OVERVIEW AND EMPIRICAL ANALYSIS INTO NIGERIA INVESTMENT AND ITS DETERMINANTS (1977 - 2013)

ABSTRACT

In recent times there has been growing concern about the rising but volatile rate of investment in Nigeria. This concern stems from the fact that investment play a dominant role in stimulating growth. The study buttress on the overview and empirical analysis into the determinants of investment in Nigeria.

In order to achieve the objectives hypothesis was stated with the purpose of achieving current and future stable upswing of investment by readdressing problem of investment as highlighted in the statement of the problem.

The study used investment as the dependent variable and government expenditure, tariff , real interest rate and capital stock as the independent variable. In analyzing the data, economic model of multiple regression using ordinary least square OLS technique was employed. That ttest conducted indicates that government expenditure, tariff and real interest rate. Not statistically significant at 5 percent level. Normality test and heteroscedaticity test were employed as the second order test.

TABLE OF CONTENTS

Title Page i

Approval Page ii

Dedication iii

Acknowledgement iv

Abstract v

CHAPTER ONE INTRODUCTION

1.1 Background of the Study 1

1.2 Statement of the Problems 6

1.3 Research Questions 8

1.4 Objective of the Study 8

1.5 Statement of the Hypothesis 9

1.6 Significance of the Study 9

1.7 Scope/Limitation of the Study 10

CHAPTER TWO LITERATURE REVIEW

2.1 Literature Review 11

2.2 Empirical Literature 30

2.3 Limitation of Previous Studies 36

CHAPTER THREE METHODOLOGY

3.1 Model Specification 37

3.2 Analytical Techniques 39

3.3 Sources of Data and Software Packages 41

CHAPTER FOUR PRESENTATION AND ANALYSIS OF

RESULT

4.1 Presentation of Regression Result 43

4.2 Result Interpretation 43

4.4 Evaluation Based on Economic Criteria 43

CHAPTER FIVE SUMMARY, CONCLUSION AND

RECOMMENDATIONS

5.1 Summary of Findings 51

5.2 Conclusion 51

5.3 Policy Recommendation 53

BIBLIOGRAPHY 55

Appendix