Volume 11, Issue 2, November 2014, Pages 291–294
Olalekan Oyedele1
1 Centre for Continuing Education, Federal University of Technology, Akure, Ondo State, Nigeria
Original language: English
Copyright © 2014 ISSR Journals. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
The paper examined the impact of human capital on economic growth in Nigeria, with the aim of providing additional evidence on the relationship between human capital and economic growth. A health adjusted education indicator is used as proxy for human capital which was calculated by taking enrolment rate at primary level and then multiplied the value with expenditure on health as percentage of GDP. The study employed Nigeria annual data, from 1980 to 2011 and Generalised Method of Moment(GMM) techniques in the analysis. Sargan test of over-identifying restrictions was conducted to verify the results obtained from Generalised Method of Moment and the Sargan test showed that the results obtain is valid and reliable. The estimated results provide evidence of positive relationship between human capital and economics growth in Nigeria. The health adjusted education indicator used was found to be highly determined economic growth in Nigeria. The study concluded that special attention should be given to health and education sectors simultaneously in Nigeria, such as increased budgetary allocation to the two sectors and to ensure proper implementation of programs in these two sectors in other to increase returns from these two sectors.
Author Keywords: School Enrollment, Health, Government Spending, Gross Domestic Product, Education.
Olalekan Oyedele1
1 Centre for Continuing Education, Federal University of Technology, Akure, Ondo State, Nigeria
Original language: English
Copyright © 2014 ISSR Journals. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
Abstract
The paper examined the impact of human capital on economic growth in Nigeria, with the aim of providing additional evidence on the relationship between human capital and economic growth. A health adjusted education indicator is used as proxy for human capital which was calculated by taking enrolment rate at primary level and then multiplied the value with expenditure on health as percentage of GDP. The study employed Nigeria annual data, from 1980 to 2011 and Generalised Method of Moment(GMM) techniques in the analysis. Sargan test of over-identifying restrictions was conducted to verify the results obtained from Generalised Method of Moment and the Sargan test showed that the results obtain is valid and reliable. The estimated results provide evidence of positive relationship between human capital and economics growth in Nigeria. The health adjusted education indicator used was found to be highly determined economic growth in Nigeria. The study concluded that special attention should be given to health and education sectors simultaneously in Nigeria, such as increased budgetary allocation to the two sectors and to ensure proper implementation of programs in these two sectors in other to increase returns from these two sectors.
Author Keywords: School Enrollment, Health, Government Spending, Gross Domestic Product, Education.
How to Cite this Article
Olalekan Oyedele, “Human Capital and Economic Growth in Nigeria,” International Journal of Innovation and Scientific Research, vol. 11, no. 2, pp. 291–294, November 2014.
