The study looked at how government spending in Nigeria affects the economy, focusing on the short- and long-term impact of different types of spending on the Gross Domestic Product (GDP). They found that overall government spending has a positive effect on the economy in both the short and long run. However, the impact on the agriculture and manufacturing sectors varied. In the short term, government spending caused a decline in agriculture but an increase in manufacturing. In the long term, agriculture output increased with more government spending, while manufacturing output also increased. Capital spending didn't affect the economy, but recurrent spending had a positive impact. The study suggests that increasing capital spending could help Nigeria better benefit from its oil resources.