International Journal of Advanced Multidisciplinary Research and Studies
Volume 4, Issue 4, 2024
Economic Growth and Poverty Incidence in Nigeria
Author(s): Ezeaku Basil Chinedu, Ogbuagu Godson Okoro
Abstract:
The study examined the effect of economic growth on poverty incidence in Nigeria. Specifically, the study sought to; ascertain the impact of economic growth on poverty incidence in Nigeria; ascertain the impact of unemployment rate on poverty incidence in Nigeria, and to determine the impact of government capital expenditure on poverty incidence in Nigeria for the period: 1996 to 2021. The variables consist of Gross Domestic Product (GDP), Government Capital Expenditure (GCE), Unemployment rate (UNEM) and Poverty Incidence (POVR). The technique of data analysis was the autoregressive distributed lag (ARDL) model. The variables LGDP and LGCE made statistical significant impacts on poverty incidence in the short run but did not do so in the long run. Only the variable UNEMP made statistical significant impact in both the short and the long run periods at the 5% level of significance. The study recommended the creation of more jobs by both private and public sectors through the increase in government capital expenditures especially that of primary infrastructures like education and healthcare by building more schools and hospitals and recruiting more staff. Furthermore, government should strengthen its regulatory frameworks like the anti-graft agencies as well as the judiciary and other institutions like the police force, civil defense corps, etc. for the execution and enforcement of contracts in the country.
Keywords: Poverty Incidence, Economic Growth, Unemployment
Pages: 833-841
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