Does The Export-Led Growth Hypothesis Hold For Nigeria? Empirics from Toda-Yamamoto Granger-Causality Framework (Published)
This study empirically analyzed the relationship between export and economic growth. Specifically, the study examined the validity of the Export-Led Growth Hypothesis in Nigeria employing the Toda-Yamamoto Granger Causality framework. The result shows that there is unidirectional causality running from export to economic growth. This implies that the causality running from export to economic growth is the strongest, revealing that export-led growth hypothesis holds for Nigeria. This suggests that encouraging export is necessary in stimulating growth. It is therefore imperative for government to put policies in place to stimulate the production in the non-oil sectors of the economy. This would assist in encouraging exports and discourage imports.