Impact of foreign aid on poverty and economic development in nigeria

Nigeria is a country endowed with human, agricultural, petroleum, gas and large untapped mineral resources. Does availability of foreign aid discourages or encourages domestic production of food.

Foreign Aid And Its Impact On Socio-Economic Development In Nigeria

Poverty is a living condition characterized by disease, illiteracy, malnutrition and squalor, to the extent that it inhibits the realization of potentials of individuals and even entire societies. Decreases in food prices can also affect poverty although they tend to impact a different group — small farmers — than food price increases.

Even if average income is high, poverty rate will also be high if incomes are distributed unevenly. They are victims of disease. This research x-rays the contribution of foreign aids as a solution to this problem.

Welfare states and Poverty: Sound policy is another condition given for aid to be beneficial. NEPAD is seen from its formation as a nascent platform designed to pull the continent of socio-economic miasma.

He also contends that the reason countries are poor is not that they lack infrastructure; roads, railways, dams, schools or health clinics. However, some findings disregard these conditions and oppose the benefits of foreign aid altogether.

Aid in primary education enhances growth in low income countries but aid in post-primary education has no significant effect. They simply manage the resources that they have more effectively.

This study attempts to provide answers to the above questions using data from Nigeria. The decision to study foreign aid in an open economy, as opposed to a closed, is three fold.

They conducted regression analysis for a panel of 74 aid-recipient countries over the time period from to He further asserted that it is in the pursuit of interests that conflicts emanate.

SUMMARY, CONCLUSION AND RECOMMENDATION OF THE IMPACT OF FOREIGN AID ON POVERTY IN NIGERIA

The results from Karras show that the effect of foreign aid on economic growth is positive, permanent, statistically signi. There was no attempt to develop industrial and technological skills, which were important for a viable economic and industrial base. These results underscore the importance of the heterogeneity of aid flows as well as the heterogeneity of recipient countries when analyzing the effect of aid on growth.

This allowed them to identify not only the ceteris paribus growth effects of aid using an established conditioning set of policy variables, but also to assess the robustness of this set to the inclusion of aid, and other forms of, investment finance among the growth determinants.

The heated debate over whether Africa stands to remains lost from globalization Agricultural Products from the continent are denied fair access to OECD markets. Another opponent of the gap theory is Erixon Inthe U. Even the euphoria of political independence among the underdeveloped states has worsened dependence and economic backwardness rather than fundamentally or structurally change the status quo.

Most importantly, it provides evidence of a negative impact on growth when aid reduction decreases at an accelerated pace in poor countries. They concluded that although it may be difficult to separate the effects of foreign aid finance from those of other growth-inducing factors, efficient and effective utilization of foreign aid finance can contribute to growth in a stable macroeconomic environment.

In addition to income inequality, an unequal distribution of land can also contribute to high levels of poverty. CHAPTER ONE INTRODUCTION This project focuses on the poverty profile in Nigeria, the foreign aids given to the nation to help alleviate poverty and how it affects the economic development of Nigeria.

FOREIGN AID AND ITS IMPACT ON SOCIO-ECONOMIC DEVELOPMENT IN NIGERIA. CHAPTER ONE: INTRODUCTION.

Does Foreign Aid Have an Effect on Economic Growth? New Research Adds to the Debate

Background to the Study. The role of foreign aid in the growth process of developing countries has been an issueof intense debate.

Foreign aid is an important issue given its implications for poverty reduction in developing countries. Aug 28,  · The main objectives of the study are to examine the impact of foreign aid on Nigeria’s economy development.

The specific objectives, however includes the followings: To examine the nature of foreign aid giving to Nigeria. Alesina, A., and Weder, B. Do corrupt governments receive less foreign aid? (Harvard University). Fatisal Faith Andong| This paper aims to explain the impact of foreign aid in Nigeria, the impact of foreign aid on poverty reduction in Nigeria, and to examine if foreign aid been successful in tackling the issue of poverty.

Nov 22,  · It sounds kind of crazy to say that foreign aid often hurts, rather than helps, poor people in poor countries. Yet that is what Angus Deaton, the newestwinner of the Nobel Prize in economics, has argued.

Deaton, an economist at Princeton University who studied poverty in. IMPACT OF FOREIGN AID ON POVERTY IN NIGERIA Home About Us there are two schools of thought as regards the impact of foreign aid on poverty.

The first school of though believes that foreign aid would help augment the efforts of the government on the standard of living of its people and also aid economic growth.

emerging economies .

Impact of foreign aid on poverty and economic development in nigeria
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