标题：Nigerian economy depends on oil as the major source of revenue,failure to di versify the revenue base has raised questions about its sustainability and implication on the economy.This study uses market capitalization,broad money stock, credit to private s
出版社：LLC “Consulting Publishing Company “Business Perspectives”
摘要：Nigerian economy depends on oil as the major source of revenue,failure to di versify the revenue base has raised questions about its sustainability and implication on the economy.This study uses market capitalization,broad money stock, credit to private sector,prime interest rate and deposit liability as proxies for the financial sector,while output in the manufacturing sector and manufacturing em?ployment are used as proxies for manufacturing performance.The study examines the causal effects,shock effect and long-run impact using Granger Non-Causality, Vector Error Correction Model,and Dynamic Ordinary Least Square method,re spectively.The results showed unidirectional causality,confirming the hypothesis of the 'supply-leading view'and 'demand-following view'except for market capi?talization and output in the manufacturing sector,where independence was ob?served.The variance decomposition shows that the forecast error shock of credit to private sector and prime interest rate show more variations in manufacturing sector performance than other financial indicators.The long-run result using out?put in manufacturing sector as dependent variable shows a positive significant relationship with other financial sector indicators,except for broad money stock and deposit liability.This study recommended credit channel for transmission of monetary policy using interest rate to improve the performance of manufacturing sector,among others.
