Education Expenditure-Led Growth: Evidence from Nigeria (1980-2018)

Abstract

This study examines the belief that education fosters economic growth by analyzing the impact of Government education expenditures at different levels on economic growth using Nigerian data for the period 1980-2018. Time series econometrics tests like Unit Root, cointegration, Error Correction Model and Granger Causality were employed to test the hypothesis of education expenditure-led growth strategy. The outcomes of the studies showed that that there is cointegration between total government education expenditures, primary, secondary and tertiary education expenditure and economic growth. The outcomes of the study also revealed that all levels of education expenditure contribute to economic growth positively (tertiary education exerting more positive impact) and are statistically significant (except primary education expenditure that is not significant) at 5%level. The study equally revealed bi-directional causality between t all levels public expenditure on education and economic growth. The study therefore, recommends improved funding for education at all levels given their interconnections. It also recommends that funding of primary education should by supported Federal Government as weak primary school funding will impact on quality of pupils that graduate to secondary school. Again policies aimed at diversifying and broadening the Nigerian economy be rekindled as economic growth have the potential of increasing education spending.

Human Capital Development and Unemployment in Uganda: The Keynesian Theory of Unemployment in Perspective

“…Education expenditure in Uganda significantly influences the unemployment landscape within the nation, marking a critical nexus between investment in human capital and labor market outcomes (Lawanson & Umar, 2020). The allocation of financial resources towards education holds immense potential to mitigate unemployment by fostering a skilled and adaptable workforce (Singh & Shastri, 2020).…”

“…The allocation of financial resources towards education holds immense potential to mitigate unemployment by fostering a skilled and adaptable workforce (Singh & Shastri, 2020). Uganda's commitment to education expenditure reflects its recognition of education as a fundamental driver of socioeconomic development (Lawanson & Umar, 2020). The government wants to improve human capital development by investing more in education so that people have the information and skills needed to find work and make a significant economic contribution (Lawanson & Umar, 2020).…”

“…Uganda's commitment to education expenditure reflects its recognition of education as a fundamental driver of socioeconomic development (Lawanson & Umar, 2020). The government wants to improve human capital development by investing more in education so that people have the information and skills needed to find work and make a significant economic contribution (Lawanson & Umar, 2020). The correlation between education expenditure and unemployment is evident in various aspects of the education system, including infrastructure development, teacher training, curriculum enhancement, and vocational education initiatives (Azolibe et al, 2020).…”

Perspective on improving school quality: the influence of teamwork and curriculum effectiveness in Islamic schools

“…Furthermore, the quality of schools can also have broader social implications. High-quality schools contribute to economic growth, social mobility, and the reduction of inequality within communities and countries [25], [26]. In short, the quality of schools is important because it significantly affects students' academic outcomes and overall life.…”

Financing Tertiary Education in Nigeria: Strategic Tool for National Development

“…At least 26percent of such nations' budget must be channelled to the education sector in order for the educational systems of developing nations to experience stability as recommended by United Nations Educational, Scientific and Cultural Organization (UNESCO). (Ekaette, Owan, & Agbo, 2019) Unfortunately, tertiary education in Nigeria had not been enjoying the expected position of eminence it deserved with regard to funding as the institutions on many occasions received inadequate allocation concerning statutory allocation of funds to the government agencies as evident in the colleges of education, polytechnics, mono-technics and universities (Lawanson & Umar, 2020).…”