Human Capital Development and Economic Growth in Nigeria

Abstract

This study aims to clarify the inconsistencies surrounding the connection between human capital development and economic growth, particularly in the context of Nigeria. Despite claims of positive influence, evidence supporting the purported positive effect of human capital development on economic growth is sparse. This study focuses on the long-term effects of human capital development on economic growth from 1990 to 2022, employing the Autoregressive Distributed Lag (ARDL) model to analyze the secondary data used for the study. The findings of the study indicate a positive relationship between human capital and economic growth, while human capital development appears to negatively impact economic growth. Furthermore, the relationships identified were found to be statistically insignificant. To enhance human capital development, the study suggests that increasing labour wages could be a viable strategy.