Regional disparities and the role of education in income determination and distribution: The empirical evidence from Nigeria

Regional disparities and the role of education in income determination and distribution: The empirical evidence from Nigeria

This study examined the sources of regional income determination and inequality in Nigeria with particular attention given to the role of educational distribution (inequality). The motivation of the study was twofold. First, there is a growing concern about the country’s economic growth not being ev...

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Main Author: Umar, Habibu Mohammed
Format: Thesis
Language:eng
eng
Published: 2014
Subjects:
HB Economic Theory
L Education (General)
Online Access:https://etd.uum.edu.my/4953/1/s93674.pdf
https://etd.uum.edu.my/4953/7/s93674_abstract.pdf
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id my-uum-etd.4953
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institution Universiti Utara Malaysia
collection UUM ETD
language eng
eng
advisor Ismail, Russayani
Abdul Hakim, Roslan
topic HB Economic Theory
L Education (General)
spellingShingle HB Economic Theory
L Education (General)
Umar, Habibu Mohammed
Regional disparities and the role of education in income determination and distribution: The empirical evidence from Nigeria
description This study examined the sources of regional income determination and inequality in Nigeria with particular attention given to the role of educational distribution (inequality). The motivation of the study was twofold. First, there is a growing concern about the country’s economic growth not being evenly distributed. Differences exist in the economic indicators between the Southern (coastal) and Northern (inland) regions, and such a disparity could be a hindrance to national development. Second, a review of previous studies in the regional economic literature suggests that the sources of regional disparity within the country have not been comprehensively investigated. Realizing that the development of human capital through education is critical to income determination and perhaps in reducing economic disparities across the regions, this study analysed, using the spatial econometric method, whether the regional variation in educational distribution is one of the main factors for this disparity to prevail. Data from the World Bank ‘Living Standards Measurement Survey’ (LSMS, 2013) on Nigeria were used. The study concludes that the leading determinants of regional income level and disparity in Nigeria include not only different levels of educational attainment but also different levels of regional educational inequality. In the Nigerian labour markets, as it is in other developing countries, education premium increases with the level of education. There is a significant variation across regions in the private returns to education in Nigeria, and social returns to education are the highest on secondary education in Nigeria. The findings of this research underscore the point that balanced regional development efforts in a heterogeneous country cannot effectively and efficiently yield the desired result with a 'one size fits all' strategy. The policies should, therefore, take into account regional peculiarities and be directed towards reducing educational inequality both within and between regions in the country
format Thesis
qualification_name Ph.D.
qualification_level Doctorate
author Umar, Habibu Mohammed
author_facet Umar, Habibu Mohammed
author_sort Umar, Habibu Mohammed
title Regional disparities and the role of education in income determination and distribution: The empirical evidence from Nigeria
title_short Regional disparities and the role of education in income determination and distribution: The empirical evidence from Nigeria
title_full Regional disparities and the role of education in income determination and distribution: The empirical evidence from Nigeria
title_fullStr Regional disparities and the role of education in income determination and distribution: The empirical evidence from Nigeria
title_full_unstemmed Regional disparities and the role of education in income determination and distribution: The empirical evidence from Nigeria
title_sort regional disparities and the role of education in income determination and distribution: the empirical evidence from nigeria
granting_institution Universiti Utara Malaysia
granting_department Othman Yeop Abdullah Graduate School of Business
publishDate 2014
url https://etd.uum.edu.my/4953/1/s93674.pdf
https://etd.uum.edu.my/4953/7/s93674_abstract.pdf
_version_ 1776103659319328768
spelling my-uum-etd.49532023-01-17T00:48:25Z Regional disparities and the role of education in income determination and distribution: The empirical evidence from Nigeria 2014 Umar, Habibu Mohammed Ismail, Russayani Abdul Hakim, Roslan Othman Yeop Abdullah Graduate School of Business Othman Yeop Abdullah Graduate School of Business HB Economic Theory L Education (General) This study examined the sources of regional income determination and inequality in Nigeria with particular attention given to the role of educational distribution (inequality). The motivation of the study was twofold. First, there is a growing concern about the country’s economic growth not being evenly distributed. Differences exist in the economic indicators between the Southern (coastal) and Northern (inland) regions, and such a disparity could be a hindrance to national development. Second, a review of previous studies in the regional economic literature suggests that the sources of regional disparity within the country have not been comprehensively investigated. Realizing that the development of human capital through education is critical to income determination and perhaps in reducing economic disparities across the regions, this study analysed, using the spatial econometric method, whether the regional variation in educational distribution is one of the main factors for this disparity to prevail. Data from the World Bank ‘Living Standards Measurement Survey’ (LSMS, 2013) on Nigeria were used. The study concludes that the leading determinants of regional income level and disparity in Nigeria include not only different levels of educational attainment but also different levels of regional educational inequality. In the Nigerian labour markets, as it is in other developing countries, education premium increases with the level of education. There is a significant variation across regions in the private returns to education in Nigeria, and social returns to education are the highest on secondary education in Nigeria. The findings of this research underscore the point that balanced regional development efforts in a heterogeneous country cannot effectively and efficiently yield the desired result with a 'one size fits all' strategy. The policies should, therefore, take into account regional peculiarities and be directed towards reducing educational inequality both within and between regions in the country 2014 Thesis https://etd.uum.edu.my/4953/ https://etd.uum.edu.my/4953/1/s93674.pdf text eng public https://etd.uum.edu.my/4953/7/s93674_abstract.pdf text eng public Ph.D. doctoral Universiti Utara Malaysia Adkins, L. C. (2013). Using gretl for Principles of Econometrics, Version 1.0411. Akanbi, F., (2011, May 15). Nigeria: Income Disparity between North and South Widens. Thisday. 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