Effect of Population Growth on Human Capital Development in Nigeria

Abstract

Despite several studies on the impact of human capital development on economic development and studies on the impact of population growth on economic development, only a few studies have directly linked the impact of population growth on human capital development. In view of this, this study analyzes the causal relationship between population growth and human capital development from the period of 1970-2020. The primary school enrolment rate was set as a proxy for human development capital and the population growth rate used to measure population growth. In carryout the study, the Augmented Dicker Fuller test, was used to test for stationarity. The two variables were stationary at levels. The granger causality test was then carried out and results revealed bi-directional causality in that population growth granger caused human capital development and vice versa. This is a preliminary study that hopes to spur up more studies in this direction with specific interest to Nigeria. The policy recommendation is for massive investment in human capital along Lucas postulation and UNESCO education policy for developing nations like Nigeria.