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AGRICULTURAL PRODUCTIVITY AND ECONOMIC GROWTH: IMPACT ANALYSIS FROM NIGERIA
Abstract: This study examined the impact of agricultural productivity on economic growth in Nigeria between the periods of 1981 to 2015. The Johansen cointegration test was employed to determine the existence of long run relationship between agricultural productivity and economic growth. Error Correction Model (ECM) was employed to determine the short run impact of agricultural productivity on economic growth. From the results, it was found that the agricultural labour productivity and agricultural value added were the positive determinants of economic growth. The study concluded that improvement in the performance of the agricultural sector has a significant effect on economic growth in Nigeria. Therefore, the government should encourage labour force participation in the agricultural sector by increasing investment in the agricultural sector.
Index Terms: Agricultural Value Added, Labour and Capital Productivity, Error Correction Model (ECM), Economic growth, Nigeria.