THE IMPACT OF ENERGY CONSUMPTION ON THE GROWTH OF INDUSTRIAL OUTPUT IN NIGERIA (1981-2010)

THE IMPACT OF ENERGY CONSUMPTION ON THE GROWTH OF INDUSTRIAL OUTPUT IN NIGERIA (1981-2010)

TABLE OF CONTENTS

TITLE PAGE                                                                         i

APPROVAL PAGE                                                              ii

CERTIFICATION                                                                  iii

DEDICATION                                                                        iv

ACKNOWLEDGEMENTS                                                   v

TABLE OF CONTENTS                                                      viii

ABSRACT                                                                                       x      

CHAPTER ONE: INTRODUCTION                                    1

Background of the Study                                                     1

Statement of Problem                                                           3

Objective of the Study                                                          6

Research Questions                                                             6

Research Hypothesis                                                           7

Significance of the Study                                                     7

Scope of the Study                                                               8

Definition of Terms                                                               8

CHAPTER TWO: LITERATURE REVIEW                        9      

Theoretical Framework                                                                  17

Empirical Findings                                                                40

CHAPTER THREE: METHODOLGY                                 46    

Research Design                                                                            46

Sources of Data                                                                    46

Model Specification                                                              46

A priori Expectation                                                               48

Choice of variables                                                               49

Estimation Techniques                                                                  49

CHAPTER FOUR: RESULTS AND DISCUSSION          51    

Introduction                                                                            51

Presentation of Data                                                             52

Presentation of Results                                                        52

Interpretation of Results                                                       53

Discussion of Findings                                                                  57

CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATION                                                                 60

Summary                                                                               60

Conclusion                                                                             61

Recommendation                                                                 63

REFERENCES

APPENDEXE

 

ABSTRACT

The study examines the contribution of energy consumption on the industrial output growth in Nigeria and to determine the contribution of electricity, coal and crude oil consumption on industrial output growth. The t- test, Durbin Watson and F- statistics were used on time series data from (1981-2010). The results demonstrate the impact of energy consumption on the growth of industrial output in Nigeria. The result simply implies that electricity, coal and crude oil consumption are very important to the volume of industrial output in Nigeria, in view of empirical nexus between energy consumption and growth of industrial output. The study recommends that there should be increase in energy supply most especially in hungry nation like Nigeria in order to enjoy positive influence on industrial output growth.

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