IDEAS home Printed from https://ideas.repec.org/a/rbs/ijfbss/v10y2021i2p111-119.html
   My bibliography  Save this article

Manufacturing Output Growth and Employment in Nigeria

Author

Listed:
  • Adetunji Adeniyi

    (Tunji Adeniyi and Associates Limited, Lagos, Nigeria)

Abstract

The Manufacturing sector of the Nigerian economy can perform better in job creation, particularly during the period of economic expansion, which did not happen in the last period of economic growth between 1981 and 2014. Consequently, it is important to understand the real relationship between growth and job creation in the sector during the period. Therefore, this study investigated the employment intensity of gross value added growth in the sector during the period of growth, using Vector Error Correction Model (VECM) with a view to providing useful statistics to facilitate policies for the development of sectoral employment strategy during the next cycle of economic growth. Previous studies have either used descriptive statistics or less robust econometric models applied to aggregate data of shorter series and did not explore the inter-sectoral relationship effect. The estimated employment elasticity of gross value added in the sector was not significantat 95 per cent confidence level, and can, therefore, not be relied upon for pin-point policy. However, the inter-sectoral and inter-temporal relationships provided significant estimates, indicating that such relationships should be taken into account in designing and developing sectoral employment strategy for the manufacturing sector. There is future scope for the extension of research to cover periods of recession, as well, for example, post COVID-19.

Suggested Citation

  • Adetunji Adeniyi, 2021. "Manufacturing Output Growth and Employment in Nigeria," International Journal of Finance & Banking Studies, Center for the Strategic Studies in Business and Finance, vol. 10(2), pages 111-119, April.
    • Handle: RePEc:rbs:ijfbss:v:10:y:2021:i:2:p:111-119
    as

    Download full text from publisher

    File URL: https://www.ssbfnet.com/ojs/index.php/ijfbs/article/view/1274/941
    Download Restriction: no
    File URL: https://www.ssbfnet.com/ojs/index.php/ijfbs/article/view/1274
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Olu Ajakaiye & Afeikhena T. Jerome & David Nabena & Olufunke A. Alaba, 2015. "Understanding the relationship between growth and employment in Nigeria," WIDER Working Paper Series wp-2015-124, World Institute for Development Economic Research (UNU-WIDER).
    2. Njabulo Mkhize, 2016. "The Sectoral Employment Intensity of Growth in South Africa," Working Papers 631, Economic Research Southern Africa.
    3. Olu Ajakaiye & Afeikhena T. Jerome & David Nabena & Olufunke A. Alaba, 2015. "Understanding the relationship between growth and employment in Nigeria," WIDER Working Paper Series 124, World Institute for Development Economic Research (UNU-WIDER).
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Speranța PIRCIOG & Cristina LINCARU, 2016. "Job Generation Profile Evaluation For Romania Using Shapley Method," Romanian Economic Business Review, Romanian-American University, vol. 11(2), pages 66-75, June.
    2. Dukhabandhu Sahoo & Auro Kumar Sahoo & Jayanti Behera & Diptimayee Mishra & Phendulwa Zikhona Makunga, 2021. "Sources of output growth in the countries of the Common Monetary Area and provinces of South Africa," WIDER Working Paper Series wp-2021-31, World Institute for Development Economic Research (UNU-WIDER).
    3. Adetunji Adeniyi, 2021. "Factors Affecting Sectoral Employment in Nigeria during the Period of Growth (1981-2014)," International Journal of Learning and Development, Macrothink Institute, vol. 11(2), pages 6393-6393, June.
    4. Adetunji Adeniyi, 2021. "The Pattern of Employment in Nigeria between 1981 and 2014," International Journal of Learning and Development, Macrothink Institute, vol. 11(2), pages 4662-4662, June.
    5. Mbaye Ahmadou Aly & Gueye Fatou, 2018. "Working Paper 297 - Labor Markets and Jobs in West Africa," Working Paper Series 2424, African Development Bank.
    6. Favour O. Olarewaju & Oluwafadekemi S. Areo & Adeyemi A. Ogundipe & Toun Y. Ogunbiyi & Abiola J. Asaleye, 2020. "Capital and Labour Productivity: A Comparative Study of Nigeria and South Africa," Asian Economic and Financial Review, Asian Economic and Social Society, vol. 10(12), pages 1384-1395, December.
    7. Cristina LINCARU & Speranţa PÎRCIOG, 2017. "Decomposing Productivity Changes – Romania’s Counties Case," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 0(3), pages 166-184, September.
    8. Padhi, Balakrushna & Sharma, Himja, 2023. "Changing Contours of Growth and Employment in the Indian Labour Market: A Sectoral Decomposition Approach," Structural Change and Economic Dynamics, Elsevier, vol. 67(C), pages 220-233.
    9. Olujobi Oluwatosin Michael & Joseph Adetokunbo Abu, 2024. "Price Volatility, Population Dynamics and Employment Nexus: Evidence from Nigeria," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 8(5), pages 1541-1554, May.
    10. Obiakor, Rowland & Akpa, Emeka & Okwu, Andy, 2022. "Economic Size, Uncertainty, and Income Inequality in Nigeria," MPRA Paper 113637, University Library of Munich, Germany.
    11. Odozi, John Chiwuzulum & Ikhimalo, Odufa Patience & Awaebe, John & Agbugui, Marian, 2018. "Employment in the Nigerian Agricultural Labour Market: Barriers and Forecast," SocArXiv s9hgv, Center for Open Science.
    12. EL HAMADI Youssef & ABDOUNI Abdeljabbar & BOUAOUZ Karima, 2017. "The Sectoral Employment Intensity Of Growth In Morocco: A Pooled Mean Group Approach," Applied Econometrics and International Development, Euro-American Association of Economic Development, vol. 17(2), pages 87-98.
    13. Manoj Atolia & Mr. Prakash Loungani & Milton Marquis & Mr. Chris Papageorgiou, 2018. "Rethinking Development Policy: Deindustrialization, Servicification and Structural Transformation," IMF Working Papers 2018/223, International Monetary Fund.
    14. Fashogbon, A. & Mushunje, A., 2018. "Agriculture and Non-Agriculture Job Transitions in Nigeria: the Role of Information, Social Capital and individual characteristics," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 276028, International Association of Agricultural Economists.
    15. Rama Lionel Ngenzebuke & Yoko Akachi, 2017. "Female work status and child nutritional outcome in Nigeria," WIDER Working Paper Series 196, World Institute for Development Economic Research (UNU-WIDER).
    16. Taleb Awad-Warrad & Buthaina M. A. Muhtaseb, 2017. "Trade Openness and Inclusive Economic Growth: Poverty Reduction through the Growth Unemployment Linkage," International Journal of Economics and Financial Issues, Econjournals, vol. 7(2), pages 348-354.
    17. Rama Lionel Ngenzebuke & Yoko Akachi, 2017. "Female work status and child nutritional outcome in Nigeria," WIDER Working Paper Series wp-2017-196, World Institute for Development Economic Research (UNU-WIDER).
    18. Aradhna Aggarwal, 2018. "Economic Growth, Structural Change and Productive Employment Linkages in India," South Asia Economic Journal, Institute of Policy Studies of Sri Lanka, vol. 19(1), pages 64-85, March.
    19. Adetunji Adeniyi, 2021. "Job Absorption Capacity of Nigeria’s Mining and Quarrying Sector," Journal of Business Administration Research, Journal of Business Administration Research, Sciedu Press, vol. 10(1), pages 1-51, April.
    20. Anthony Orji & Jonathan Emenike Ogbuabor & Jennifer Nkechi Alisigwe & Onyinye Imelda Anthony-Orji, 2021. "Agricultural Financing, Agricultural Output Growth and Employment Generation in Nigeria," European Journal of Business Science and Technology, Mendel University in Brno, Faculty of Business and Economics, vol. 7(1), pages 74-90.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:rbs:ijfbss:v:10:y:2021:i:2:p:111-119. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Hasan Dincer (email available below). General contact details of provider: https://edirc.repec.org/data/ssbffea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.