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Private Investment and Political Instability: Evidence from Nigeria

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Author Info
Busari, O.T. ()
Amaghionyeodiwe, L.A. ()

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Abstract

It is a widely held opinion that the resumption of growth in Africa will require, among other things, an increase in investment, which will have to come primarily from the private sector if growth is to be efficient and sustained. Using a simple neoclassical investment model, we examined the impact of political instability on private investment. The OLS estimates indicate that political instability does not have any significant direct impact on private investment. We recommend that a political framework that does not negatively affect aggregate spending will be favourable to private investment boom.

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File URL: http://www.usc.es/economet/reviews/ijaeqs423.pdf
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Publisher Info
Article provided by Euro-American Association of Economic Development in its journal International Journal of Applied Econometrics and Quantitative Studies .

Volume (Year): 4 (2007)
Issue (Month): 2 ()
Pages: 45-68
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Handle: RePEc:eaa:ijaeqs:v:4:y2007:i:2_3

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Find related papers by JEL classification:
E22 - Macroeconomics and Monetary Economics - - Macroeconomics: Consumption, Saving, Production, Employment, and Investment - - - Capital; Investment; Capacity
O40 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
O47 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

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This page was last updated on 2009-12-5.

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