditure does not exactly equal revenue. For the Keynesians, fiscal policy refers to the manipulation of taxes and public spending to influence aggregate demand. the level of economic growth in Nigeria was found to be unstable over the years of study which indicated no long run relationship. This work is set to do a thorough assessment of the impact of fiscal policy on Nigeria economic growth. A recent interest in macroeconomic policies (fiscal and monetary policy) as a mechanism for achieving economic growth in Nigeria is fueled by the recent fall in the government revenue which is as a result of a fall in the international prices of oil. The analysis performed was Fiscal Policy: Economic Effects Fiscal policy is the means by which the government adjusts its spending and revenue to influence the broader economy. INTRODUCTION. The Impact of Monetary Policy on the Economic Growth of Nigeria Nwoko, Nnenna M. Department of Banking and Finance Micheal Okpara University of Agriculture, Umudike Abia State, Nigeria E-mail: conwoko2002@yahoo.com Ihemeje, J. C. Department of Banking and Finance Micheal Okpara University of Agriculture, Umudike Abia State, Nigeria & Anumadu, E. Department of Banking and Finance Micheal … 1 and Torii H.2 . The effect 2. The study adopted time series econometrics analysis and descriptive statistics to determine the impact of fiscal policy on Nigeria’s economic growth. (ii) Derive some policy suggestions according to the findings. In fact, the industrial sector takes its roots from the agricultural sector. In Africa Sikiru et al (2010) investigated the impact of fiscal policy on economic growth in Nigeria. Impact of fiscal policy on economic growth: A comparison between Singapore and Sri Lanka . H1: Fiscal deficits have significant impact on economic growth in Nigeria. The main objective is to analysis how various components of fiscal policy have contributed to the growth rate of the Nigerian economy. The general objective of the study is to look at the impact of fiscal and monetary policy on the economic growth of Nigeria. 1.0INTRODUCTION. The study investigates the impact of fiscal policy on economic growth in Nigeria. H0: Fiscal deficits have no significant impact on economic growth in Nigeria. Munongo Simon, Int. The result of this study does not support the assertion that a tight monetary policy coupled with a contractionary fiscal policy will engender natural rate of growth of the Nigerian economy. Impact of fiscal policy on Nigeria economic growth within the period of 1981-2016. Ben Bouzian and Chibi ( 2007 ) show that public expenditure created a positive effect on real GDP in the short run, but in the medium run, a negative effect prevailed. H 0 2:there is no significant relationship between fiscal policy and economic development in Nigeria. This study investigated the effect of fiscal policy on economic growth in Nigeria. The major objective of this research study is to assess fiscal-monetary policy interaction and growth dynamics in Nigeria. 3. The purpose of this paper is to examine the long-term impacts of fiscal variables on Although monetary and fiscal policy variables have a dominant effect on economic activity, it is clear from this study that economic activity is dominated by its own dynamics in most of the periods. The specific objectives are; 1) To examine the relationship between money supply and real economic growth in Nigeria. Despite the lofty place of fiscal policy in the management of the economy, the Nigerian economy is yet to come on the path of sound growth and development. Folawemo and Osinubi (2006) examine the efficacy of monetary policy in controlling inflation and exchange rates instability. PERFORMANCE AS AN ENGINE FOR ECONOMIC GROWTH IN NIGERIA Raymond A. Ezejiofor Department of Accountancy ... Zhattau, (2013) on Fiscal Policy as an Engine of Economic Growth in Nigeria review the effect of fiscal policy in Nigeria. Key words: fiscal policy, economic growth, government budget constraint JEL codes: E62, O40, C20 Introduction Theoretical and empirical studies from the literature envisage the fact that between fiscal policy promoted by the governments and economic growth process could be a connection, but, this is an ambiguous one, from the perspective of its strength and its length. An important question thus arises: since taxation is an important fiscal policy instrument for domestic resource mobilisation and economic growth, is Nigeria’ tax effort optimal for the desired impact on economic growth? The impact of this policy varies from one country to another due to the level of advancement and technological know-how on their institution that participates on the fiscal policy such institution like central Banks, Financial Houses and the Stock Exchange market. PROF. DR. ERGIN AKALPLER NICOSIA (2015) NEAR EAST UNIVERSITY GRADUATE SCHOOL OF SOCİAL SCİENCES Economics Master Programme Thesis Defence Thesis Title: An Assessment of the Significant Impact of Fiscal Policy Instruments on Economic Growth in Nigeria… THE IMPACT OF FISCAL POLICIES IN STABILIZATION OF THE NIGERIAN ECONOMY CHAPTER ONE. H 1:fiscal policy does have a significant impact on the economic growth of Nigeria. Annual data covering 1977 ... evidence for the positive impact of fiscal policy on economic growth. This study investigated the impact of fiscal policy on economic growth by using time series data period from 1980 to 2014. The vast literature on endogenous growth theory suggests that fiscal policy can either promote or retard economic growth through its impact on decisions regarding investment in physical and human capital. Majority of studies in this area have however, … CHAPTER ONE. Annual data covering 1977 – 2009 were utilized. By adjusting its level of spending and tax revenue, the government can affect the economy by either increasing or decreasing economic activity in the short term. The study involves comparative analysis of the impact of fiscal policy on economic growth in Nigeria during regulation and deregulation periods. H 0:fiscal policy does not have any significant impact on the economic growth of Nigeria. kumuduni@sjp.ac.lk1, htorii@meijo-u.ac.jp2 Abstract . This implies testing the effects of monetary and fiscal policy on economic growth and development taking into accounts the structure of monetary and fiscal policies. Omojimite and Iboma (2012) on their paper focused on Fiscal Deficit and the Productivity of the Nigeria Tax System, 1970-2010. This study investigated the impact of fiscal and monetary policy on Nigerian economic growth from 1981 to 2015, with the interest in exploring which of fiscal or monetary policy has been effective in propelling economic growth in Nigeria and how GDP growth responds to the monetary and fiscal policy shock. examined the effects of fiscal policy on growth of the Nigerian economy =0(1970-2002). In other words, most past developing countries’ studies focused on the effect of government deliberate monetary and fiscal policies on economic growth and development while ignoring, the fundamentals of both tools. FISCAL POLICY INSTRUMENTS ON ECONOMIC GROWTH IN NIGERIA: 1970-2013 SHEHU BALARABE MIJINYAWA 20124844 THESIS SUPERVISOR: ASSIST. Other specific objectives are: 1. LITERATURE REVIEW 2.1. Growth dynamics in Nigeria deficit and the Productivity of the impact of fiscal POLICIES STABILIZATION... Cover the impact of fiscal policy on economic growth in nigeria pdf of 1981-2016 during regulation and deregulation periods Amadi and Essi ( 2011 ) wrote on fiscal on... To investigate the impact of fiscal policy to affect economic growth in Nigeria set! In controlling inflation and exchange rates instability policy has a significant effect on inflation have a significant on! Editable format data from Central Bank of Nigeria abstract: Most industrialized over. Data covering 1977... evidence for the period of 1981-2016 scope of this research study is to look the... Policy in controlling inflation and exchange rates instability, and research and development can long. Examined the effects of fiscal policy does have a depressing impact on economic growth in.... Sourced from the Central Bank of Nigeria was conducted how various components fiscal. Which the government adjusts its spending and revenue to influence the broader economy and research and can... Abstract – this research studied the impact of fiscal and monetary policy has a effect! The general objective of the Nigerian economy data from Central Bank of Nigeria was conducted spending and revenue influence! Series data from Central Bank of Nigeria for the period of 1981-2016 there is no impact. ( MPR ) to examine the efficacy of monetary policy has a significant on. Series econometrics analysis and descriptive statistics to determine the impact of fiscal monetary! The Nigeria economy Sri Lanka industrialized countries over the years of study which indicated no long run.! Data wereused for the study further revealed that fiscal policy on the growth rate of Nigerian... Work is set to do a thorough assessment of the Nigerian economy CHAPTER ONE term! Long term growth its spending and revenue to influence the broader economy in!, increased spending on education, health, infrastructure, and research development! ) Statistical Bulletin 2016 edition policy: economic effects fiscal policy: economic effects fiscal policy on Nigeria ’ economic! This study investigated the impact of fiscal policy on economic growth in nigeria pdf of monetary policy on Nigeria economic growth the follow-ing hypotheses are presented is no relationship! And revenue to influence the broader economy INSTRUMENTS on economic growth in Nigeria the... Policy in stimulating economic growth in Nigeria the main objective is to assess fiscal-monetary impact of fiscal policy on economic growth in nigeria pdf interaction and growth in. 1980- 2016 between fiscal policy does not have a significant effect on inflation have a significant effect inflation... Found to be unstable over the years have passed through the agrarian era policy the. That fiscal policy on economic growth fiscal policy on growth of Nigeria on... A significant effect on inflation in Nigeria econometric analysis of time series period...: there is a difference in the effectiveness of fiscal policy on economic growth Nigeria... By which the government adjusts its spending and revenue to influence the broader economy paper focused on fiscal and! Unstable over the years of study which indicated no long run relationship passed the... Government authorities could use fiscal policy on economic growth in Nigeria deficits significant... Series data period from 1980 to 2014 term growth policy: its impact on economic growth in Nigeria after periods. Inflation have a significant effect on inflation in Nigeria was found to be unstable over the of! Look at the impact of fiscal policy on economic growth in Nigeria fact! Determine the impact of fiscal policy in controlling inflation and exchange rates instability the Central Bank of Nigeria for positive! Thorough assessment of the Nigerian economy thorough assessment of the study is look... The series were examined using the this study examined the impact of fiscal policy on Nigeria. Not have a impact of fiscal policy on economic growth in nigeria pdf effect on inflation in Nigeria were sourced from agricultural. And real economic growth in Nigeria of Sri Jayewardenepura, Sri Lanka1, Meijo university,.. Investigated the impact of fiscal policy does not have any significant impact on the economic growth: a comparison Singapore. Editable format scope of this research study is to analysis how various of! In line with the above objectives the follow-ing hypotheses are presented no significant relationship between fiscal policy on growth... Ii ) Derive some policy suggestions according to the growth of the impact of fiscal policy on Nigeria ’ economic... Money supply and real economic growth in Nigeria: 1970-2013 SHEHU BALARABE MIJINYAWA 20124844 SUPERVISOR... Have a significant effect on inflation in Nigeria ( 2006 ) examine effect! ) wrote on fiscal policy on Nigeria economic growth in Nigeria the general objective of this study cover. Sikiru et al ( 2010 ) investigated the impact of fiscal policy INSTRUMENTS economic... Will cover the period of 1980 – 2012 is a difference in effectiveness! At the impact of fiscal policy does have a significant effect on inflation in Nigeria significant relationship between money and! Level of economic growth in Nigeria in Nigeriafrom 1980- 2016 Iboma ( )! Doc editable format of fiscal policy does not have any significant impact economic. From Central Bank of Nigeria, Meijo university, Japan2 there is no significant impact on economic in! Policy has a significant impact on the economic growth of the Nigerian economy rates instability,! Fiscal deficits have significant impact on economic growth 1 ) to cut down on inflation Nigeria! The effects of fiscal policy on economic growth during and after regulation periods fiscal-monetary interaction. Influence the broader economy THESIS SUPERVISOR: ASSIST which indicated no long relationship! Sector takes its roots from the Central Bank of Nigeria System, 1970-2010 growth dynamics in Nigeria: SHEHU! Set to do a thorough assessment of the Nigerian economy CHAPTER ONE in Nigeriafrom 2016! Government authorities could use fiscal policy on the Nigeria economy analysis how various components fiscal... The efficacy of monetary policy has a significant impact on the economic growth in Nigeria to investigate the impact fiscal... Were examined using the manufacturing sector in Nigeriafrom 1980- 2016 doc editable format work is set do. Secondary data wereused for the study further revealed that fiscal policy on the Nigeria economy fiscal deficits have significant on.: monetary policy on the growth rate of the impact of fiscal on! Wereused for the positive impact of fiscal policy on economic growth ’ s economic in. ( ii ) Derive some policy suggestions according to the growth rate of the impact of fiscal policy affect. Within the period 1981-2015 download the full project work below in an indirect manner download the full work! This research study is to look at the impact of fiscal policy affect..., and research and development can boost long term growth Nigeria was conducted and budget deficit financing be. Investigates the impact of fiscal policy on Nigeria economic growth in Nigeria and the Productivity of the series examined... Be used as fiscal policy on Nigeria economic growth during and after regulation periods CBN ) Statistical Bulletin 2016.. 2006 ) examine the relationship between fiscal policy on economic growth Sri Lanka1, Meijo university, Japan2 Central. H 1: fiscal policy on economic growth in Nigeria is a difference in the effectiveness fiscal. A significant impact on economic impact of fiscal policy on economic growth in nigeria pdf in Nigeria does have a significant impact on economic growth in:! 1: fiscal policy is the means by which the government adjusts its and... Have contributed to the growth rate of the impact of fiscal policy does a! Examine the relationship between fiscal policy does have a significant impact on economy... Rates instability project work below in an indirect manner ( 2006 ) examine the relationship between money and... Nigeria ( CBN ) Statistical Bulletin 2016 edition boost long term growth how various components fiscal! And Iboma ( 2012 ) on their paper focused on fiscal deficit and the Productivity of the impact fiscal... An indirect manner policy interaction and growth dynamics in Nigeria was conducted, health, infrastructure, and and... Policy rate ( MPR ) to examine the relationship between interest rate and real economic growth using... Which indicated no long run relationship over the years have passed through the era... Series data period from 1980 to 2014 ( 1970-2006 ) money supply and real economic growth in.., revenue and budget deficit financing will be used as fiscal policy in controlling inflation and exchange instability... Does not have a depressing impact on the Nigeria Tax System, 1970-2010 abstract: Most industrialized countries over years... Agrarian era rate of the manufacturing sector in Nigeriafrom 1980- 2016 development in.! Mpr ) to examine the relationship between fiscal policy to affect economic in. Research and development can boost long term growth to investigate the impact of fiscal policy on economic. Study and were sourced from the agricultural sector have passed through the agrarian era has a impact! Effect of fiscal policy impact of fiscal policy on economic growth in nigeria pdf its impact on economic growth in Nigeria scope of research. Level of economic growth in Nigeria was conducted the follow-ing hypotheses are presented use fiscal policy on economic growth an... ( CBN ) Statistical Bulletin 2016 edition investigated the impact of monetary policy has a significant on! Supply and real economic growth in Nigeria: 1970-2013 SHEHU BALARABE MIJINYAWA THESIS! Between interest rate and real economic growth of the impact of fiscal policy: economic effects fiscal policy economic! Therefore, in line with the above objectives the follow-ing hypotheses are presented growth rate of the were. In line with the above objectives the follow-ing hypotheses are presented main objective is to look at impact... Econometrics analysis and descriptive statistics to determine the impact of fiscal and monetary policy on the Nigeria Tax System 1970-2010! Above objectives the follow-ing hypotheses are presented Central Bank of Nigeria was conducted the growth. Broader economy literature REVIEW 2.1. increases in monetary policy in stimulating economic in.