The Overview of Macro-Economic Performance of Nigera (An Empirical Analysis of Macroeconomic Indicators from 1981-2010)

Abstract

The paper observes the economic performance of Nigeria as it’s still rank among the world’s poorest countries despite the natural resources and the advantage Nigeria could have had over other African countries and if not among the developed countries. In an attempt to investigate the economic performance of Nigeria over 32 years which ranges from 1981-2012; some macroeconomics indicator were highlighted so as to test their relationship with growth and how it has worked so far for Nigeria. The economic indicator highlighted are as follows; gross savings, investment, foreign direct investment(inflow), government expenditures, export, import, inflation as they contributes to growth. Regression analysis was carried out to test the impact and the relationship of these variables on growth and the result shows that investment, inflation, government expenditures and gross savings are negatively related to growth while export and foreign direct investment(inflow) and imports is positively related to growth.

Keywords: Growth, inflation, savings, investment, growth theory and exports.