THE IMPACT OF INTERNATIONAL TRADE ON NIGERIA’S ECONOMIC GROWTH (1970-2009)

ABSTRACT

This research work examined the impact of international trade on Nigeria’s economic growth for the sample period 1970-2009. It aimed at reviewing the benefits of international trade in Nigeria. In an attempt to examine this, an econometric approach known as ordinary least square (OLS) was used. The F-text, T-test, standard error (S. E.) test, coefficient of multiple determination (R²), and Durbin Watson statistics (DW) were used for the statistical tests. In the model, GDP,

export, Import, exchange rate, interest rate were used to capture the study. Secondary data for the period of 1970-2009 was also used for the study. Among the findings was that export, import, exchange rate and interest rate were positively related to economic growth in Nigeria. The researcher recommended the need for Government to create the environment that would attract foreign investment that would in turn engender increased technology and economic growth. There is also need for trade liberalization and import substitution polices, with effective monetary and fiscal policy mix that would ensure increase economic growth.             

         

TABLE OF CONTENTS

Title page                                                                                                                   i

Approval page                                                                                                          ii

Dedication                                                                                                                 iii

Acknowledgment                                                                                                     iv

Abstract                                                                                                                     vi

Table of contents                                                                                                     vii

CHAPTER ONE: Introduction                                                                              1

1.1       Background of the Study                                                                            1

1.2       Statement of the Problem                                                                            4

1.3       Objective of the Study                                                                                6

1.4       Statement of Hypotheses                                                                            6

1.5       Significance of the Study                                                                            6

1.6       Scope of the Study                                                                                       7

CHAPTER TWO: Literature Review                                                                   8

2.1       Theoretical Literature                                                                                 8

2.2       Empirical Literature                                                                                   16

CHAPTER THREE:                                                                                               20

3.1             Methodology                                                                                                20

3.2             Model Specification                                                                                    20

3.3             Method of Evaluation                                                                                 21

3.4             Date Required and Sources                                                                        23

CHAPTER FOUR:

4.0       Presentation of  Results                                                                              24

4.1       Analysis of Results                                                                                      24

4.2       Test of hypothesis                                                                                        26

4.3       Implication of the Study                                                                             27

CHAPTER FIVE: Summary of Findings, Conclusion

and Policy Recommendations                                                                                28

5.0       Summary of Findings                                                                                  28

5.1       Conclusion                                                                                                    29

5.2       Policy Recommendations                                                                           29

            Bibliography                                                                                                 32

            Appendix One                                                                                              34

            Appendix Two                                                                                              36

A RESEARCH PROJECT PRESENTED TO THE DEPARTMENT OF ECONOMICS,

FACULTY OF SOCIALSCIENCES.

EBONYI STATE UNIVERSITY, ABAKAILIKI

IN PARTIAL FULFILLMENT OF

THE REQUIREMENTS FOR THE AWARD

OF BACHELOR OF SCIENCE (B.Sc) HONOURS

DEGREE IN ECONOMICS