Volume 07 Issue 01 January 2024
1Cynthia C. F. Dikeogu-Okoroigwe, 2Akunya L. Ifeanyichukwu, 3Nwizu Esther Amarachi
1,2Department of Economics, Alvan Ikoku Federal College of Education Owerri, Imo State, Nigeria
31001 Fanshawe College Blvd London, Ontario
DOI : https://doi.org/10.47191/ijsshr/v7-i01-06Google Scholar Download Pdf
ABSTRACT
The study investigated the effect of human capital investment on labour force participation in Nigeria from 1990 to 2021. The study used Government Expenditure on Education, Government Expenditure on Health and Government Expenditure on Research and Development to proxy human capital investment as the independent variables while labour force participation rate was used as the dependent variable. Descriptive statistics, unit root test, vector error correction model test were employed to analyze the data. The study reveals that Government Expenditure on Education (XEDU) had a negative and significant impact on Labour force participation (LBFP) in Nigeria; Government Expenditure on health (XHLT) has a positive, but statistically insignificant impact on Labour force participation (LBFP) in Nigeria. The study thus concluded that human capital investment did not promote labour force participation in Nigeria. The study recommends that there is the need for the government in Nigeria to comply with the bench mark of 26% specified by UNESCO. There is the need to improve on the pay package of the health workers and teachers at all levels of education. The government should adopt efficient planning and monitoring.
KEYWORDS:Human Capital Investment, Labour Force Participation, Government Expenditure on Education, Government Expenditure on Health,
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