Agricultural Policies & Economic Growth in Nigeria

 

 

 

 

 

          

                                             ABSTRACT

This study assesses the impact of agricultural policies and development on economic growth in Nigeria. The data used in this study was collected from secondary data which covers about 33 years. Unit root, ordinary least square and co-integration estimating technique of data analysis was used in evaluating the secondary data. GDP was used as a proxy to economic growth, while interest rate, and government re-current and capital expenditure on agriculture were used as indicators of agricultural policies. From the findings; Re-current expenditure on agriculture and GDP are positively related, government capital expenditure on agriculture and interest rate and GDP was negatively related. It was found that a negative relationship exist between agricultural policies and the economic growth in Nigeria. The findings also revealed that the sector still encounter some problems like poor formulation and implementation of policies. Therefore, the study recommends that it is imperative for the country to develop its agricultural sector through sufficient government spending in order to set-up its economic growth. It emphasizes the need to enlighten farmers, improve and provide infrastructures, accord a priority to the sector in budget allocation, enthrone adequate and appropriate extension services, among other measures laid by the government.

               

                                                TABLE OF CONTENTS

CHAPTER 1: INTRODUCTION

CHAPTER 2: LITERATURE AND THEORETICAL REVIEW 

2.0       Introduction……………………………………………………………………………8

2.1​Conceptual Framework………………………………………………………………..9

2.1.1​Agriculture and Economic Growth…………………………………………………..10

2.1.2​Agricultural Policies and Programmes in Nigeria……………………………………14

2.1.3​Structural Adjustment Program………………………………………………………16

2.1.4​The National Agricultural Policy…………………………………………………….19

2.1.5​National Economic and Empowerment Development Strategy……………………...19

2.1.6​Challenges of Agricultural Policies and Programmes in Nigeria…………………….20

2.2​Theoretical Review…………………………………………………………………...22

2.3​Empirical Studies…………………………………………………………………….23

 

CHAPTER 3: RESEARCH METHOLOGY

3.0​Introduction…………………………………………………………………………..28

3.1​Sources and Methods of Data Collection…………………………………………….28

3.2​Theoretical Framework ……………………………………………………………...28

3.3​Model Specification………………………………………………………………….31

3.3.1​Definition of Variables……………………………………………………………….32

3.3.2​ Apriori Expectations………………………………………………………………...33

3.4​Estimation Technique………………………………………………………………..34

 

CHAPTER4: DATA PRESENTATION AND ANALYSIS

4.0​Introduction…………………………………………………………………………..38

4.1​Descriptive Statistics…………………………………………………………………38

4.2​Stationarity Test……………………………………………………………………...40

4.2.1​Unit RootTest……………………………………………………………………..…41

4.3​Co-integration test………………………………………………………………...….42

4.4​Ordinary Least Square ……………………………………………………………….44

4.4.1​Regression Result…………………………………………………………………….45

4.5​Interpretation of Results……………………………………………………………...46

4.6​Summary of AprioriExpectations……………………………………………………47

4.7​Discussion of Findings……………………………………………………………….48

4.7.1​ Agricultural Policies from 1981-2014…………………………………………….…48

4.7.2​Trend and Pattern of Agricultural Development in Nigeria………………………….49

4.7.3​Effect of Agricultural Performance on Economic Growth…………………………..50

CHAPTER 5: SUMMARY, CONCLUSION ANDRECOMMENDATION

5.0​Introduction…………………………………………………………………………..52

5.1​Summary……………………………………………………………………….….....52

5.2​Conclusion…………………………………………………………………………....53

5.3 ​Recommendation……………………………………………………………………..54

REFERENCES……………………………………………………………………………….56

APPENDIX…………………………………………………………………………………..58

 

 

 

LIST OF TABLES AND FIGURES

Figure 1: Trend of Agricultural Development in Nigeria

Table 4.2.1: Augumented Dickey-Fuller Test

Table 4.3: Co-integration Table

Table 4.4.1: Regression Result 

Table 4.6: Summary of Apriori Expectations

ix