Science Journal of Economics Volume 2017 (2017), January 2017
ISSN:2276-6286

Author(s) 2017. This work is distributed under the Creative Commons Attribution 3.0 License.

Research Article

 

Impact of Economic Recession on Macroeconomic Stability and Sustainable Development in Nigeria

Author: Eneji Mathias Agri1* , Dimis Mailafia2, and Dr Mrs Rose Ijeoma Umejiaku3

1Department of Economics, University of Jos, Nigeria.

33Department of Economics, University of Jos
Corresponding Author Email: agrieneji@yahoo.com
Phone: +2347063914812

Accepted on December 26, 2017; Available Online 13 January 2017

DOI: 10.7237/sje/130

Abstract:

The Nigerian economy has been hit hard by a recession, caused by excessive imports, plunging oil revenue and sharply low investment inflows. This study is a wide analytical focus on the impact of the economic recession on Nigeria in the socio-economic context. The study uses multiple regression analysis of time series data on selected macroeconomic variables in two econometric models. The results show negative impact of these variables on economic growth and sustainable development. The recession impacts on socioeconomic and political lives in Nigeria, and should be studied to find the root causes and proffer solutions for sustainable economic development. This study perceives the economic recession as a symptom of deeper structural problems inherent in the Nigerian economy, and overdependence on external modern capitalist societies. It recommends that Nigeria needs positive economic change that is caused by structural and fiscal reforms. Nigeria should strive to diversify the economy, be self-reliance and corruption-free, eat what she produces, and mostly use what she makes. The paper concludes that Nigeria can get out of the recession.The Nigerian economy has been hit hard by a recession, caused by excessive imports, plunging oil revenue and sharply low investment inflows. This study is a wide analytical focus on the impact of the economic recession on Nigeria in the socio-economic context. The study uses multiple regression analysis of time series data on selected macroeconomic variables in two econometric models. The results show negative impact of these variables on economic growth and sustainable development. The recession impacts on socioeconomic and political lives in Nigeria, and should be studied to find the root causes and proffer solutions for sustainable economic development. This study perceives the economic recession as a symptom of deeper structural problems inherent in the Nigerian economy, and overdependence on external modern capitalist societies. It recommends that Nigeria needs positive economic change that is caused by structural and fiscal reforms. Nigeria should strive to diversify the economy, be self-reliance and corruption-free, eat what she produces, and mostly use what she makes. The paper concludes that Nigeria can get out of the recession.

Keyword:Balance of payment, Inflation, Unemployment, Imports, Household Income, Economic Recovery, And Sustainable Development.

 

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