IDEAS home Printed from https://ideas.repec.org/a/vrs/subboe/v69y2024i1p1-20n1001.html
   My bibliography  Save this article

Human Capital Development, Income Inequality and Public Sector Investment in Nigeria

Author

Listed:
  • Ogbeide-Osaretin Evelyn Nwamaka

    (Edo State University, Nigeria)

  • Shedrack Ifeanyi

    (University of Delta, Nigeria)

  • Aliu Timothy

    (Edo State University, Nigeria)

Abstract

Human capital development of any country is believed to be the bedrock for sustainable economic development which seems to be linked to the level of income inequality. But there seems not to be an implied acceptance of flow of the linkage as evident from the high level of income inequality and low level of human capital development. Suspected among the causes of this is the role of the public sector. Thus, the objective of this study is to determine if there exists a dynamic feedback impact between human capital development and income inequality given public sector investment in Nigeria. The study employed the ARDL and NLARDL estimation method using data on human capital development index, income inequality, government expenditure in health and educational sector, among other variables for the period 1991-2022. Human capital development and income inequality were found to have feedback impacts. Public sector investment was found to be crucial while the existence of Kuznet’s hypothesis was established. Hence, the study strongly advocates for policy measures of pro-poor growth, reduction of unemployment, population growth and the degree of trade openness for the effective reduction in the country’s inequality gap and the development of human capital.

Suggested Citation

  • Ogbeide-Osaretin Evelyn Nwamaka & Shedrack Ifeanyi & Aliu Timothy, 2024. "Human Capital Development, Income Inequality and Public Sector Investment in Nigeria," Studia Universitatis Babeș-Bolyai Oeconomica, Sciendo, vol. 69(1), pages 1-20.
    • Handle: RePEc:vrs:subboe:v:69:y:2024:i:1:p:1-20:n:1001
    DOI: 10.2478/subboec-2024-0001
    as

    Download full text from publisher

    File URL: https://doi.org/10.2478/subboec-2024-0001
    Download Restriction: no
    File URL: https://libkey.io/10.2478/subboec-2024-0001?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Michael Binder & Georgios Georgiadis, 2011. "Determinants of Human Development: Capturing the Role of Institutions," CESifo Working Paper Series 3397, CESifo.
    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. Mercy T. Musakwa & Nicholas M. Odhiambo, 2021. "Energy Consumption and Human Development in South Africa: Empirical Evidence from Disaggregated Data," Working Papers 2112, African Economic and Social Research Institute (AESRI).
    2. Mustafa, Ghulam & Rizov, Marian & Kernohan, David, 2017. "Growth, human development, and trade: The Asian experience," Economic Modelling, Elsevier, vol. 61(C), pages 93-101.
    3. Jeremiah O. Ejemeyovwi & Evans S. Osabuohien, 2020. "Investigating the relevance of mobile technology adoption on inclusive growth in West Africa," Contemporary Social Science, Taylor & Francis Journals, vol. 15(1), pages 48-61, January.
    4. Dominic E. Azuh & Jeremiah O. Ejemeyovwi & Queen Adiat & Babatunde A. Ayanda, 2020. "Innovation and Human Development Perspectives in West Africa," SAGE Open, , vol. 10(4), pages 21582440209, December.
    5. Musakwa Mercy T. & Odhiambo Nicholas M., 2022. "Energy Consumption and Human Development in South Africa: Empirical Evidence from Disaggregated Data," Studia Universitatis „Vasile Goldis” Arad – Economics Series, Sciendo, vol. 32(2), pages 1-23, June.
    6. Andrés, Antonio R. & Amavilah, Voxi & Asongu, Simplice A, 2016. "Linkages between Formal Institutions, ICT Adoption and Inclusive Human Development in Sub Saharan Africa," MPRA Paper 75044, University Library of Munich, Germany.
    7. David Castells-Quintana & Vicente Royuela, 2017. "Tracking positive and negative effects of inequality on long-run growth," Empirical Economics, Springer, vol. 53(4), pages 1349-1378, December.
    8. Sabyasachi Tripathi, 2021. "How does urbanization affect the human development index? A cross-country analysis," Asia-Pacific Journal of Regional Science, Springer, vol. 5(3), pages 1053-1080, October.
    9. repec:afa:wpaper:aesri-2021-12 is not listed on IDEAS
    10. repec:afa:wpaper:aesriwp12 is not listed on IDEAS
    11. Musakwa, Mercy T & Odhiambo, Nicholas M, 2021. "Energy consumption and human development in South Africa: Empirical evidence from disaggregated data," Working Papers 28233, University of South Africa, Department of Economics.
    12. Oyolola, Feyisayo & Otonne, Adewumi, 2020. "Entrepreneurship, Human Capacity Development and Youth Employment Generation: A Study of Selected Sub-Saharan Africa Countries," MPRA Paper 101737, University Library of Munich, Germany.
    13. Mercy T. Musakwa & Nicholas M. Odhiambo, "undated". "Energy Consumption And Human Development In South Africa: Empirical Evidence From Disaggregated Data," Working Papers AESRI03, African Economic and Social Research Institute (AESRI).
    14. Jeremiah O. Ejemeyovwi & Evans S. Osabuohien & Olawale D. Johnson & Ebenezer I. K. Bowale, 2019. "Internet usage, innovation and human development nexus in Africa: the case of ECOWAS," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 8(1), pages 1-16, December.
    15. Bianca Biagi & Maria Gabriela Ladu & Vicente Royuela, 2015. "“Human development and tourism specialization. Evidence from a panel of developed and developing countries”," AQR Working Papers 201504, University of Barcelona, Regional Quantitative Analysis Group, revised Apr 2016.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    JEL classification:

    • C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • H51 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Health
    • H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education

    Statistics

    Access and download statistics

    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:vrs:subboe:v:69:y:2024:i:1:p:1-20:n:1001. 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: Peter Golla (email available below). General contact details of provider: https://www.sciendo.com .

    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.