Title:
IMPACT OF NIGERIAN CAPITAL MARKET ON ECONOMIC GROWTH: A CO-INTEGRATION APPROACH 7/12/2016

Authors:
MUSIBAU OLUWASEYI HAMMED, WALIU OLAWALE SHITTU, HAMMED AGBOOLA YUSUF, Dr. SA'AD BABATUNDE AKANBI

Volume - 2 Issue - 4, Pages - 3034-3054

Abstract:
This study examined the impact of economic growth and development in Nigeria using vector error correction model to examine the long-run relationship between the capital market development and economic growth, the study used annual series from 1970 to 2013. Variables such as Gross Domestic Product (GDP), Market Capitalization (MCAP), Total New Issues(TNI and Value of Share Traded Total Listed Equity (VST) are used for the study. The empirical results indicate a long-run relationship between the capital market development and economic growth in Nigeria. Meanwhile, ECMt coefficient confirmed that, there is long run equilibrium between GDP and Capital Market Variables i.e at every 1 million increase in Capital Market Variable, GDP will increase by 0.085 million since the speed of adjustment to equilibrium is 0.0857. The Granger causality results at lag 2 showed that market capitalization and value of shares traded granger causes real GDP with no reverse or feedback effect.

Cite this Article:

[HAMMED, MUSIBAU OLUWASEYI, WALIU OLAWALE SHITTU, HAMMED AGBOOLA YUSUF, and SA’AD BABATUNDE AKANBI. "IMPACT OF NIGERIAN CAPITAL MARKET ON ECONOMIC GROWTH: A CO-INTEGRATION APPROACH 7/12/2016." International Journal of Social Science & Economic Research 2.4 (2017): 3034-054. ]