ABSTRACT
This research work is on the “Impact of Industrial Output on the Economy of Nigeria” between the period of thirty years (30) covered from 1980-2010. Impact of industrial output on the economy of Nigeria is a continuous discussion to every economy especially developing economics which will give rise to economic growth and development of a nation. Secondary data was used on PC Give 8.00 version package to regress the model with GDP as the dependent variable, and industrial output, savings, net foreign capital flow, and inflation as independent variables. The model explain that the influence of industrial output on economic growth is not statistically significant, though the sign obtained from its à priori expectation is positively related to GDP but does not hold strong enough. Savings has a positive relationship and also significant impact on the economy. Inflation has a negative relationship while net foreign capital flow is positively significant on the impact of economic growth. R-squared shows a 76% increase on the GDP. Based on the findings, it is therefore recommended that some policies is to be made in ways to improve the establishment of industries especially the manufacturing industries to encourage industrialisation of the Nigerian economy so as to contribute to the strengthening of economic growth in the nation’s economy. Tax incentives through subsidies and government expenditure relate to increase in output and positive impact on economic growth. Increase in savings will make money available for the economy through high interest rate and income adjustments from the monetary policy.
TABLE OF CONTENT
Title page - - - - - - - - - -i
Approval page - - - - - - - - - -ii
Dedication - - - - - - - - - -iii
Acknowledgement - - - - - - - - -iv
Abstract - - - - - - - - - - -vi
Table of content - - - - - - - - -vii
CHAPTER ONE: INTRODUCTION
1.1 Background of study - - - - - - - -1
1.2 Statement of research problem - - - - - - -3
1.3 Objective of the study - - - - - - - -4
1.4 Statement of research hypothesis - - - - - -4
1.5 Significance of the study - - - - - - -5
1.6 Scope and limitation of the study - - - - - - 5
1.7 Methodology and sources of data - - - - - -5
1.8 Limitation of the study- - - - - - - - -6
CHAPTER TWO: LITERATURE REVIEW
2.1 Theoretical literature - - - - - - - -7
2.1.1 Sources of industrial growth and industrial Policies in Nigeria -- - - - - - - - - -10
2.1.2 Characteristics of Nigeria industries - - - - -12
2.1.3 Manufacturing in Nigeria- - - - - - -13
2.1.4 The era of manufacturing in Nigeria - - - - -14
2.1.5 Structure and performance of Nigerian Manufacturing Sector - - - - - - - - - -16
2.1.6 The roles of manufacturing industries in then Development
Of the Nigerian economy - - - - - - -21
2.1.7 Problems of industrial development in Nigeria - - - -25
2.2. Empirical review - - - - - - - - -28
CHAPTER THREE: RESEARCH METHODOLOGY
3.0 Methodology - - - - - - - - -33
3.1 Model specification - - - - - - - -33
3.2 Model Estimation /procedure - - - - - - -35
3.3 Sources of Data- - - - - - - - -37
CHAPTER FOUR: PRESENTATION AND ANALYSIS OF
REGRESSION RESULT.
4.1 Presentation of result and analysis- - - - - -38
4.1.2 Interpretation of result - - - - - - - -39
4.2 Evaluation of result - - - - - - - -40
4.2.1 Evaluation based on economic a priori expectation- - -40
4.2.2 Evaluation based on statistical criteria - - - - -41
4.2.2.1 Statistical test of significant of parameter estimated (T-statistics) - - - - - - - - -42
4.2.2.2 Adequacy of regression equation (F-Test) - - - -43
4.2.2.3 Goodness of fit test (R2) - - - - - - -44
4.2.3 Evaluation based on economic criteria - - - - -45
4.2.3.1 Test for auto-correlation - - - - - - -45
4.2.3.2 Test for Heteroscedasticity - - - - - - -46
4.2.3.3 Test for normality - - - - - - - -48
4.2.3.4 Test for multicollinearity - - - - - - -48
4.3 Evaluation research hypothesis - - - - - -50
CHAPTER FIVE: SUMMARY OF FINDINGS, POLICIES
RECOMMENDATION AND CONCLUSION.
5.1 Summary of findings - - - - - - - -51
5.2 Policy recommendation - - - - - - - -52
5.3 Conclusion - - - - - - - - - -53
Bibliography - - - - - - - - -54
Journal - - -