What are the determinants of government expenditure?
The studies have identified income per capita, dependency ratio, population, urbanisation, trade openness, foreign aid, and inflation, among others as the determinants of government expenditure.
What are the 5 items of government expenditure in Nigeria?
The major items of public expenditure in Nigeria include: administration, economic services, infrastructures and social amenities, national security and defence, grants and aids and interest on loans.
What are the major causes in increase of public expenditure in Nigeria?
In Nigeria, government expenditure has continued to rise due to the huge receipts from production and sales of crude oil, and the increased demand for public goods like roads, communication, power, education and health.
What are the factors that determine government expenditure in Nigeria?
The study concluded that oil revenue, GDP, population, trade openness, oil price, taxation and inflation are important determinants of the size of Nigeria’s government expenditure.
What is government expenditure in Nigeria?
Nigeria’s total national government expenditure amounted to around 9.7 trillion Naira (some 23.7 million U.S. dollars) by the end of 2019. Compared to the previous years, the total spending of the Nigerian government increased considerably. Data was obtained by the Nigerian company Nairametrics, a Lagos-based company.
What is Nigeria government expenditure?
In 2020, general government total expenditure for Nigeria was 18,672 billion LCU. General government total expenditure of Nigeria increased from 2,510 billion LCU in 2001 to 18,672 billion LCU in 2020 growing at an average annual rate of 12.97%.
What are the factors contributing to increase in government expenditure?
11 Main Causes of Growth of Public Expenditures – Explained!
- Income Elasticity and Increase in Per Capita Income:
- Welfare State Ideology and Wagner’s Law:
- Effects of War and the Need for Defence:
- Resource Mobilisation and Ability to Finance:
- Inflation:
- The Role of Democracy and Socialism:
- The Urbanisation Effect:
What are the reasons for increase in government expenditure?
What determines the size of Nigeria’s government expenditure?
The findings of the study reveal that oil revenue, GDP, population, trade openness, oil price, taxation and inflation are important determinants of the size of Nigeria’s government expenditure.
Are donors doing enough to help Nigeria’s economy?
While donors may have intentions to provide Nigeria the necessary financial support to get out of its economic problems, this support is apparently not succeeding in stemming public sector corruption, controlling non-oil imports and diversifying the exports.
Is recurrent expenditure affected by poor governance?
The effects of governance show that recurrent expenditure is not affected by any elements of poor governance as much as are capital and overall expenditure. Increased per capita income was found to be in support of Wagner’s law, given the response of total and capital expenditure, but this law was refuted by the recurrent expenditure response.
What is the average share of government expenditure in total expenditure?
The average shares in total governm ent expenditure over the period 1970 to 2012 amount to 42 percent and 58 percent for capital and recurrent expenditure respectively. (Panel B).