Impact of exchange rate fluctuation on the Nigeria economic growth

By

Author

Presented To

Department of Economics

97 Pages 11,614 Words 105 Views Microsoft Word Format No. of Chapters: 1 to 5 Chapters

Reference/Bibliography: YES 4,000 NGN PROJECT

ABSTRACT

This study evaluates the relationship between exchange rate fluctuations and its impact

on the Nigerian economic growth. This study made use of secondary annual data from

the Central Bank of Nigeria (CBN)’s statistical bulletin & publications from the National

Bureau of statistics (NBS). This study adopted the classical least regression model and

ordinary least square method (OLS) to analyze the data. This study has been able to

demonstrate that exchange rate fluctuations is pivotal to the economic growth of Nigeria,

other economic variables used in this study ((EXR) exchange rate, (INT) interest rate,

(INF) inflation rate and (TB) trade) may result in a direct impact on the Nigerian

economic growth. The study concludes that Since exchange rate fluctuation has a direct

impact on the economy. There is need to develop an effective exchange rate regime. An

efficient exchange rate would help to curtail inflation, improve Nigeria’s balance of

trade, and boost Nigeria’s production capacity which are key indicators of positive

economic growth.

TABLE OF CONTENT

Title page - - - - - - - - - - - - - - - i

Declaration - - - - - - - - - - - - - - ii

Approval page - - - - - - - - - - - - - - iii

Dedication - - - - - - - - - - - - - - . - iv

Acknowledgement - - - - - - - - - - - - . - v

Abstract - - - - - - - - - - - - - - - .vi

Table of content - - - - - - - - - - - - - vii

List of figures - - - - - - - - - - - - - - .ix

List of tables - - - - - - - - - - - - - - .x

CHAPTER ONE: INTRODUCTION

1.1 Background of the study - - - - - - - - - - - .1

1.2 Statement of the problem - - - - - - - - - - - 10

1.3 Objective of the study - - - - - - - - - - - - .11

1.4 Formulation of research hypothesis - - - - - - - - - - .12

1.5 Significance of the study - - - - - - - - - - - 12

1.6 Limitations of the Study - - - - - - - - - - - . - 13

1.7 The scope of the study - - - - - - - - - - - - 13

CHAPTER TWO: REVIEW OF RELEVANT LITERATURE

2.1 Conceptual Framework - - - - - - - - - - - . - 14

2.2 Theories of Exchange rate - - - - - - - - - - - .17

2.2.1 Optimum currency area theory (OCA) - - - - - - - - - 17

2.2.2 Mint parity Theory - - - - - - - - - - - . - 19

2.2.3 Purchasing power parity - - - - - - - - - - - .20

2.2.4 Balance of payment/modern theory - - - - - - - - - 24

2.2.5 The Elasticity approach - - - - - - - - - - - - 28

2.3 Empirical literature - - - - - - - - - - - - 30

2.4 Limitations of previous studies - - - - - - - - - . - 40

2.5 Definition of terms - - - - - - - - - - - - 43

CHAPTER THREE: RESEARCH METHODOLOGY

3.1 Model specification - - - - - - - - - - - - - 48

3.2 Method of evaluation - - - - - - - - - - - - 50

3.3 Statistical test (first order) - - - - - - - - - - - 52

3.4 Economic second order test - - - - - - - - - - - 52

3.5 Nature and source of data - - - - - - - - - - - - 53

CHAPTER FOUR: ANALYSIS, RESULTS AND DISCUSSION

4.1 Presentation & interpretation of result - - - - - - - - - 54

4.1.1 Results of Granger-Causality Test - - - - - - - - - - 55

4.1.2 Results of Augmented Dicky Fuller Test (ADF) - - - - - - .57

4.1.3 Result of Cointegration analysis - - - - - - - - - .59

CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATIONS

5.1 Summary of findings - - - - - - - - - - - - - 61

5.2 Conclusion - - - - - - - - - - - - - - 62

5.3 Policy recommendation - - - - - - - - - - - - .62

REFERENCES - - - - - - - - - - - - . - - .64

APPENDIX - - - - - - - - - - - - - - - - - 67

LIST OF FIGURES

Figure 1: Patterns of exchange rate, showing the different rate regimes - - - - 3

Figure 2: movement of exchange rate, supply of money and gross domestic product - .6

Figure 3: movement of exchange rate & external reserve - - - - - - .7

Figure 4: Trend of exchange rate & selected macroeconomic indicators in Nigeria (1980

– 2010)

- - - - - - - - - - - - - - - - - - .9

LIST OF TABLES

Table 1.1: Descriptive statistics results - - - - - - - - - - .54

Table 1.2: Results of Granger-Causality

test - - - - - - - - - .55

Table 1.3a: Results of ADF – Unit Root

test - - - - - - - - - .57

Table 1.3b: Results of ADF – Unit Root

test - - - - - - - - - .58

Table 1.3c: Results Cointegration

analysis - - - - - - - . - - - 58

97 Pages 11,614 Words 105 Views Microsoft Word Format No. of Chapters: 1 to 5 Chapters

Copy/document the link below if you want to visit this page next time

                https://e-projecttopics.com../Zoology&0

FOR ENQUIRY
[email protected]
09019904113

Why Students Love to Use e-Project Material?

Guaranteed Delivery: Getting your project delivered on time is essential. You cannot afford to turn in your project past the deadline. That is why you must get your project online from a company that guarantees to meet your deadline. e-Project Topics Material Centre is happy to offer instant delivery of projects listed on our website. We can handle just about any deadline you send our way. Satisfaction Guaranteed: We always do whatever is necessary to ensure every customer's satisfaction.

Disclaimer

e-Project Topics Material Centre will only provide projects as a reference for your research. The projects ordered and produced should be used as a guide or framework for your own project. The contents of the projects should help you generate new ideas and thoughts for your own project. It is the aim of e-Project Topics Centre to only provide guidance by which the projects should be pursued. We are neither encouraging any form of plagiarism nor are we advocating the use of the projects produced herein for cheating.

Terms and Conditions

Using our service is LEGAL and IS NOT prohibited by any university/college policies. You are allowed to use the original model papers you will receive in the following ways:

As a source for additional understanding of the subject
As a source for ideas for your own research (if properly referenced)
For PROPER paraphrasing (see your university definition of plagiarism and acceptable paraphrase) Direct citing (if referenced properly)

Thank you so much for your respect to the author's copyright.