Rebasing of the Nigerian Economy and the Real Imperatives of Development: A Case for Agricultural Renaissance in Nigeria.

Abstract

The major focus of this study is to analyze the relationship between agricultural output and government expenditure on agriculture, over the period 1970 to 2011.  Specifically, it sought to: investigate the existence of long-term relationship between agricultural output and government expenditure on agriculture; and also to determine the nature and direction of causality between both variables. We employed simple OLS Regression Technique  and Granger Causality Test. The Study revealed that Government expenditure on Agriculture has a positive and significant influence on Agricultural output. Government effort should be aimed at revitalizing the Agricultural sector in Nigeria through the approach of increasing its spending on Agriculture.

Keywords: Rebasing, Development, Agricultural Output, Government Expenditure