IDEAS home Printed from https://ideas.repec.org/a/sae/jouinf/v9y2017i1p36-48.html
   My bibliography  Save this article

An Empirical Re-examination

Author

Listed:
  • Onyinye I. Anthony-Orji
  • Anthony Orji
  • Jonathan E. Ogbuabor
  • Emmanuel Nwosu

Abstract

The current decline in global oil prices and the attendant economic distortions it has caused in many oil-dependent economies, such as Nigeria, have become a cause of concern to researchers and economic managers alike. This research work, therefore, investigates the impact of non-oil export (NOIL) on capital formation and economic growth in Nigeria. It adopts a classical linear macroeconomic model using aggregate data time series from 1980 to 2013. Empirical results from the estimated model show that NOIL has a positive impact on capital formation and economic growth in Nigeria, respectively. However, the level of statistical significance differs between capital formation and economic growth. The study, therefore, recommends that there is a need for diversification of the economy as this will go a long way in boosting the growth of the Nigerian economy. Furthermore, the government should create an enabling environment that will ensure the survival and functioning of the ailing industries in order to diversify the economy. Finally, the problem of infrastructural deficits (water supply, transport system, telecommunication and energy) should be tackled by massive public expenditure and private investment, as this will enhance productivity in the non-oil sectors.

Suggested Citation

  • Onyinye I. Anthony-Orji & Anthony Orji & Jonathan E. Ogbuabor & Emmanuel Nwosu, 2017. "An Empirical Re-examination," Journal of Infrastructure Development, India Development Foundation, vol. 9(1), pages 36-48, June.
    • Handle: RePEc:sae:jouinf:v:9:y:2017:i:1:p:36-48
    DOI: 10.1177/0974930617706809
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/0974930617706809
    Download Restriction: no
    File URL: https://libkey.io/10.1177/0974930617706809?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. -, 2006. "United States economic outlook: quarterly developments," Oficina de la CEPAL en Washington (Estudios e Investigaciones) 28852, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    2. Mohsin S. Khan & Axel Schimmelpfennig, 2006. "Inflation in Pakistan: Money or Wheat?," SBP Research Bulletin, State Bank of Pakistan, Research Department, vol. 2, pages 213-234..
    3. Anthony Orji & Peter N. Mba, 2010. "Testing for Simultaneity," Journal of Infrastructure Development, India Development Foundation, vol. 2(2), pages 105-120, December.
    4. ., 2006. "Dynamics of Product Diffusion and Economic Development," Chapters, in: Innovation Dynamism and Economic Growth, chapter 2, Edward Elgar Publishing.
    5. Wayne Nafziger, 2006. "From Seers to Sen: The Meaning of Economic Development," WIDER Working Paper Series RP2006-20, World Institute for Development Economic Research (UNU-WIDER).
    6. anonymous, 2006. "The future of economic development in rural America," Profitwise, Federal Reserve Bank of Chicago, issue Jul.
    7. Ms. Alexandra Tabova & Ms. Carol L Baker, 2011. "Determinants of Non-oil Growth in the CFA-Zone Oil Producing Countries: How do they Differ?," IMF Working Papers 2011/233, International Monetary Fund.
    8. ., 2006. "Islam, Governance and Economic Development," Chapters, in: Middle East Oil Exporters, chapter 3, Edward Elgar Publishing.
    9. ., 2006. "Human Development and Economic Growth," Chapters, in: David Alexander Clark (ed.), The Elgar Companion to Development Studies, chapter 51, Edward Elgar Publishing.
    10. ., 2006. "Stock Market and Economic Development," Chapters, in: David Alexander Clark (ed.), The Elgar Companion to Development Studies, chapter 117, Edward Elgar Publishing.
    11. Mohsin S. Khan & Axel Schimmelpfennig, 2006. "Inflation in Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 45(2), pages 185-202.
    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. Moonsung Kang, 2007. "Opportunities and Challenges to Vietnamese Accession to the WTO," International Area Studies Review, Center for International Area Studies, Hankuk University of Foreign Studies, vol. 10(1), pages 73-90, March.
    2. Bowbrick, Peter, 2022. "Entitlement and food availability decline (FAD) – the use of fraud and abuse in famine economics," MPRA Paper 115133, University Library of Munich, Germany.
    3. Franklin Obeng-Odoom, 2018. "The contribution of J.R. Commons to migration analysis," Evolutionary and Institutional Economics Review, Springer, vol. 15(1), pages 73-88, June.
    4. Sumera Arshad & Amajd Ali, 2016. "Trade-off between Inflation, Interest and Unemployment Rate of Pakistan: Revisited," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 5(4), pages 193-209, December.
    5. Khan, Safdar Ullah & Saqib, Omar Farooq, 2011. "Political instability and inflation in Pakistan," Journal of Asian Economics, Elsevier, vol. 22(6), pages 540-549.
    6. S. Adnan & H.A.S. BUKHARI & Safdar Ullah KHAN, 2008. "Does Volatility In Government Borrowing Leads To Higher Inflation? Evidence From Pakistan," Journal of Applied Economic Sciences, Spiru Haret University, Faculty of Financial Management and Accounting Craiova, vol. 3(3(5)_Fall), pages 187-202.
    7. Muhammad Shahbaz & Amatul Razzaq Chaudhary & Syed Jawad Hussain Shahzad, 2020. "Is energy consumption sensitive to foreign capital inflows and currency devaluation in Pakistan?," Applied Economics, Taylor & Francis Journals, vol. 50(52), pages 5641-5658, June.
    8. Saira Tufail & Sadia Batool, 2013. "An Analysis of the Relationship between Inflation and Gold Prices: Evidence from Pakistan," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 18(2), pages 1-35, July-Dec.
    9. Hesham Alogeel & Maher Hasan, 2008. "Understanding the Inflationary Process in the GCC Region: The Case of Saudi Arabia and Kuwait," IMF Working Papers 2008/193, International Monetary Fund.
    10. Kreiter, Zebulun & Paul, Tapas Kumar, 2010. "Deficit Financing and Inflation in Bangladesh: A Vector Autoregressive Analysis," MPRA Paper 45981, University Library of Munich, Germany.
    11. Abedullah, 2022. "Does Fixing High Minimum Support Price (MSP) Of Wheat A Source Of Inflation Or High Prices Itself A Victim Of Inflation?," PIDE Knowledge Brief 2022:65, Pakistan Institute of Development Economics.
    12. Mahmood-ul-Hasan Khan, 2008. "Short Run Effects of an Unanticipated Change in Monetary Policy: Interpreting Macroeconomic Dynamics in Pakistan," SBP Research Bulletin, State Bank of Pakistan, Research Department, vol. 4, pages 1-30.
    13. Khalid Mushtaq & Abdul Ghafoor & Abedullah & Farhan Ahmad, 2011. "Impact of Monetary and Macroeconomic Factors on Wheat Prices in Pakistan: Implications for Food Security," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 16(1), pages 95-110, Jan-Jun.
    14. Magda Kandil & Hanan Morsy, 2011. "Determinants of Inflation in GCC," Middle East Development Journal, Taylor & Francis Journals, vol. 3(2), pages 141-158, January.
    15. Ali YEŞİLDAL, 2020. "Yerel Yönetimlerin Yoksullukla Mücadeledeki Yeri: Küresel Düzeyden Yerel Düzeye Yeni Yönelimler," Journal of Social Policy Conferences, Istanbul University, Faculty of Economics, vol. 0(78), pages 455-481, June.
    16. Nadia Tahir, 2013. "Forward-Looking and Backward-Looking Taylor Rules: Evidence from Pakistan," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 18(2), pages 121-145, July-Dec.
    17. Loening, Josef L. & Durevall, Dick & Ayalew Birru, Yohannes, 2009. "Inflation Dynamics and Food Prices in an Agricultural Economy: The Case of Ethiopia," Working Papers in Economics 347, University of Gothenburg, Department of Economics.
    18. Dipak Dasgupta & R N Dubey & R Satish, 2011. "Domestic Wheat Price Formation and Food Inflation in India: International Prices, Domestic Drivers (Stocks, Weather, Public Policy), and the Efficacy of Public Policy Interventions in Wheat Markets," Working Papers id:4291, eSocialSciences.
    19. Dasgupta, Dipak & Dubey, R.N. & Sathish, R, 2011. "Domestic Wheat Price Formation and Food Inflation in India," MPRA Paper 31564, University Library of Munich, Germany.
    20. Khan, Rana Ejaz Ali & Gill, Abid Rashid, 2007. "Impact of Supply of Money on Food and General Price Indices: A Case of Pakistan," MPRA Paper 16293, University Library of Munich, Germany.

    More about this item

    Keywords

    Non-oil export; capital formation; gross capital investment; growth;
    All these keywords.

    JEL classification:

    • E22 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Investment; Capital; Intangible Capital; Capacity
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
    • H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures
    • O16 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance
    • O41 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models

    Statistics

    Access and download statistics

    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:sae:jouinf:v:9:y:2017:i:1:p:36-48. 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: SAGE Publications (email available below). General contact details of provider: http://www.idfresearch.org .

    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.