IDEAS home Printed from https://ideas.repec.org/a/nap/nijefr/2020p24-31.html
   My bibliography  Save this article

Will Public External Debt And Private Investment Sustain Agricultural Growth In Nigeria? A Monte Carlo Simulation Approach

Author

Listed:
  • Ukpe, Udeme Henrietta

    (Department of Agricultural Economics and Extension, Faculty of Agriculture and Life Sciences, Federal University Wukari, P.M.B. 1020 Wukari, Taraba State, Nigeria)

  • Djomo, Choumbou Raoul Fani

    (Department of Agricultural Economics and Agribusiness, Faculty of Agriculture and Veterinary Medicine, University of Buea, P. O. Box 63 Buea, South West Region, Cameroun)

  • Filli, Fave Bulus

    (Department of Agricultural Economics and Extension, Faculty of Agriculture and Life Sciences, Federal University Wukari, P.M.B. 1020 Wukari, Taraba State, Nigeria)

  • Osayi,Chinwe Prisca

    (Department of Agricultural Economics and Extension, Faculty of Agriculture and Life Sciences, Federal University Wukari, P.M.B. 1020 Wukari, Taraba State, Nigeria)

Abstract

The recent debate of research is the conflicting view with respect to public debt and empowerment of private sector as a driving force for the sustainability of the economy. Therefore this study was undertaken to evaluate the extent to which changes in public external debt and changes in private investment affect the agricultural growth. The result of the study showed that by increasing public external debt and decreasing domestic private investment the simulated data was higher compared to the baseline result implying that it supports the Keynesian view. By decreasing public external debt and increasing domestic private investment, the scenario simulated data, for agricultural growth were lower compared to the baseline implying that private investment alone cannot sustain agricultural growth in Nigeria. It was therefore recommended that specialized development agencies should be set up with the aim of implementing and evaluating government policies on foreign external debt and domestic private investment.

Suggested Citation

  • Ukpe, Udeme Henrietta & Djomo, Choumbou Raoul Fani & Filli, Fave Bulus & Osayi,Chinwe Prisca, 2020. "Will Public External Debt And Private Investment Sustain Agricultural Growth In Nigeria? A Monte Carlo Simulation Approach," Noble International Journal of Economics and Financial Research, Noble Academic Publsiher, vol. 5(2), pages 24-31, February.
    • Handle: RePEc:nap:nijefr:2020:p:24-31
    as

    Download full text from publisher

    File URL: https://www.napublisher.org/pdf-files/NIJEFR-5(2)-24-31.pdf
    Download Restriction: no
    File URL: https://www.napublisher.org/?ic=journal&journal=5&month=02-2020&issue=2&volume=5
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Robert M. Solow, 1956. "A Contribution to the Theory of Economic Growth," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 70(1), pages 65-94.
    2. Anonymous, 1956. "International Monetary Fund," International Organization, Cambridge University Press, vol. 10(2), pages 318-319, May.
    3. Anonymous, 1956. "International Monetary Fund," International Organization, Cambridge University Press, vol. 10(1), pages 203-206, February.
    4. Robert E. Lipsey & Robert C. Feenstra & Carl H. Hahn & George N. Hatsopoulos, 1999. "The Role of Foreign Direct Investment in International Capital Flows," NBER Chapters, in: International Capital Flows, pages 307-362, National Bureau of Economic Research, Inc.
    5. Abdelhak Senhadji, 2000. "Sources of Economic Growth: An Extensive Growth Accounting Exercise," IMF Staff Papers, Palgrave Macmillan, vol. 47(1), pages 1-6.
    6. Abiad (ADB), Abdul & Furceri (IMF and University of Palermo), Davide & Topalova (IMF), Petia, 2016. "The macroeconomic effects of public investment: Evidence from advanced economies," Journal of Macroeconomics, Elsevier, vol. 50(C), pages 224-240.
    7. Anonymous, 1956. "International Monetary Fund," International Organization, Cambridge University Press, vol. 10(3), pages 483-483, August.
    8. Anonymous, 1956. "International Monetary Fund," International Organization, Cambridge University Press, vol. 10(4), pages 636-639, November.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Eman Khorsheed, 2020. "The Impact of Women Parliamentarians on Economic Growth: Modelling & Statistical Analysis of Empirical Global Data," International Journal of Statistics and Probability, Canadian Center of Science and Education, vol. 9(3), pages 1-23, May.
    2. Michael Michaely, 1971. "An Over-all View of Policy Patterns," NBER Chapters, in: The Responsiveness of Demand Policies to Balance of Payments: Postwar Patterns, pages 30-70, National Bureau of Economic Research, Inc.
    3. Kristin Forbes & Ida Hjortsoe & Tsvetelina Nenova, 2017. "Current Account Deficits During Heightened Risk: Menacing or Mitigating?," Economic Journal, Royal Economic Society, vol. 0(601), pages 571-623, May.
    4. Kathryn M.E. Dominguez, 1993. "The Role of International Organizations in the Bretton Woods System," NBER Chapters, in: A Retrospective on the Bretton Woods System: Lessons for International Monetary Reform, pages 357-404, National Bureau of Economic Research, Inc.
    5. Javier G. Gómez-Pineda, 2016. "La flotación de 1957 y la estabilidad macroeconómica," Borradores de Economia 938, Banco de la Republica de Colombia.
    6. Kwabena Asomanin Anaman & Irene Susana Egyir, 2019. "Economic Shocks and the Growth of the Construction Industry in Ghana Over the 50-Year Period From 1968 to 2017," Research in World Economy, Research in World Economy, Sciedu Press, vol. 10(1), pages 1-16, June.
    7. Alexandre Rands Barros, 2005. "The Impact Of State Owned Banks On Interest Rates Spread," Anais do XXXIII Encontro Nacional de Economia [Proceedings of the 33rd Brazilian Economics Meeting] 041, ANPEC - Associação Nacional dos Centros de Pós-Graduação em Economia [Brazilian Association of Graduate Programs in Economics].
    8. Mr. Philip R. Gerson, 1998. "The Impact of Fiscal Policy Variables on Output Growth," IMF Working Papers 1998/001, International Monetary Fund.
    9. Luis Vildosola, 2004. "Modelo para valorar la atribución de Sustentabilidad," GE, Growth, Math methods 0401001, University Library of Munich, Germany.
    10. Ashoka Mody & Diego Saravia, 2009. "From Crisis to IMF-Supported Program: Does Democracy Impede the Speed Required by Financial Markets?," Working Papers Central Bank of Chile 513, Central Bank of Chile.
    11. Fitawek, Wegayehu, 2016. "The Effect Of Export Tax On The Competitiveness Of Ethiopia’S Leather Industry," Research Theses 265673, Collaborative Masters Program in Agricultural and Applied Economics.
    12. Ella Kavanagh, 2018. "Evolving Central Bank thinking: the Irish Central Bank, 1943-69," Working Papers 18022, Economic History Society.
    13. Mr. James M. Boughton, 2006. "American in the Shadows: Harry Dexter White and the Design of the International Monetary Fund," IMF Working Papers 2006/006, International Monetary Fund.
    14. David James Gill, 2015. "Rating the UK: the British government's sovereign credit ratings, 1976–8," Economic History Review, Economic History Society, vol. 68(3), pages 1016-1037, August.
    15. Mr. James M. Boughton, 2004. "The IMF and the force of History: Ten Events and Ten Ideas that Have Shaped the Institution," IMF Working Papers 2004/075, International Monetary Fund.
    16. Javier G. Gómez-Pineda, 2016. "Inflación de costos: las devaluaciones de los años cincuenta y el brote populista de 1963," Borradores de Economia 924, Banco de la Republica de Colombia.
    17. Mark Horridge & Elizabeth L. Roos, 2021. "Effect of Gas Subsidies In Indonesia," Centre of Policy Studies/IMPACT Centre Working Papers g-317, Victoria University, Centre of Policy Studies/IMPACT Centre.
    18. Maurice Obstfeld, 2009. "International Finance and Growth in Developing Countries: What Have We Learned?," NBER Working Papers 14691, National Bureau of Economic Research, Inc.
    19. Elsadig Musa Ahmed, 2008. "Foreign Direct Investment Intensity Effects On Tfp Intensity Of Asean 5 Plus 2," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 33(2), pages 155-166, December.
    20. repec:aer:wpaper:193 is not listed on IDEAS
    21. Christopher Bajada, 2002. "Estimating The Uses Of Currency In Australia," Economic Papers, The Economic Society of Australia, vol. 21(3), pages 14-30, September.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nap:nijefr:2020:p:24-31. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Managing Editor (email available below). General contact details of provider: https://www.napublisher.org/?ic=journal&journal=5&info=aims .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.