AN ASSESSMENT OF THE DETERMINANTS OF AGRICULTURAL OUTPUT IN NIGERIA: 1981-2018
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ABSTRACT
This study assesses the determinants of agricultural output in Nigeria using annual data covering periods from 1981 to 2018. The variables employed were Agricultural Growth (AG), Agricultural Credit (AC), Government Expenditure on Agriculture (GEA) and Money Supply (MS) with Agricultural Growth (AG) as the dependent variable. The study employed the use of econometric analysis such as; Descriptive statistics, Unit root test (ADF), Granger causality test, Johansen co-integration test and Ordinary least square (OLS) regression. Specifically, this study was carried out to assess whether or not the selected variables have any impact on the level of agricultural output in Nigeria and to investigate the causal relationship between these variables and agricultural output. The study revealed that Agricultural Credit (AC) and Government Expenditure on Agriculture (GEA) both have negative effects on Agricultural output whereas Money Supply (MS) has a positive effect on Agricultural output spanning the period of 1981-2018. The study however recommended programs which will support the agricultural sector by providing the farmers with easy access to loans without the issues they face at the banks. The study also recommended the government making financial adjustments on the country’s annual budgets in such a way that more funds are allocated to the agricultural sector which can make it a priority
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