Joseph Bidemi Obayori, Sylvester Udeorah, Elizabeth Lizzy Obayori
|IMPACT OF HUMAN CAPITAL INVESTMENT ON ECONOMIC GROWTH IN NIGERIA|
|Joseph Bidemi Obayori, Sylvester Udeorah, Elizabeth Lizzy Obayori|
|Abstract. The paper examined the impact of human capital investment on economic growth in Nigeria, using a time series data spanning from 1980 to 2012. The study was induced by the insufficient budgetary allocations to the education and health sector that tends to prompt deteriorate academic standards as well as decay in the health care service. Time series data were collected from CBN bulletin from 1980-2012 on variables such as GDP, total government expenditures on education and health, Unemployment rate as well as FDI. The co-integration/ECM techniques were used for the analysis. The major findings are; the ECM results show that human capital variables (total government expenditures on education and health) are statistically significant. Meaning thathuman capital investment impact on economic growth. Also, the check variables (FDI and unemployment rate) have the apriori expectation. Also, the coefficient of ECM has the appropriate sign and significant. Meaning that the short run dynamics adjust to long run equilibrium relationship. Based on these findings, the study recommend amongst others that government should provide appropriate policies that will increase and sustain manpower development and enough funds should be allocated to education for proper utilization of potential productive and social benefits. Government should channel more funds to the health sector in order to improve health standard and hence life expectancy of the citizen since a healthy population and work force is a major ingredient for rapid and sustainable productivity and growth.
|Key words: Human Capital, Manpower Development, Education Expenditure, Health Expenditure|
[1.] Abbas, Q. (2001) Endogenous Growth and Human Capital Comparative study of Pakistan and Sri Lanka. The Pakistan Development Review,40 (4), 987-1007.
|Information about authors:|
Joseph Bidemi Obayori, Department of Economics, Nnamdi Azikiwe University Awka, Nigeria Email:firstname.lastname@example.orgMobile No: +2348037655520
Sylvester Udeorah,Department of Economics, University of Port Harcourt, Nigeria. Mobile No: +23436753501
Elizabeth Lizzy Obayori, Department of Agricultural and Applied Economics/Extension, Rivers State University of Science and Technology, Port Harcourt, Nigeria. Mobile No: +2348037689938
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