<abstract xmlns="http://www.w3.org/1999/xhtml"><p>This study has investigated the relationship between government spending and inclusive growth in Nigeria over the period 1995 to 2014. Specifically, it examined how, and to what extent, government spending on education, government spending on health, economic freedom, public resource use, and real GDP growth rate have impacted on inclusive growth in the country. It used the Dickey-Fuller GLS unit root test to ascertain the order of integration of the series. Consequently, through the Auto-Regressive Distributed Lag (ARDL) bound testing technique, the study found that in the long-run government spending on health, economic freedom, public resource use and real GDP growth rate had significantly positive influence on inclusive growth. In the short-run, however, only real GDP impacted significantly on inclusive growth while other variables were not significant in causing inclusive growth. Thus, in conclusion, government spending in the form of redistributive spending on health propelled inclusive growth in Nigeria.</p></abstract>

This study has investigated the relationship between government spending and inclusive growth in Nigeria over the period 1995 to 2014. Specifically, it examined how, and to what extent, government spending on education, government spending on health, economic freedom, public resource use, and real GDP growth rate have impacted on inclusive growth in the country. It used the Dickey-Fuller GLS unit root test to ascertain the order of integration of the series. Consequently, through the Auto-Regressive Distributed Lag (ARDL) bound testing technique, the study found that in the long-run government spending on health, economic freedom, public resource use and real GDP growth rate had significantly positive influence on inclusive growth. In the short-run, however, only real GDP impacted significantly on inclusive growth while other variables were not significant in causing inclusive growth. Thus, in conclusion, government spending in the form of redistributive spending on health propelled inclusive growth in Nigeria.

Government Spending and Inclusive-Growth Relationship in Nigeria: An Empirical Investigation

Zagreb International Review of Economics and Business

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

This study has investigated the relationship between government spending and inclusive growth in Nigeria over the period 1995 to 2014. Specifically, it...

Government Spending and Inclusive-Growth Relationship in Nigeria: An Empirical Investigation

Published Online: Nov 19, 2016

Page range: 33 - 56

DOI: https://doi.org/10.1515/zireb-2016-0007

Keywords
ARDL, cointegration, government spending, inclusive growth, Nigeria

© 2016 Bashir Olayinka Kolawole, published by De Gruyter Open

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Government Spending and Inclusive-Growth Relationship in Nigeria: An Empirical Investigation

Published Online: Nov 19, 2016

Page range: 33 - 56

DOI: https://doi.org/10.1515/zireb-2016-0007

KeywordsARDL, cointegration, government spending, inclusive growth, Nigeria

© 2016 Bashir Olayinka Kolawole, published by De Gruyter Open

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Keywords
ARDL, cointegration, government spending, inclusive growth, Nigeria