Journal of Economics and Development Studies

Institutional Quality, Macroeconomic Policy and Economic Development in Nigeria
Ifere, Eugene Okoi; Okoi, Okoiarikpo Benjamin; Christian Effiong Bassey

Abstract
This paper examines the relationship between institutional quality, macroeconomic policy, and economic development in Nigeria. We employ data from four development indicators: the prevalence of undernourishment, life expectancy at birth, the Human Development Index (HDI) and Gross Domestic Product (GDP) per-capita from 1995 to 2013 to examine the validity of the proposed framework. Our result indicates an insignificant impact of domestic institution on Nigeria development indices. Interest rate was also found to have an insignificant impact on economic development in Nigeria, even when growth related indices were considered. On the other hand, government expenditure was found to exert a significant, though small, impact on the country’s development indices. Based on these, a holistic approach of attitudinal change, systematic strengthening and development of institutions is recommended for the attainment of the country`s developmental objectives.

Full Text: PDF     DOI: 10.15640/jeds.v3n1a14