Raymond Nwandu


An Empirical Analysis of the Relationship between Inflation and Unemployment on Nigeria’s Economic Growth between 1981 and 2017. This topic became necessary because in spite of the efforts and policies of various Nigerian governments to boost the economy through public expenditure yet unemployment and inflation are on the high side.  Time series data covering the period 1981 - 2017 were gathered from the Central Bank of Nigeria (CBN) Statistical Bulletin and the Federal Bureau of Statistics. The data analysis was estimated using the ordinary least square regression. The model was subjected to Johansen Rank Cointegration technique to explore the long-run relationship between the variables. Augmented Dickey Fuller and Phillips-Peron tests were conducted to examine stationarity (unit root) to ascertain the order of integration of the variables followed by the error correction model (ECM) using general to specific modeling to obtain meaningful results. Our findings indicate that inflation significantly impacted negatively on unemployment in Nigeria, while GDP has a positive and significant effect on unemployment within the period under review. Based on our findings, we make the following recommendations; Government should formulate policy that will aim at discouraging gender discrimination in the labour market since this will provide more opportunities for the females in the labour market participation, government should embark on provision of social amenities in the rural areas so as to reduce the urban –rural drift which have consequences of reducing the rate of unemployment.


Human Capital Development, Capital Expenditure, Recurrent and Expenditure Corruption

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