All books bought on the website can only be read on the app. Download Jackobian to have access to your materials
Using a novel approach, this study disaggregates and estimates the impact of foreign
capital inflows on unemployment in Nigeria by adopting the Auto-Regressive
Distributed Lag- Unrestricted Error Correction Methodology (ARDL-UECM). The
ARDL-bounds test co-integration results show evidence of co-integration between
disaggregated Foreign Capital Inflow variables (such as Foreign Direct Investment,
Foreign Portfolio Investment and Remittances) and unemployment rate in Nigeria
within the period from 1977Q1 – 2013Q4. The empirical results also show that foreign
direct investment, foreign private investment and trade openness have negative impact
on unemployment rate. On the other hand and interestingly, remittances and real
exchange rate show a positive impact. The study therefore recommends the routing of
remittances through the banking channels which would help in allocating remittances
and other financial flows to productive uses. Again, government should enact investor-
friendly policies and build conducive business environment in order to attract more
Foreign Capital Inflows which will support job creation for the teeming population and
thereby reduce biting unemployment
