The Effects of some Major Macroeconomic Variables on Unemployment Rate in Nigeria: A Bounds Test Approach

Agbolade, O. A. and Are, S.O (2019) The Effects of some Major Macroeconomic Variables on Unemployment Rate in Nigeria: A Bounds Test Approach. Global Journal of HUMAN-SOCIAL SCIENCE: E Economics, 19 (9). pp. 33-41. ISSN 0975-587X

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Abstract

Nigeria has been experiencing a high unemployment rate over the years. The main objective of this paper is to investigate the effects of some macroeconomic variables such as; Gross Domestic Product, Treasury bill, and Inflation rate on unemployment rate in Nigeria over the period 2006Q1-2018Q4. The long-run and short-run impacts of the variables were analyzed using the bound testing co-integration. The result shows there is a long-run relationship among the variables. The dynamic error correction was carried out, and the long-run and short-run coefficients were extracted using the ARDL model. The result shows that the Gross Domestic Product has a positive significance on unemployment in the long run. However, in the short-run, only GDP contribute significantly to the unemployment rate. The Granger non-causality shows that Treasury bills do not cause Gross Domestic Product. There is unilateral causality from Treasury bill to the unemployment rate and inflation rate.

Item Type:	Article
Subjects:	H Social Sciences > H Social Sciences (General) H Social Sciences > HB Economic Theory H Social Sciences > HN Social history and conditions. Social problems. Social reform
Divisions:	Faculty of Engineering, Science and Mathematics > School of Mathematics
Depositing User:	Mr. Bolanle Yisau I.
Date Deposited:	11 Jun 2021 04:43
Last Modified:	11 Jun 2021 04:43
URI:	http://eprints.federalpolyilaro.edu.ng/id/eprint/1709

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