Article 3: PUBLIC EXPENDITURE IN EDUCATION AND ECONOMIC GROWTH IN NIGERIA (Vol. 1, Iss. 2, pp. 86-94)

BOSCO, Itoro Ekpenyong, OMEKWE, Sunday Omiekuma Paul, OBAYORI, Joseph Bidemi

Text | Abstract | PDF

PUBLIC EXPENDITURE IN EDUCATION AND ECONOMIC GROWTH IN NIGERIA

 

1BOSCO, Itoro Ekpenyong, 2OMEKWE, Sunday Omiekuma Paul, 3OBAYORI, Joseph Bidemi

 

1 & 2 Department of Economics, Faculty of Social Sciences, University of Port Harcourt, Nigeria

  1. Department of Economics, Faculty of Social Sciences, Nnamdi Azikiwe University, Awka, Nigeria

Correspondent email-Profobj77@yahoo.com

 

A R T I C L E  I N F O

Article Type: Research

Received: 10, Dec. 2019.

Accepted: 31, Dec. 2019.

Published: 31, Dec. 2019.

 

 

 A B S T R A C T

The paper investigated the impact of public expenditure on education on economic growth in Nigeria from 1980-2017. In doing this, the study estimated a growth model. The estimated model has government capital and recurrent expenditure on education as the explanatory variables while real gross domestic product is the dependent variable. The study used data from the Central Bank of Nigeria statistical bulletin and applied the econometrics methods of OLS and granger causality test. The OLS results showed that the coefficients of government capital and recurrent expenditure on education were statistically significant and positively related to real gross domestic product. Also, the pairwise granger causality results showed unidirectional causation between government capital expenditure on education and real gross domestic product as well as government recurrent expenditure on education and real gross domestic product. In the light of these discoveries, it was suggested amongst others that, government should increase her financing in the education sector, principally in the tertiary education on innovative research work to advance quick development for industrial changes and subsequently economic growth and development in Nigeria.

 
Keywords:

Granger, Causality, Public Expenditure, Education, UNESCO

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