An Interactive Effect of Human Capital Variables and Economic Growth in Nigeria

The study examines the interactive effects of the relationship between human capital investment components and economic growth in Nigeria for the period of 1986 – 2014. Although, various studies have focused on the relationship between human capital and economic growth all over the world but there is still a missing gap on the joint influence of human capital investment components on economic growth particularly in Nigeria. The study employs secondary annual data on education expenditure; health expenditure; real gross domestic product and gross capital formation obtain from the Central Bank Statistical bulletin, 2014 and analyze using Fully Modified Ordinary Least Squares (FMOLS) technique. The results of the study show that there is positive and significant relationship between the interactive effects of human capital components and growth in Nigeria. The study educates the government and policy makers on the importance of policy mix in terms of how human capital development enhances growth in Nigeria than embarking on the use of one policy instrument. The paper therefore contributes to knowledge by providing information on the interactive effects of education and health on growth in Nigeria

Uncertainty of Output Gap and Monetary policy Making in Nigeria

A major challenge of monetary policy is the attainment of sustainable output level but in setting the optimal monetary policy rate information of the output gap but how uncertainty of the gap affects the path of monetary policy rate is crucial for policy use. The investigation of this phenomenon in Nigeria was mostly concerned with how monetary policy affects output. In view of the dearth of studies on uncertainty and monetary policy in Nigeria, this paper investigates the effect of output gap uncertainty on monetary policy rate in Nigeria-1991Q1-2014Q4. The paper relies on the New Keynesian economics and employs the GARCH-GMM econometric technique for analyses. Evidence from the study shows that real output gap and inflation uncertainty are statistically significant with estimated values of        respectively. The coefficient of the real output variable is significant with a coefficient estimate of    while we found no strong evidence to support the effect of inflation on monetary policy rate.  The inference from our findings is that monetary policy is less responsive to uncertainty of real output gap. We therefore recommend that the Central Bank of Nigeria should consider uncertainty of both inflation and output variables when setting the policy rate.&nbsp

An Interactive Effect of Human Capital Variables and Economic Growth in Nigeria

The study examines the interactive effects of the relationship between human capital investment components and economic growth in Nigeria for the period of 1986 – 2014. Although, various studies have focused on the relationship between human capital and economic growth all over the world but there is still a missing gap on the joint influence of human capital investment components on economic growth particularly in Nigeria. The study employs secondary annual data on education expenditure; health expenditure; real gross domestic product and gross capital formation obtain from the Central Bank Statistical bulletin, 2014 and analyze using Fully Modified Ordinary Least Squares (FMOLS) technique. The results of the study show that there is positive and significant relationship between the interactive effects of human capital components and growth in Nigeria. The study educates the government and policy makers on the importance of policy mix in terms of how human capital development enhances growth in Nigeria than embarking on the use of one policy instrument. The paper therefore contributes to knowledge by providing information on the interactive effects of education and health on growth in Nigeria

Uncertainty of Output Gap and Monetary Policy-Making in Nigeria

This paper investigates the effect of output gap uncertainty on monetary policy rate in Nigeria-1991Q1-2014Q4. A major challenge of monetary policy is the attainment of sustainable output level but in setting the optimal monetary policy rate information about output gap and how uncertainty of the gap affects the path of the monetary policy rate is crucial for policy use. Empirical evidence on this phenomenon in Nigeria has been concerned with how monetary policy affects output while evidence on the response of monetary policy to uncertainty of real output is not indepth. Analythical approach in this paper adopts the Generalised Method of Moments econometric technique