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the impact of nonoil export on economic growth in nigeria 1986-20...

THE IMPACT OF NONOIL EXPORT ON ECONOMIC GROWTH IN NIGERIA 1986-2010



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THE IMPACT OF NONOIL EXPORT ON ECONOMIC GROWTH IN NIGERIA 1986-2010



ABSTRACT

 

The essence of this work has been to determine the effect of non-oil export on economic growth in Nigeria, during the period of 1986-2010. In carrying out this study, secondary data were collected and empirical analysis was made. To achieve these objectives, multiple regressions were used in analyzing the data. The empirical results reveal that non-oil export is statistically significant to Nigeria economic growth. On the other hand, oil export also has been significant to Nigeria Economic growth of the non-oil export while government expenditure (GEX) has not been significant to Nigeria’s economic growth of the non-oil exports. Following this, some recommendations which include encouraging financial institutions, improving in data collection and banking, efficient allocation and use of resources, government base investing in non-oil sector in other to diversify the economy (from monoculture economy to a multicultural economy) and creating economic environment which will help boost the activity of non-oil export sector.

 

CHAPTER ONE

 

INTRODUCTION

 

1.1 BACKGROUND OF THE STUDY

 

There is a number of reasons for a country to be concerned about its rate of economic growth. Economic growth is desired by both affluent and non-affluent economies. Economic growth is the desire for higher levels or real per capital income, real output which must grow faster than the production of the economy in question. Economists, policy-makers, public and private sectors work ceaselessly towards attaining economic growth by the use of development and growth models and policies. Among the policies used are trade policy (Import and export policies, monetary policy, exchange rate policy, fiscal policy, market etc). In this study, the non-oil exports and economic development in Nigeria will be examined.

Non-oil exports are the products, which are produced within the country in the agricultural, mining and querying and industrial sectors that are sent outside the country in order to generate revenue for the growth of the economy excluding oil products. These non-oil export products are coal, cotton, timber, groundnut, cocoa, beans etc. Today, as in the past, the growth of Nigerian economy remains partly dependent upon increasing productivity of the agricultural sector. Helleiner (2002:124) states that no matter how much development and structural transformation achieved, it will remain its relative dominance in the economy to many decades to come. Precisely, it is from agricultural exploits that the economy has received its principal stimulus to economic growth.

Agricultural sector can assist through the exportation of principal primary commodities which will increase the nation’s foreign earnings and which can be used to finance a variety of development projects. The growth of the agriculture sector can make a substantial contribution to the total tax revenue, as well as having some implications for inter-sectional terms of trade. Also in the area of capital formation, the savings generated in this sector can be mobilized in development purposes, while increase in rural income as a result of increasing agricultural activities can further stimulate the product of the modem sector. The needs of the agricultural sector could indirectly influence the creating of additional infrastructures which are indispensable to rapid economic development. (Olaloku. 2001:13). Another non-oil export to be dwelled on, is industrial sector.

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All Project Materials Inc. (2020). THE IMPACT OF NONOIL EXPORT ON ECONOMIC GROWTH IN NIGERIA 1986-2010. Available at: https://researchcub.info/department/paper-7787.html. [Accessed: ].

THE IMPACT OF NONOIL EXPORT ON ECONOMIC GROWTH IN NIGERIA 1986-2010


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There is a number of reasons for a country to be concerned about its rate of economic growth. Economic growth is desired by both affluent and non-affluent economies. Economic growth is the desire for higher levels or real per capital income, real output which must grow faster than the production of the economy in question. Economists, policy-makers, public and private sectors work ceaselessly towards attaining economic growth by the use of development and growth models and policies. Among the policies used are trade policy (Import and export policies, monetary policy, exchange rate policy, fiscal policy, market etc). In this study, the non-oil exports and economic development in Nigeria will be examined. Non-oil exports are the products, which are produced within the country in the agricultural, mining and querying and industrial sectors that are sent outside the country in order to generate revenue for the growth of the economy excluding oil products. These non-oil export products are coal, cotton, timber, groundnut, cocoa, beans etc. Today, as in the past, the growth of Nigerian economy remains partly dependent upon increasing productivity of the agricultural sector. Helleiner (2002:124) states that no matter how much development and structural transformation achieved, it will remain its relative dominance in the economy to many decades to come. Precisely, it is from agricultural exploits that the economy has received its principal stimulus to economic growth. Agricultura.. Click here for more

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