Government Expenditure and Education Sub-sector Development in Nigeria: An Empirical Investigation

Stephen Ebhodaghe Ughulu; Stella Eghoikhunu Ughulu

doi:doi:10.11648/j.ijafrm.20200503.14

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Government Expenditure and Education Sub-sector Development in Nigeria: An Empirical Investigation

Stephen Ebhodaghe Ughulu, Stella Eghoikhunu Ughulu

Published in International Journal of Accounting, Finance and Risk Management (Volume 5, Issue 3)

Received: 2 December 2019 Accepted: 27 March 2020 Published: 4 August 2020

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Abstract

This paper examined empirically the impact of government expenditure on the education sub-sector development in Nigeria for the period 1980 to 2017. Government expenditure was decomposed into capital and recurrent expenditures, while education sub-sector development was viewed from the perspectives of the States and Local Governments dependence (FDR), fiscal concentration (FCR), and per capita income (PCI). The data of the study were obtained from both the National Bureau of Statistics and the Central Bank of Nigeria Statistical Bulletins. The fully modified ordinary least squares (FMOLS) approach of the econometrics was used to estimate the findings/results of the paper. Some of the major findings of the paper indicated that all the variables became stationary after first differencing and that the series for all the equations were cointegrated thereby suggesting the existence of long run relationships among the variables. The short run dynamics results were robust and impressive given that each of the coefficients of determination (R-squared) and their adjusted counterparts were quite high. Furthermore, the results indicated that while capital expenditure exerted negative impact on the education sub-sector development, recurrent expenditure displayed a positive impact on the sub-sector. The paper therefore recommends that government, as a matter of frantic efforts and deliberate policies, scales up its capital expenditure on education sub-sector development as well as intensifying capacity building that would engender qualitatively improved education service delivery. This would only be possible if urgent institutional frameworks, procedures and governance styles that accord with international standards are urgently introduced and implemented.

Published in	International Journal of Accounting, Finance and Risk Management (Volume 5, Issue 3)
DOI	10.11648/j.ijafrm.20200503.14
Page(s)	149-156
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2020. Published by Science Publishing Group

Keywords

Government Expenditure, Education Sub-Sector, Nigeria, Fully Modified OLS

References

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[7]	Omojimite, B. U. (2010). Education and economic growth in Nigeria: A Granger Causality analysis. African Research Review, 4 (3a), 90-108.
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[12]	Irughe, I. R and Adegboye, A. C. (2014). Government intervention in education in Nigeria: Are there funding and sustainability issues? Paper Presented and the 3rd COEASU conference, Ilorin.
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[18]	Oriakhi, D. E. and Ameh, G. (2014). Government expenditure and the development of the education sector in Nigeria: An evaluation. Review of Public Administration and Management, 3 (5): 103–131.
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APA Style

Stephen Ebhodaghe Ughulu, Stella Eghoikhunu Ughulu. (2020). Government Expenditure and Education Sub-sector Development in Nigeria: An Empirical Investigation. International Journal of Accounting, Finance and Risk Management, 5(3), 149-156. https://doi.org/10.11648/j.ijafrm.20200503.14

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ACS Style

Stephen Ebhodaghe Ughulu; Stella Eghoikhunu Ughulu. Government Expenditure and Education Sub-sector Development in Nigeria: An Empirical Investigation. Int. J. Account. Finance Risk Manag. 2020, 5(3), 149-156. doi: 10.11648/j.ijafrm.20200503.14

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AMA Style

Stephen Ebhodaghe Ughulu, Stella Eghoikhunu Ughulu. Government Expenditure and Education Sub-sector Development in Nigeria: An Empirical Investigation. Int J Account Finance Risk Manag. 2020;5(3):149-156. doi: 10.11648/j.ijafrm.20200503.14

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@article{10.11648/j.ijafrm.20200503.14,
  author = {Stephen Ebhodaghe Ughulu and Stella Eghoikhunu Ughulu},
  title = {Government Expenditure and Education Sub-sector Development in Nigeria: An Empirical Investigation},
  journal = {International Journal of Accounting, Finance and Risk Management},
  volume = {5},
  number = {3},
  pages = {149-156},
  doi = {10.11648/j.ijafrm.20200503.14},
  url = {https://doi.org/10.11648/j.ijafrm.20200503.14},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijafrm.20200503.14},
  abstract = {This paper examined empirically the impact of government expenditure on the education sub-sector development in Nigeria for the period 1980 to 2017. Government expenditure was decomposed into capital and recurrent expenditures, while education sub-sector development was viewed from the perspectives of the States and Local Governments dependence (FDR), fiscal concentration (FCR), and per capita income (PCI). The data of the study were obtained from both the National Bureau of Statistics and the Central Bank of Nigeria Statistical Bulletins. The fully modified ordinary least squares (FMOLS) approach of the econometrics was used to estimate the findings/results of the paper. Some of the major findings of the paper indicated that all the variables became stationary after first differencing and that the series for all the equations were cointegrated thereby suggesting the existence of long run relationships among the variables. The short run dynamics results were robust and impressive given that each of the coefficients of determination (R-squared) and their adjusted counterparts were quite high. Furthermore, the results indicated that while capital expenditure exerted negative impact on the education sub-sector development, recurrent expenditure displayed a positive impact on the sub-sector. The paper therefore recommends that government, as a matter of frantic efforts and deliberate policies, scales up its capital expenditure on education sub-sector development as well as intensifying capacity building that would engender qualitatively improved education service delivery. This would only be possible if urgent institutional frameworks, procedures and governance styles that accord with international standards are urgently introduced and implemented.},
 year = {2020}
}

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TY  - JOUR
T1  - Government Expenditure and Education Sub-sector Development in Nigeria: An Empirical Investigation
AU  - Stephen Ebhodaghe Ughulu
AU  - Stella Eghoikhunu Ughulu
Y1  - 2020/08/04
PY  - 2020
N1  - https://doi.org/10.11648/j.ijafrm.20200503.14
DO  - 10.11648/j.ijafrm.20200503.14
T2  - International Journal of Accounting, Finance and Risk Management
JF  - International Journal of Accounting, Finance and Risk Management
JO  - International Journal of Accounting, Finance and Risk Management
SP  - 149
EP  - 156
PB  - Science Publishing Group
SN  - 2578-9376
UR  - https://doi.org/10.11648/j.ijafrm.20200503.14
AB  - This paper examined empirically the impact of government expenditure on the education sub-sector development in Nigeria for the period 1980 to 2017. Government expenditure was decomposed into capital and recurrent expenditures, while education sub-sector development was viewed from the perspectives of the States and Local Governments dependence (FDR), fiscal concentration (FCR), and per capita income (PCI). The data of the study were obtained from both the National Bureau of Statistics and the Central Bank of Nigeria Statistical Bulletins. The fully modified ordinary least squares (FMOLS) approach of the econometrics was used to estimate the findings/results of the paper. Some of the major findings of the paper indicated that all the variables became stationary after first differencing and that the series for all the equations were cointegrated thereby suggesting the existence of long run relationships among the variables. The short run dynamics results were robust and impressive given that each of the coefficients of determination (R-squared) and their adjusted counterparts were quite high. Furthermore, the results indicated that while capital expenditure exerted negative impact on the education sub-sector development, recurrent expenditure displayed a positive impact on the sub-sector. The paper therefore recommends that government, as a matter of frantic efforts and deliberate policies, scales up its capital expenditure on education sub-sector development as well as intensifying capacity building that would engender qualitatively improved education service delivery. This would only be possible if urgent institutional frameworks, procedures and governance styles that accord with international standards are urgently introduced and implemented.
VL  - 5
IS  - 3
ER  -

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Author Information

Stephen Ebhodaghe Ughulu

Department of Banking and Finance, Igbinedion University, Okada, Edo State, Nigeria
Stella Eghoikhunu Ughulu

Department of Political Science and Public Administration, Igbinedion University, Okada, Edo State, Nigeria

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APA Style

Stephen Ebhodaghe Ughulu, Stella Eghoikhunu Ughulu. (2020). Government Expenditure and Education Sub-sector Development in Nigeria: An Empirical Investigation. International Journal of Accounting, Finance and Risk Management, 5(3), 149-156. https://doi.org/10.11648/j.ijafrm.20200503.14

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ACS Style

Stephen Ebhodaghe Ughulu; Stella Eghoikhunu Ughulu. Government Expenditure and Education Sub-sector Development in Nigeria: An Empirical Investigation. Int. J. Account. Finance Risk Manag. 2020, 5(3), 149-156. doi: 10.11648/j.ijafrm.20200503.14

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AMA Style

Stephen Ebhodaghe Ughulu, Stella Eghoikhunu Ughulu. Government Expenditure and Education Sub-sector Development in Nigeria: An Empirical Investigation. Int J Account Finance Risk Manag. 2020;5(3):149-156. doi: 10.11648/j.ijafrm.20200503.14

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@article{10.11648/j.ijafrm.20200503.14,
  author = {Stephen Ebhodaghe Ughulu and Stella Eghoikhunu Ughulu},
  title = {Government Expenditure and Education Sub-sector Development in Nigeria: An Empirical Investigation},
  journal = {International Journal of Accounting, Finance and Risk Management},
  volume = {5},
  number = {3},
  pages = {149-156},
  doi = {10.11648/j.ijafrm.20200503.14},
  url = {https://doi.org/10.11648/j.ijafrm.20200503.14},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijafrm.20200503.14},
  abstract = {This paper examined empirically the impact of government expenditure on the education sub-sector development in Nigeria for the period 1980 to 2017. Government expenditure was decomposed into capital and recurrent expenditures, while education sub-sector development was viewed from the perspectives of the States and Local Governments dependence (FDR), fiscal concentration (FCR), and per capita income (PCI). The data of the study were obtained from both the National Bureau of Statistics and the Central Bank of Nigeria Statistical Bulletins. The fully modified ordinary least squares (FMOLS) approach of the econometrics was used to estimate the findings/results of the paper. Some of the major findings of the paper indicated that all the variables became stationary after first differencing and that the series for all the equations were cointegrated thereby suggesting the existence of long run relationships among the variables. The short run dynamics results were robust and impressive given that each of the coefficients of determination (R-squared) and their adjusted counterparts were quite high. Furthermore, the results indicated that while capital expenditure exerted negative impact on the education sub-sector development, recurrent expenditure displayed a positive impact on the sub-sector. The paper therefore recommends that government, as a matter of frantic efforts and deliberate policies, scales up its capital expenditure on education sub-sector development as well as intensifying capacity building that would engender qualitatively improved education service delivery. This would only be possible if urgent institutional frameworks, procedures and governance styles that accord with international standards are urgently introduced and implemented.},
 year = {2020}
}

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TY  - JOUR
T1  - Government Expenditure and Education Sub-sector Development in Nigeria: An Empirical Investigation
AU  - Stephen Ebhodaghe Ughulu
AU  - Stella Eghoikhunu Ughulu
Y1  - 2020/08/04
PY  - 2020
N1  - https://doi.org/10.11648/j.ijafrm.20200503.14
DO  - 10.11648/j.ijafrm.20200503.14
T2  - International Journal of Accounting, Finance and Risk Management
JF  - International Journal of Accounting, Finance and Risk Management
JO  - International Journal of Accounting, Finance and Risk Management
SP  - 149
EP  - 156
PB  - Science Publishing Group
SN  - 2578-9376
UR  - https://doi.org/10.11648/j.ijafrm.20200503.14
AB  - This paper examined empirically the impact of government expenditure on the education sub-sector development in Nigeria for the period 1980 to 2017. Government expenditure was decomposed into capital and recurrent expenditures, while education sub-sector development was viewed from the perspectives of the States and Local Governments dependence (FDR), fiscal concentration (FCR), and per capita income (PCI). The data of the study were obtained from both the National Bureau of Statistics and the Central Bank of Nigeria Statistical Bulletins. The fully modified ordinary least squares (FMOLS) approach of the econometrics was used to estimate the findings/results of the paper. Some of the major findings of the paper indicated that all the variables became stationary after first differencing and that the series for all the equations were cointegrated thereby suggesting the existence of long run relationships among the variables. The short run dynamics results were robust and impressive given that each of the coefficients of determination (R-squared) and their adjusted counterparts were quite high. Furthermore, the results indicated that while capital expenditure exerted negative impact on the education sub-sector development, recurrent expenditure displayed a positive impact on the sub-sector. The paper therefore recommends that government, as a matter of frantic efforts and deliberate policies, scales up its capital expenditure on education sub-sector development as well as intensifying capacity building that would engender qualitatively improved education service delivery. This would only be possible if urgent institutional frameworks, procedures and governance styles that accord with international standards are urgently introduced and implemented.
VL  - 5
IS  - 3
ER  -

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