Government Expenditure Pattern and Economic Development in Nigeria
Keywords:
Expenditure pattern,, Inflation Rate, Par Capita,, Economic DevelopmentAbstract
Economic Development can also be described as a process that influences growth and restructuring of an economy to enhance the economic well being of a community. The desire for the attainment of economic stability is pursued by utilization of stabilization policy instruments which are government decision. The objective of this paper is to examine the government expenditure pattern and the economic development of Nigeria. To achieve this objective, data was collected from secondary sources. The secondary sources were from scholarly published and unpublished studies and CBN Statistical Bulletin, World bank data base etc. Multiple regression
and Pearson’s Correlation Coefficient were used in analyzing the data. The empirical analysis provided a significant relationship between Government expenditures and the Economic Development in Nigeria. On the basis of the empirical result, the paper predicts the collapse of the productive sectors of the economy unless the country would drastically reduce its dependence on
imported products including food and services that are actually available locally, and encourage industrial investment and development, and entrepreneurship especially small scale businesses, Therefore, the paper recommends, amongst others, that government should show some degree of accountability and transparency. The Federal Government should address the lopsided budgetary and expenditure pattern, to move the country from a service economy to manufacturing economy and from a consuming economy to a producing economy, by strengthening the private sector and creating the enabling environment for private sector domination in the productive sector.
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