Effect of Budget Deficit Financing on the Development of the Nigerian Economy: 1980-2008

The main objective of this study was to investigate the influence of government budget deficit financing on economic development in Nigeria. Six research hypotheses were formulated to evaluate the relationship between government budget deficit financing, unemployment, inflation, BOP, government financing, and government revenue as the independent variables and GDP as the dependent variable. Secondary data was collected from CBN statistical bulletin. Ordinary least square regression technique was used to estimate equations formulated for the study. Results of the findings revealed that: there exists a significant relationship between budget deficit financing and economic growth in Nigeria. An inverse relationship existed between GDP and unemployment in Nigeria, a direct relationship was observed between GDP and inflation in Nigeria. The findings also show that there existed a significant relationship between GDP and government expenditure and an inverse relationship was observed between government revenue and GDP. It was recommended that government should be accountable to the electorates by forestalling transparency in the preparation & implementation of budgets. Thus, a system of sound internal control mechanism should be put in place to facilitate early detection of fraud in the budgetary process. Those indicted in the process should equally be brought to book promptly by the law enforcement agencies like the Economic & Financial Crime Commission (EFCC), Independent Corrupt Practices Commission (ICPC), the police, etc. The significant figure showing deficit shows that most times, fiscal authorities’ under-estimate the cost of items in the budget. Excessive deficit spending is occasioned by inappropriate planning and evaluation caused by the inexperience of economic planners. Also, government attitude of lack of transparency could be a major cause. Hence, the government should exhibit a high degree of transparency in governance so as to bring to the barest minimum deficit financing. Keywords: Balance of payment, Government budget deficit financing, Government expenditure, Government                      tax revenue, Gross domestic product, Inflation, Unemploymen

Determinants of Domestic Investment in Nigeria: An Autoregressive Distributive Lag Approach

This study examined the determinants of domestic investment in Nigeria for the period 1983 to 2015. The study specifically examined the effect of government expenditure, interest rate spread, growth rate of the economy, inflation rate, exchange rate and credit to the private sector on domestic investment in Nigeria. The ex-post facto research design was adopted to collect the required data. The data were analysed using the ARDL technique. The result of the analyses showed that government expenditure, interest rate spread, growth rate of the economy, inflation rate, exchange rate and credit to the private sector has no long run causality with domestic investment in Nigeria. Also, only government expenditure has short run causality with domestic investment in Nigeria. Based on these findings, the study recommends government expenditure should be focused on viable long term capital projects such as infrastructure and social amenities to sustain its short term causality and establish long run causality on domestic investment. Also, the regulatory bodies of the Nigerian financial sector should bridge the wide spread between deposit and lending rates to reduce the cost of borrowing in a way to promote domestic investment. Keywords: Exchange rate, Investment, Inflation, Government expenditure, Credit to the private sector, Interest rate spread, Economic growth rat

Influence of Age on Perception of Midwives and Their Performance in Objective Structured Clincial Examination (Osce) in Nigeria

Objective structured clinical examination (OSCE) is a means of assessing clinical competence based on objective testing through direct observation. OSCE, as a method of evaluation, was introduced in 1990 by the Nursing & Midwifery council of Nigeria (N&MCN). The aim of this quantitative study is to ascertain if age has any influence on midwives’ perception of OSCE and their performance in the examination. Ex-post facto design was adopted for this study. That is because the independent variable was studied in retrospect in order to establish possible relationship with the dependent variables. We were concerned with ascertaining and establishing the status quo and facts at the time of the research and used such facts to analyze data, interpret and extrapolate and also draw inferences. Eight institutions of midwifery education in Akwa Ibom and Cross River states of Nigeria were used for this study. 502 out of 532 midwives who graduated from the institutions between 2004 to 2006 participated in the study. Two validated instruments were used for data collection namely: OSCE stake holder’s questionnaire and achievement test on OSCE. The reliability index for perception stood at (r) 0.60 while the index performance stood at (r) 0.66.Data were analyzed using linear regression analysis and one way analysis of variance. Findings show that older midwives had significant higher perception of OSCE than the younger midwives. Conclusion: age has significant influence on midwives’ perception of OSCE but perception has no influence on their performance in OSCE

EFFECT OF SELECTED MACROECONOMIC VARIABLES ON MONEY SUPPLY IN NIGERIA

With the large observed discrepancies between money supply target and outcome overtime in Nigeria despite the assertion that money supply growth is independently and exogenously determined by the central bank, this study principally centred on the effect of selected macroeconomic variables on money supply in Nigeria, using annual time series data from 1970-2011. The main objectives of the study were to ascertain how changes in selected macroeconomic variables affect money supply growth as well as testing the money supply endogeneity hypothesis in Nigeria. To achieve the above objectives, the study employs the Augmented Dickey Fuller (ADF) and Philip-perron (PP) unit root test, cointegration test, Granger causality test and Error correction mechanism (ECM) in testing and in the estimation of the relevant equations. The results of the cointegration tests showed that there is a long-run relationship among the macroeconomic variables in the model. The results of the short-run and the long-run estimates revealed that income (GDP), credit to the private sector (CPS), net foreign asset (NFA), government expenditure (GEXP), consumer price index (CPI), interest rate (IR) and exchange rate (EXCH), all have both short-run and long-run significant effect on money supply. Furthermore, the results of the granger causality test showed that money supply is endogenously determined in Nigeria; thereby supporting the post-Keynesian postulation that money supply is endogenous. This indicates that macroeconomic variables had greater influence in determining the rate of money growth in Nigeria. From the findings, it was recommended that in order to achieve a sustainable level of money supply growth that will be consistent with the projected growth rate of the economy, more credit should be allocated to the core private sector of the economy. To achieve this, there is need for the monetary authorities to make credit, cheaper via reduction in lending rate. It is also recommended that monetary authorities should incorporate proactive and strategic analysis of the feedback effect of movement of key macroeconomic variables on money supply growth in it formulation of monetary policy and money supply targeting in Nigeria. JEL: E51, E41, E62  Article visualizations