ISSN 2736-1721
Global Journal of Business Management ISSN 6731-4538 Vol. 3 (11), pp. 001-007, November, 2009. © International Scholars Journals
Review
An insight into the behavior of Nigeria’s private consumer spending
Mike A. Onodje
Macro Division, Economic Management Department, Centre for Management Development, P.M.B., 21578, Ikeja, Lagos, Nigeria. E-mail: [email protected]. Tel: 2348054597905.
Accepted 20 July, 2009
Abstract
The paper extends empirical studies on the effects of fiscal policy shocks on private consumption to the Nigerian situation. It examines whether government expenditure shocks and tax revenue shocks have Keynesian effects. Data spanning the period 1980 to 2004 were used to estimate a Vector Error Correction Model. The estimation results show that both government consumption and tax revenue shocks have Keynesian effects; thereby validating the position of the empirical literature.
Key words: Consuming, cointegration, expenditure, Nigeria.