AN ANALYSIS OF NIGERIA'S FISCAL POLICY AND OUTPUT GROWTH: TOWARDS ACHEVIEVING THE MILLENIUM DEVELOPM
Authors:
LAWAL Esther
Publication Type: Journal article
Journal:
ISSN Number:
0
Downloads
23
Views
Abstract
Abstract
The eighth MDG to be achieved before the year 2015 is the attainment of global partnership by
developing an open, rule- based and non- discriminatory trading and financial system which makes sure
that developing countries like Nigeria gain greater access to the markets of developed countries and that
least developed countries benefit from tariff reductions, especially on their agricultural products. It is
therefore pertinent that the fiscal policies of developing countries must be targeted towards increasing
exports to developed countries and increasing benefits of tariff reduction by exporters. A growth in output
increases the possibility of favorable balance of trade relations between Nigeria and other developed
countries in terms of an increased export level from a reduced export tariff. This study examines the long
- run equilibrium relationship between the growth rate of output and variations in (custom and excise
duties) trade tariffs using an error correction model and discuss the policy implications therewith on
Nigeria’s partnership with developed nations.