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Institution and Economic Growth performance in Nigeria

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  • Dandume, Muhammad Yusuf

Abstract

Emerging consensuses among growth economists view good institutions as the key determinant of improving economic growth. This study examines weather institutions measures, such as more transparent, accountable government, rule of law, sound civil liberty and competitive political participation are precondition for implementing policies for achieving economic growth in Nigeria. In order to obtain the aforementioned objective, we employed ARDL approach to co-integration and Causality. The findings of this study indicate long run relationships between institutions and economic growth. However, on the direction of the relationship the findings suggest two –way causal relationship, which implies, economic growth and Institution causes each other. In other words despite, much rhetoric to the contrary good institutions in Nigeria requires resources, which implies that poor institutions are associated with having low income. The policy implication is that for Nigeria to achieved better institutions emphasis must be given to critical growth driven sectors.

Suggested Citation

  • Dandume, Muhammad Yusuf, 2013. "Institution and Economic Growth performance in Nigeria," MPRA Paper 52356, University Library of Munich, Germany, revised 2013.
    • Handle: RePEc:pra:mprapa:52356
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    References listed on IDEAS

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    Cited by:

    1. Ezebuilo Romanus Ukwueze & Ekene Stephen Aguegboh, 2018. "Institutional Determinants of Economic Growth in ECOWAS Sub-Region," International Journal of Economics and Financial Issues, Econjournals, vol. 8(5), pages 75-79.

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    More about this item

    Keywords

    Institutions; Growth; Sustainable Development; Nigerian Economy;
    All these keywords.

    JEL classification:

    • P30 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - General

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