INSTITUTIONAL REFORMS AND ECONOMIC GROWTH PERFORMANCE IN NIGERIA

📄 Project Abstract

This study makes an empirical case that the level of sensitivity of economic growth to political and economic institutional reforms in Nigeria matters for sustained and sustainable economic performance both in the short, medium and long term. We first document the empirical evidence that successive regimes in Nigeria were indifferent to the impact of institutional reforms on economic growth. Several regimes both military and civilian pursued time bound and ambitious economic goals without regard to the effect of political institutional reforms. Secondly, the sequencing of policies were not considered necessary and therefore political and economic policies could be started and dropped regardless of their causal relationships with economic growth projections. Our basic framework was to use Extreme Bound Analysis (EBA) to ascertain the sensitivity of economic growth to political and economic institutional reform variables. In the results we found that economic growth was more sensitive to...