The Effect Of Federal Expenditure And Money Supply On The Rate Of Unemployment (1989-2000)

ABSTRACT

This study is motivated by the fact that federal expenditure and money supply are tools that have an effect on the rate of unemployment. But to which extent, these instrument have contributed either to worsen the problem of unemployment or alleviate it.

To investigate this problem, two hypotheses were formulated as follows.

Ho:There is no relationship between money supply and unemployment.

Hi:There is no relationship between federal expenditure and unemployment.

In testing the hypothesis, secondary data was used and analyzed using regression and correlation analysis as well as student t-test. The following are summary of the major findings from the analysis carried out in the study.

Federal expenditure and money supply contributed little to the reduction on the rate unemployment between (1980-2000).

The package of National directorate of employment programme conmcerning encouragement and generation of employment opportunities for most especially school teachers from secondary school and graduate from higher institution seems to be less vigorous since 1992 till date.

The inability of government of both federal and state levels to lift embargo on public sector employment from (1994 to August 1999) could be partly responsible for the high level of graduate unemployment in the Urban areas.

On the strength of the findings, the following recommendations were made.

 The use of these tools (federal expenditure and money supply) need to be reviewed to enhance their potential for addressing the rate of unemployment.

Alternative tools may be used to complement federal expenditure and money supply towards the alleviation on the rate of unemployment.

The tool thrust should be the establishment of most micro-credit scheme to assist enterprising unemployed people to set on micro business across the country.

There is need to build up human capital, this mean improving the knowledge, shall, capacities and the mental and physical conditions of the masses.

 

TABLE OF CONTENTS

TITLE PAGE

APPROVAL PAGE

DEDICATION

ACKNOWLEDGEMENT

ABSTRACT 

TABLE OF CONTENT 

CHAPTER ONE

1.1Background of the study

1.2Statement of the problem

1.3Objective of the study

1.4Scope of the study

1.5Research hypothesis.

1.6Significance of the study

1.7Limitation of study

1.8Definitions of basic concepts.

Reference   

CHAPTER TWO

2.0Review of Literature 

2.1Theoretical Literature

2.2Empirical Literature

2.3References 

CHAPTER THREE

3.0Research deign and methodology 

3.1Model specification 

3.2Area of study/coverage 

3.3Source of data / analytical techniques 

3.4Decision rule

CHAPTER FOUR

4.0Presentation and analysis of data

4.1Presentation data

4.2Presentation of table 

4.3Interpretation of table

4.4Test of hypothesis 

4.5Reference.

CHAPTER FIVE

5.0Summary of findings

5.1Conclusion 

5.2Recommendation 

5.3Suggestion for further research 

5.4Bibliography