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Assessing the impact of debt overhang on public investment and economic growth in Nigeria

Type of the article: Research ArticleAbstractThis study assesses the impact of debt overhang on Nigeria's public investment and economic growth. The paper utilized the Autoregressive Distributed Lag (ARDL) with annual time-series data from 1981 to 2024 and Myers' debt overhang, fiscal sustainability, and crowding-out effect theories. Public investment growth and economic growth rate were dependent variables, while debt overhang was independent. The control variables included interest rate, exchange rate, and inflation rate. The two models demonstrated a long-term cointegration connection. The …

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