Skip to content
Research Article Open access CC BY 4.0

Effects of Public Expenditure and Financial Development on Economic Growth: Empirical Evidence from Nigeria

Abdulkabir N. Adedeji, Jiddah, M. Ajayi, Maryamu Thomas Tizhe

Journal of Economics, Management and Trade · pp. 1–14 · Published 13 Feb 2019

10.9734/JEMT/2019/46228

Abstract

The relationship between economic growth, government expenditure and financial development has widely explored but the latter has separately been modelled. Modelling the trio in a single linear model may generate new information. This study examines the effects of disaggregated public expenditure and financial development indicators on economic growth, focusing on Nigeria. Time series data, spanned between 1981 and 2016, were collected and analyzed using ordinary squares technique. We find that specification of the expenditure-growth model with financial development is valid. All the disaggregated financial development and public expenditure indicators have significant effects on economic growth, with positive regression signs except two -financial private sector credit and recurrent expenditure–directionally different. The effect of the former is more dominant, signaling important policy implication considering economic growth of Nigeria.

Government expenditure financial development economic growth macroeconomic.

Cited by 1

Article metrics

Real usage data collected on this platform.

0

Page views

0

PDF downloads

0

Outbound clicks

1

Citations

Views by country

Approximate, from request IP at view time — not citizenship or institution. Countries with fewer than 5 views are grouped as "Other".

No views recorded yet.

Traffic sources

Referring site, by host.

No traffic recorded yet.

Views and downloads exclude known bots/crawlers. Citations combines this platform's own DOI-resolved index with each external source's own reported total — see Cited by above for individually listed citing works. Last refreshed 0 seconds ago.