Home»Economics» The effect of unemployment on economic growth in Nigeria

The effect of unemployment on economic growth in Nigeria

 Department:Economics  
 By:usericon Ekings  

 Project ID: 2784
 Rating:  (3.1) votes: 20
   Price:₦3000
Abstract
This study investigates the effects of unemployment on economic growth in Nigeria between 1980 and 2016 through the application of Ordinary Least Square (OLS) technique in estimating the effects of unemployment on growth, Augmented Dickey-Fuller test and Phillip’s-Perron test statistics were employed to test the presence of unit root in the series. The results of the unit root suggest that all the variables in the model were stationary.  The results also reveal that unemployment and money supply impact negatively on economic growth while inflation, investment, and government expenditure impact positively on economic growth. However, only the coefficient of unemployment was found to be significant. The result using F-statistics reveals that unemployment, inflation, investment, money supply and government expenditure jointly affect economic growth at 5 percent. This, therefore, implies that a good performance of the Nigerian economy in terms of growth may be achieved with a low rate of unemployment in the country. Hence a major policy implication is that concerted effort should be made to reduce unemployment and stabilize the prices of goods and services so as to achieve high, rapid and sustained economic growth rate in Nigeria....
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