Economics, Econometrics and Finance
4 years ago

Bidirectional causality found between government spending and revenue in Nigeria.

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The IUP Journal of Public Finance
The Causal Relationship Between Government Spending and Revenue in an Oil-Dependent Economy: The Case of Nigeria
Omo Aregbeyen, Taofik Mohammed Ibrahim

Paper Summary

The study looked at how government spending and revenue are related in Nigeria from 1970 to 2006. The researchers found that there is a two-way connection between government spending and tax revenue in Nigeria. This means that changes in government spending can affect tax revenue, and vice versa.

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