Education Expenditure and Economic Growth in Nigeria Essay Example for Free

genteelness Expenditure and Economic Growth in Nigeria EssayEducation is a ferment in which knowledge and social capabilities demanded, atomic number 18 acquired. It is to a nation, what the mind is to the body, just as a dead soul mind is handicapped in the co-ordination and direction of the bodily activities setbacks in the preparation system would act as a hindrance to economic breeding. Thus, the single most signifi elicitt complex of social-control tools for national growing is pitch in the schoolingal system be it formal or informal. (Uwadia , 2010).It is also accepted that the development of every nation depends largely on the development of the human population in that nation which can majorly be improved through education. Smith (1937) stressed the significance of education in human capital formation. consequently it follows that a reduction in the investment in education would affect the stock of the overall human capital base and productivity. Thus invest ment on education is considered to be a critical component to alleviate poverty, reduce unemployment and annex economic growth (Chukwu, 2011).It is with this knowledge that The UNESCO recommended that 26% of the annual budget be allocated to the Education heavens and the agreement between the Federal Government and Staff unions on October 22, 2009 was also aimed at the improvement of the education sector. However in our topic we would realize that a country like Nigeria has been operate below the percentage recommended by UNESCO as our cost on education usually lies around 5.3%. harmonise to the Federal Ministry of Education (2003), the educational system in Nigeria faced ill periods between 1979-1995 due to resurgence of instability and financial inadequacies in the management, and was affected by the general economic downturn of the 1980s.In receipt to this, the Federal Government subsequently increased the budget allocation to education in the following years. These incr ements can be observed from 1995-2004 whereby education usance increased from N12,816,400,000 in 1995 to N93,767,886,839 in 2004. A total increase in expenditure by 631.63%. Such a huge increase in education expenditure should initiate a relatively large increase in the Nigerian education system.It is however patent that the growth of the Nigerian economy has led to an increase in the National budget allocation to education over the years but how this in turn has played a role in the development of the Education sector, remains a puzzle unsolved. All these provoked the conduct of this study.In this vain, it is expected that in a developing country like Nigeria that seeks to achieve economic development, the increasing amounts pumped into the education sector will be utilized effectively and in turn will result to the development of Education in Nigeria. However, this is non the case.A cursory glance at the quality of our education reveals that Nigeria is a unyielding way from re aching neither the promised land of Education for all by 2015 nor its wide dream of cosmos one of the 20 best world economies by 2020. With more money driven into the sector and nonentity to show for it, one can then infer that the cause of our torpid education system is not financial inadequacy. On the other hand, it may be a contributing factor. Hence the need for our study arises.In the light of this, this study is carried out with the aim of highlighting the relationship between education expenditure and the development of the education sector. Also, we shall show how the education standard is deteriorating despite the increment in budgetary allocations from 1995 to 2004.Explicitly, the objectives are as follows a.To determine and assess the pattern of Government expenditure on education. b.To ascertain the performance of the education sector in comparison to Government expenditure in the sector.This study is carried out on the Nigerian education sector with emphasis on Nigeri as budget allocation to Education and so all resources and observations to be made are restricted to Nigeria. data and information to be used in this enquiry are secondary data obtained. These data are to be gathered between May thirtieth and June 17th, 2011.This research on the Nigerian Education sector shall be based on data from 1995 to 2004 (ten years). It was in this period that a steady increase in the budget allocation to the education sector was observed.Data required to carry out this research shall be extracted from The National Bureau of Statistics publications Federal budgetary allocations. Ministry of Education, Awka zonary Office The Joint Admission Matriculation Board (JAMB) Zonal Office The National Examination Council (NECO) zonary office The West Examination Council (WAEC). The Central Bank of Nigeria Annual publications on the National budget.In this research paper, the ordinary least squared method will be employed using annual cartridge clip series data (1 995-2004), in order to assess the impact of education expenditure on the development of the sector.This work will be done in the form of a research paper because it is an spread out essay that presents out own interpretation, evaluation and argument. We have succeeded in building upon what we know about the disceptation of the problem at hand.