Economics at your fingertips  

Computable General Equilibrium Analysis of Increase in Government Agricultural Expenditure on Household Welfare in Nigeria

Paul Iorember and Gylych Jelilov ()

African Development Review, 2018, vol. 30, issue 4, 362-371

Abstract: In spite of the renewed interest in agriculture as the main driver of the economic policy which focuses on diversifying the economy away from oil‐based to agriculture‐driven economy, there seems to be no evidence of the policy effect on the welfare of the people. This study aimed at investigating the effect of an increase in government agriculture expenditure on the well‐being of rich and poor households in Nigeria. The study employed a computable general equilibrium model given its appropriateness in handling economy‐wide and the welfare effect of specific policies. Simulations results reveal that the welfare of both rich and poor households improves with an increase in agriculture expenditure share. The improvement for both households as well as overall economic welfare was found to be highest under simulation one (25 per cent increase in agriculture expenditure share), followed by simulation two (10 per cent increase in agriculture expenditure share) and then simulation three (5 per cent increase in agriculture expenditure share). The study therefore recommends that government should significantly increase funding of agriculture through increased allocation to the agricultural sector in compliance with the Food and Agriculture Organization and the Maputo 2003 declarations on Agriculture.

Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=1017-6772

Access Statistics for this article

African Development Review is currently edited by John C. Anyanwu, Hassan Aly and Kupukile Mlambo

More articles in African Development Review from African Development Bank Contact information at EDIRC.
Bibliographic data for series maintained by Wiley Content Delivery ().

Page updated 2023-03-26
Handle: RePEc:bla:afrdev:v:30:y:2018:i:4:p:362-371