Keji Sunday Anderu, Omolade Adeleke

Keywords: Inflation, agriculture, hunger, protest, autoregressive distributed lags

Abstract

Investments in economically inclined agricultural inputs in Nigeria have always been constrained by persistence rise in goods and
services across the country, especially during this period of slow economic recovery which has resulted to hunger protests. This study investigates the effect of inflation rate on agricultural output growth in Nigeria, as a panacea to hunger protests. The study systematically explained the short-run and long-run effects of inflation rate on
agricultural output growth, using Auto-regressive Distributed Lags (ARDL) approach. Findings revealed that inflation rate has significant short-run and long-run effects on agricultural output growth in Nigeria. Similarly, post estimations analysis via Heteroskedasticity and Autocorrelation tests were adopted to establish the absence of biased estimation in the estimated models as exhibited by the CUSUM Square. The study established short-run and long-run effects of inflation rate on agricultural output growth via system ARDL to provide valuable insights to policymakers.
Consequently, the study recommends for the stabilization of general price level through single digit inflationary policy.

Author Biography

Keji Sunday Anderu, Omolade Adeleke

Department of Economics, Federal University Oye-Ekiti, Nigeria

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