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Human Capital Development and Economic Growth: The Nigeria Experience

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  • God’stime Osekhebhen Eigbiremolen
  • Uchechi Shirley Anaduaka

Abstract

This study employs the augmented Solow human-capital-growth model to investigate the impact of human capital development on national output, a proxy for economic growth, using quarterly time-series data from 1999-2012. Empirical results show that human capita development, in line with theory, exhibits significant positive impact on output level. This implies that human capital development is indispensable in the achievement of sustainable economic growth in Nigeria, as there is an increase in economic performance for every increase in human capital development. The results further reveal a relatively inelastic relationship between human capital development and output level. Going forward, government and policy makers should make concerted and sincere efforts in building and developing human capacity through adequate educational funding across all levels. This remains the major way of attaining sustainable economic growth and development in any economy.

Suggested Citation

  • God’stime Osekhebhen Eigbiremolen & Uchechi Shirley Anaduaka, 2014. "Human Capital Development and Economic Growth: The Nigeria Experience," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 4(4), pages 25-35, April.
    • Handle: RePEc:hur:ijarbs:v:4:y:2014:i:4:p:25-35
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    12. Olawunmi Omitogun & Adenike M. Osoba & Sheriffdeen Adewale Tella, 2016. "An Interactive Effect of Human Capital Variables and Economic Growth in Nigeria," Acta Universitatis Danubius. OEconomica, Danubius University of Galati, issue 12(5), pages 108-119, OCTOBER.
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    14. Maku Olukayode E. & Ajike Emmanuel O. & Chinedu Solomon, 2019. "Human Capital Development and Macroeconomic Performance in Nigeria: An Autoregressive Distributed Lag (ARDL) Approach," Valahian Journal of Economic Studies, Sciendo, vol. 10(1), pages 51-64, July.
    15. Adeyemi A. Ogundipe & Olasinde Mobolaji & Oluwatomisin M. Ogundipe, 2021. "An Analysis of the Effect of Human Capital Investment on Economic Development in Nigeria: Does a New Indicator Alter Existing Evidence?," Asian Economic and Financial Review, Asian Economic and Social Society, vol. 11(1), pages 17-29, January.
    16. Godwin Emmanuel Oyedokun & Ayodeji Babatope Adeyemi, 2018. "Human Capital Formation and Economic Growth in Nigeria," International Journal of Finance & Banking Studies, Center for the Strategic Studies in Business and Finance, vol. 7(3), pages 44-65, July.
    17. UDUH, Dominic Marior & AZU, Benedict Chioma, 2017. "Human Capital Development and Economic Growth in Nigeria; The Role of Nomadic Education," International Journal of Asian Social Science, Asian Economic and Social Society, vol. 7(11), pages 931-941, November.
    18. Chinwuba Okafor & Ibrahim Shaibu, 2016. "Modelling Economic Growth Function in Nigeria: An ARDL Approach," Asian Journal of Economics and Empirical Research, Asian Online Journal Publishing Group, vol. 3(1), pages 84-93.
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