MILITARY EXPENDITURES AND ECONOMIC GROWTH IN NIGERIA: AN ARDL APPROACH

Abstract

The main objective of this study is to assess the relationship between military expenditure and the level of economic growth in Nigeria. This study is framed theoretically on the economic growth theory with endogenous technology and the Augmented Solow model. The ex-post facto research method was adopted in this study and secondary data was collected over a time-frame of thirty-eight years which spanned from 1982 to 2020. Inferential statistics which includes the ARDL amongst others is used to analyse the data collected. The result shows that in the short-run, there is a positive relationship between military expenditure and economic growth in Nigeria and inversely related in the long-run. It is concluded from this study that military expenditure has a significant relationship with economic growth in Nigeria. It is recommended from this study that in addition to incurring of military expenditure, strategies should be set-up to promote the effectiveness and efficiency of the military in order to enhance economic growth in Nigeria.