Towards determining Nigeria’s economic growth path: A balance-of-payments constrained growth approach
This paper examines Nigeria’s long run growth path using the externally and internally constrained version of Thirlwall’s growth model from 1982 to 2015. The present study modifies the SCA-BOPCG to take into account the effects the foreign contents in exports growth and the domestic investment. Thre...
| Main Authors: | , , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Emerald Publishing
2020-01-01
|
| Series: | EconomiA |
| Subjects: | |
| Online Access: | http://www.sciencedirect.com/science/article/pii/S1517758019300955 |
| _version_ | 1818493049808879616 |
|---|---|
| author | Yohanna Panshak Irfan Civcir Hüseyin Ozdeser |
| author_facet | Yohanna Panshak Irfan Civcir Hüseyin Ozdeser |
| author_sort | Yohanna Panshak |
| collection | DOAJ |
| description | This paper examines Nigeria’s long run growth path using the externally and internally constrained version of Thirlwall’s growth model from 1982 to 2015. The present study modifies the SCA-BOPCG to take into account the effects the foreign contents in exports growth and the domestic investment. Three Stage Least Squares method is used to obtain the required elasticities for the estimation of the domestic income growth. The study affirms the robustness and validity of the modified model in determining the growth path for Nigeria. The outcome of the empirical study reveals that Nigeria’s economic growth process is balance-of-payment constrained. Even though monetary policies improve growth performance, Nigeria sustainably grows faster with policies aiming at improving external balance or reducing the import components of demands, increasing export share to products with high elasticity of demand as well as keeping budget deficits within the universally acceptable limits. |
| first_indexed | 2024-12-10T17:50:09Z |
| format | Article |
| id | doaj.art-1431e8892ea54d7ca5bd8f547b93e3c2 |
| institution | Directory Open Access Journal |
| issn | 1517-7580 |
| language | English |
| last_indexed | 2024-12-10T17:50:09Z |
| publishDate | 2020-01-01 |
| publisher | Emerald Publishing |
| record_format | Article |
| series | EconomiA |
| spelling | doaj.art-1431e8892ea54d7ca5bd8f547b93e3c22022-12-22T01:39:06ZengEmerald PublishingEconomiA1517-75802020-01-01211104119Towards determining Nigeria’s economic growth path: A balance-of-payments constrained growth approachYohanna Panshak0Irfan Civcir1Hüseyin Ozdeser2Department of Economics, FEAS, Near East University, CyprusDepartment of Economics, Faculty of Political Science, Ankara University, Turkey; Corresponding author: Ankara University, Faculty of Political Sciences, Cebeci, Ankara, Turkey.Department of Economics, FEAS, Near East University, CyprusThis paper examines Nigeria’s long run growth path using the externally and internally constrained version of Thirlwall’s growth model from 1982 to 2015. The present study modifies the SCA-BOPCG to take into account the effects the foreign contents in exports growth and the domestic investment. Three Stage Least Squares method is used to obtain the required elasticities for the estimation of the domestic income growth. The study affirms the robustness and validity of the modified model in determining the growth path for Nigeria. The outcome of the empirical study reveals that Nigeria’s economic growth process is balance-of-payment constrained. Even though monetary policies improve growth performance, Nigeria sustainably grows faster with policies aiming at improving external balance or reducing the import components of demands, increasing export share to products with high elasticity of demand as well as keeping budget deficits within the universally acceptable limits.http://www.sciencedirect.com/science/article/pii/S1517758019300955F43E12O24 |
| spellingShingle | Yohanna Panshak Irfan Civcir Hüseyin Ozdeser Towards determining Nigeria’s economic growth path: A balance-of-payments constrained growth approach EconomiA F43 E12 O24 |
| title | Towards determining Nigeria’s economic growth path: A balance-of-payments constrained growth approach |
| title_full | Towards determining Nigeria’s economic growth path: A balance-of-payments constrained growth approach |
| title_fullStr | Towards determining Nigeria’s economic growth path: A balance-of-payments constrained growth approach |
| title_full_unstemmed | Towards determining Nigeria’s economic growth path: A balance-of-payments constrained growth approach |
| title_short | Towards determining Nigeria’s economic growth path: A balance-of-payments constrained growth approach |
| title_sort | towards determining nigeria s economic growth path a balance of payments constrained growth approach |
| topic | F43 E12 O24 |
| url | http://www.sciencedirect.com/science/article/pii/S1517758019300955 |
| work_keys_str_mv | AT yohannapanshak towardsdeterminingnigeriaseconomicgrowthpathabalanceofpaymentsconstrainedgrowthapproach AT irfancivcir towardsdeterminingnigeriaseconomicgrowthpathabalanceofpaymentsconstrainedgrowthapproach AT huseyinozdeser towardsdeterminingnigeriaseconomicgrowthpathabalanceofpaymentsconstrainedgrowthapproach |