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FISCAL DISCIPLINE AND ECONOMIC GROWTH: AN EMPIRICAL INVESTIGATION OF OPTIMAL THRESHOLD FOR FISCAL DEFICIT IN NIGERIA

This study examines the connection between fiscal discipline and economic growth in Nigeria, focusing on identifying the ideal fiscal deficit threshold between 1981 and 2025. A set of macroeconomic variables including GDP growth, CPI inflation, primary balance, gross fixed capital formation as a ratio of GDP, labour force participation rate, exchange rate and financial deepening were used in the study with various econometric technique deployed for empirical analysis. Augmented Dickey fuller and Phillips-Perron Unit root tests revealed that all variables were stationary at first difference whi…

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    from https://tijer.org/jnrid/papers/JNRID2510019.pdf