The paper examined the impact of monetary policy on economic growth in Nigeria by developing a model that is able to investigate how monetary policy of the government has affected economic growth through the use of multi-variable regression analysis. We proxied the variables of monetary policy instruments to include: Money Supply (MS), Exchange Rate (ER), Interest Rate (IR), and Liquidity Ratio (LR). Economic growth was represented by Gross Domestic Product (income) at constant prices. Unit root test was conducted and all our estimating variables were stationary at first difference except the component of interest rate which shows that our model interpretation would not be spurious and a true representation of the relationships that exists between the explained and explanatory variables. Error Correction Model was introduced in our estimation in order to have a parsimonious model. From our result, two variables (money supply and exchange rate) had a positive but fairly insignificant impact on economic growth. Measures of interest rate and liquidity ratio on the other hand, had a negative but highly significant impact on economic growth which supports the assertion by Busari et al. (2002) that monetary policies are better suited when they are used in targeting inflation rather than in stimulating growth. In addition, Engle-Granger co-integration test was done and showed the existence of a long run relationship between monetary policy and economic growth in Nigeria. Finally, granger causality test was done on our variables and the results showed the existence of a uni-directional causality between money supply and economic growth, economic growth granger causing liquidity ratio and exchange rates while a bi-directional causality exists between interest and economic growth. We recommend that partial autonomy should be replaced with full autonomy for the central banks in Nigeria which is invariably subjected to government interference and its politics. Finally, monetary policies should be used to create a favorable investment climate by facilitating the emergency of market based interest rate and exchange rate regimes that attract both domestic and foreign investments. Subject Areas Economics KeywordsMonetary Policy, Economic Growth, Engle-Granger, Instruments Background to the StudyMonetary policy as defined by many authors is concerned with discretionary control of money supply by monetary authorities (Central Bank with Central Government) with a view of achieving stated or desired economic objectives.Most governments try to control the rate of growth of money supply because of the nexus that it has an effect on the rate of inflation.In sum, monetary policies consist of those actions designed to influence the behavior of the monetary sector. Statement of ProblemOver Research QuestionsIn light of this, therefore, the questions to guide this research study include the following:1) Why has the monetary policies of the Central Bank through its instruments and targets not have any significant impact on econ...

This study examined the impact of capital structure on financial performance of quoted manufacturing firms in Nigeria over the period 2005-2014. Panel methodology was applied to analyse the impact of capital structure on financial performance of quoted manufacturing firms in Nigeria. The findings of the panel ordinary least square show that a positive statistically significant relationship exist between long term debt ratio(LTD) (0.0001), total debt ratio (TD) (0.0065) and return on equity (ROE) while a positive statistically insignificant relationship between ROE (return on equity) and STD (Short term debt ratio). There was also a negative insignificant relationship between all the proxies of capital structure (LTD, STD and TD) and ROA which makes ROE a better measure of performance. The study concluded that capital structure has a positive impact on financial performance and companies should employ more of long term debts. Therefore it recommends that every firm should make good capital structures decision to earn profit and carry on their business successfully.

The paper examined the effect of a well developed capital market on economic growth in Nigeria. We developed a model that is able to investigate how capital market development affects business cycle volatilities, and in the long run economic growth through the use of multi-variable regression analysis. Unit root test was conducted and all our estimating variables were stationary at first difference except the Christiano-Fitzgerald filter which shows that our model interpretation would not be spurious and a true representation of the relationships that exists between the explained and explanatory variables. Error Correction Model was introduced in our estimation in order to have a parsimonious model. Insignificant variables such as Net Export were removed from our model. This can be understood from the reasoning that Nigeria remains a mono-cultural economy (oil dependent) and is seen by the export shocks being negative and significant from our earlier regression result. From our result, all our variables (market capitalization, gross fixed capital, and structural activity) all have a positive but fairly insignificant impact on economic growth. The volatility measure on the other hand had a negative but highly significant impact on economic growth which supports the endogenous growth model that developing countries (Nigeria inclusive) are highly susceptible to macroeconomic shocks such as money supply shocks, export supply shocks, productivity shocks, etc). In addition, Engle-Granger co integration test was done and showed the existence of a long run relationship between capital market development and economic growth in Nigeria. We recommend adopting a policy framework that address the weak linkages between net export and the rest of the Nigerian economy by diversification, creating conducive environment that allows domestic investors to invest in the capital market and removing all impediments to local businesses. Finally, government securities should be channelled to more productive sectors to complement those in the private sector.