ABSTRACT
Trade policy has
been a very contentious issue in the development of Nigeria. Using data
spanning the period 1970-2009, we examine the relationship between trade
liberalisation and economic growth in Nigeria. We focus on instabilities in regime,
trade policy, and exchange rate using both single and system estimation
techniques. We find substantial evidence that trade liberalisation has a
systematic impact on growth in Nigeria. Fiscal policy is a determinant of
macroeconomic instability in the country. The paper also argues that
policymakers in Nigeria can reduce macroeconomic instability and vulnerability
to shocks by diversifying the export structures as well as increasing export.
No comments:
Post a Comment