THE EFFICIENCY OF EDUCATION EXPENDITURE IN NIGERIA

This study empirically probes the efficiency of education expenditure in Nigeria from 1990 to 2018. This study was specifically carried out to examine the impact of education expenditure on economic growth, human capital development and level of literacy rate in Nigeria. The study employed Augmented Dickey-Fuller (ADF) test, ARDL bounds cointegration test, and the short-run diagnostics and stability for ARDL model in the analysis. The research findings probe that education expenditure had significantly negative impact on economic growth in Nigeria. Also, education expenditure has significant positive impact on human capital development in Nigeria. Finally, education expenditure has positive but insignificant impact on literacy rate in Nigeria. Base on the findings, Government should constantly review an upward budgetary allocation to education sector in order to achieve a sustainable economic growth and reduced the level of literacy rate in Nigeria