Globalization, Economic Growth and Development: The Nigerian Experience (1980 - 2003)

Abstract

From an economic viewpoint, the concept of globalization has created two groups worldwide: the "globaphiles" and "the globaphobes". The "globaphiles" believe that globalization would make nations attain increased real Gross Domestic Product (RGDP) and real per capita income (RPI) and hence increased standard of living. Conversely, the "globaphobes" take the view that the phenomenon would only make the rich nations richer and the poor ones poorer. Secondary data on some relevant macroeconomic variables were collected from 1980 to 2003. These data were inferentially analyzed to sec if the performance of the leading globalization indices like the degree of openness (OPN), real direct investment (RDI), real exports (RXP) and real equity investment (REI) contributed to RGDP and RPI growths and economic development. From the VectorAutoregression (VAR) performed, the results were discussed.