Infrastructure Investment as a Panacea for Sustainable Economic Growth in Nigeria: A Granger Causality Tests Analysis

Main Article Content

Cyprian Clement Abur

Abstract

This paper employed Granger causality tests amid infrastructure spending, economic growth, and employment in Nigeria for the period 1960-2017 using vector autoregression (VAR) model. The result showed a strong causality between infrastructure investment and economic growth in Nigeria. Findings of the study shows a strong underlying relationship between e infrastructure investment and job creation. Economic growth seems to be the key drivers of government jobs and that the private sector jobs drives growth, however, public jobs have not been able to translates into additional jobs in the economy. The bounds test results specify the presence of long-run equilibrium relationship between infrastructure investment, economic growth, job creation and output thereby providing a theoretical underpinning for the empirical results.

Keywords:
Infrastructure spending, economic growth, bounds test, public and private sector employment.

Article Details

How to Cite
Clement Abur, C. (2019). Infrastructure Investment as a Panacea for Sustainable Economic Growth in Nigeria: A Granger Causality Tests Analysis. Journal of Economics, Management and Trade, 25(2), 1-8. https://doi.org/10.9734/jemt/2019/v25i230193
Section
Original Research Article

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