The Long-Run Relationship Between Population And Economic Growth – A Comparative Study Of Ten African Economies
John Okey Onoh
Department of Banking & Finance, Abia State University, PMB 2000, Uturu, Nigeria
Gbalam Peter Eze
Department of Finance & Accountancy, Niger Delta University, Wilberforce Island,, Bayelsa State, Nigeria
Keywords: Long-run, relationship, population, economic growth, African economies
Abstract
The study was on the long-run relationship between population and economic growth – a comparative study of ten African economies with the highest GDP per capita growth in Africa. The problem of study here is that Africa’s population has been increasing at a fast rate and if adequate planning is not made it could lead to rise in unemployment, lower wages and subsequently lower output equilibriums. For the technologically backward countries rising populations means lower per capita availability of capital. The methodology used was to test three hypotheses. By using granger causality, unit root tests, OLS and cointegration. The findings indicate that there are significant and positive correlations between population and GDP per capita over the 57 years under study. The recommendations include improved technology to increase exports, reduce unemployment and subsequently GDP per capita. Again the African countries needs to increase efforts at economic cooperation and diversification of their various economies for a synergy protecting them from competition given that other countries in the west and Asia are in similar regional cooperations