ABSTRACT
The focus of the research is on foreign debt and Economic growth prospects of the Nigeria Economy, using a time scope 1985-2014. The objectives of the study include examining the extent to which external debt affect Gross Domestic Product in Nigeria; to assess the relationship between gross domestic product and government expenditure in Nigeria amongst others. Data of the study is derived from statistical bulletin from debt management office and central bank of Nigeria. The researcher adopted the ex-post factor research design, involving the use of historical variable on gross domestic product in other to describe it consequent effect on External Debt, Government Expenditure, Exchange Rate and Domestic Debt. The data collected from the secondary source is presented in frequency distribution tables; descriptive statistics is used for data analysis while regression analysis is used to test the research hypothesis. It was discovered that external debt affect gross domestic product in Nigeria; there is a significant relationship between government expenditure and gross domestic product in Nigeria and that there is a significant relationship between domestic debt and gross domestic product in Nigeria. The study concludes that external debt is an inducement to economic growth in the country. To this end, the study recommends that the Nigerian government should always consider the debts as means to long run development not just for solving short run problems. Again, government should ensure economic and political stability and external debt should be acquired largely for economic reasons rather than social or political reasons.
TABLE OF CONTENTS
Title page: - - - - - - - - -
Declaration: - - - - - - - - - - ii
Certification: - - - - - - - - - iii
Dedication: - - - - - - - - - - iv
Acknowledgement: - - - - - - - - v
Abstract: - - - - - - - - - - vi
Table of Content : - - - - - - - - -
CHAPTER ONE: Introduction
1.1 Background of the Study: - - - - - - - 1
1.2 Statement of the Problem: - - - - - - 8
1.3 Objectives of the Study: - - - - - - - 9
1.4 Research Questions: - - - - - - - 10
1.5 Statement of Hypothesis: - - - - - - - 11
1.6 Scope of the Study: - - - - - - - 12
1.7 Significance of the Study: - - - - - - 12
1.8 Limitation of the Study: - - - - - - - 14
1.9 Definition of terms: - - - - - - - 16
1.10 Organization of the Study: - - - - - - 18
1.11 Summary: - - - - - - - - - 18
1.12 References: - - - - - - - - - 20
CHAPTER TWO: Literature Review
2.1 CONCEPTUAL FRAMEWORK: - - - - - -
2.1.1 Definition of Eternal Debt: - - - - - - -
2.1.2 History of External Debt: - - - - - - -
2.1.3 Determinant of External Debt: - - - - - -
2.1.4 Advantage and Disadvantage of External Debt: - - -
2.1.5 Management of External Debt: - - - - - -
2.1.6 External Debt Profile: - - - - - - -
2.1.7 Definition of Economic Growth: - - - - - -
2.1.8 Measurement of Economic Growth: - - - - -
2.2 Theoretical Framework : - - - - - 55
2.2.1 Modigliani-Miller Theory: - - - - - -
2.2.2 Debt-Deflation Theory: - - - 56
2.2.3 A Dynamic Theory of Public Spending, Taxation, and Debt: - -
2.2.4 A Theory of Public Debt Overhang: - - - - - 59
2.3 EMPIRICAL VIEW: - - - - - - 60
2.4 Summary: - - - - - - - - 74
2.5 References: - - - - - - - - 75
CHAPTER THREE: Research Methodology
3.1 Introduction : - - - - -- - - 82
3.2 Research Design: - - - - - - - 82
3.3 Population and Sample Size: - - - - - 83
3.4 Sampling Techniques: - - - - - - 83
3.5 Method of Data Collection: - - - - - 84
3.6 Techniques of Data Analysis: - - - - - 85
3.7 Summary: - - - - - - - - 86
3.8. References: - - - - - - - - - 88
CHAPTER FOUR: Data Presentation and Analysis
4.1 Introduction: - - - - - - - - 89
4.2 Data Presentation: - - - - - - - - 89
4.3 Data Analysis: - - - - - - - - 92
4.3.1 Eternal Debt: - - - - - - - -
4.3.2 Gross Domestic Product: - - - - - -
4.3.3 Government Expenditure: - - - - - -
4.3.4 Exchange Rate: - - - - - - - -
4.3.5 Domestic Debt: - - - - - - - -
4.4 Test of Hypotheses: - - - - - -
4.4.1 Test of Hypotheses one: - - - - - -
4.4.2 Test of Hypotheses two: - - - - - -
4.4.3 Test of Hypotheses three: - - - - - - -
4.4.4 Test of Hypotheses four: - - - - -
4.5 Summary: - - - - - - - - -
4.6. References: - - - -- - - - - -
CHAPTER FIVE: Discussions of findings, Conclusion and Recommendation
5.1 Discussions of Findings: - - - - - - -
5.2 Conclusion: - - -- - - -- - - -
5.3 Recommendation: - - - - - - - -
5.4 Recommendation for Further Studies: - - - - -
Bibliography: - - - - - - - - - Appendices: - - - -- - - - - -