Public Spending in Education Sector and Poverty Level in Nigeria
Keywords:
poverty and education, Public SpendingAbstract
This study focuses on the empirical examination of government spending in Education and poverty
level in Nigeria. The study uses time series data from 1980 to 2017, which are sourced from CBN
and World Bank Records. It employs ordinary least squares (OLS), Augmented Dickey–Fuller
(ADF) Test, unit root, Johansen’s Co-integration analysis and error correction model to analyse
the relationship between Government Expenditure on Education (GEE) and Poverty Rate in Nigeria.
Four variables which include: Government Capital Expenditure on Education (GCEE), Government
Recurrent Expenditure on Education (GREE), Primary School Enrolment Rate (PSER) and
Secondary School Enrolment Rate (SCER) are considered. The findings reveal that Government
Capital Expenditure on Education (GCEE) and Secondary School Enrolment Rate (SSER) were
positively linked with poverty in Nigeria, while Government Recurrent Expenditure on Education
(GREE) and Primary School Enrolment Rate (PSER) show a negative relationship with poverty
rate in Nigeria. The study, therefore, recommends that government through budget planning,
implementation and monitoring should ensure that education funds are properly and fully utilized
in Nigeria to improve public spending in education and poverty rate in Nigeria.
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