DOWNSTREAM OIL DEREGULATION AND NIGERIAN ECONOMY

Authors

  • James U. MONDAY Obafemi Awolowo University, Ile-Ife
  • Moses Clinton EKPERIWARE Obafemi Awolowo University, Ile- Ife
  • Bamidele R. MURITALA Obafemi Awolowo University, Ile-Ife

Keywords:

Deregulation, Downstream sector, Economic Growth, Unemployment, Inflation

Abstract

The Nigerian oil and gas industry has been experiencing a showdown since the announcement of the downstream oil deregulation policy. This paper, therefore, seeks to analyse the relationship between deregulation of the downstream sector and Nigerian economic performance using annual data from 1980 to 2009. The Ordinary Least Squares (OLS) regression method was employed to analyze the data. Chow Test was used to determine parameter stability of the regression model, while Granger Causality Test was used to predict the direction of influence. The findings reveal that increase in price of petroleum products and inflation rate were not as a result of deregulation, and deregulating price of petroleum products significantly influence economic growth with marginal inflation. The paper recommends that government should encourage private sector participation in the oil and gas industry.

Author Biography

Moses Clinton EKPERIWARE, Obafemi Awolowo University, Ile- Ife

SPIS, RESEARCH OFFICER I,National Centre for Technology Management (NACETEM), PMB 012,Obafemi Awolowo University, Ile- Ife, Nigeria.

Downloads

Published

15.01.2016

Issue

Vol. 5 No. 1 (2016)

Section

Management, Marketing and Business Administration

License

An copyright form will have to accompany your submission (the signed copyright form has to be scanned). You can get the .PDF form version on-line (see the link bellow). Authors are responsible for obtaining any security clearances. All authors have to sign the copyright transfer form. There are some restrictions regarding the length of the copyright file, so please read carefully the instruction provided there.