Abstract: Science Set Journal of Economics Research

Abstract:
In this investigation, the effects of trade liberalization on Nigerian economic growth between 1981 and 2018 were examined. To ascertain if the dependent variable and the explanatory variables are temporally volatile, descriptive statistics were used. The relationships between the variables over the long and short terms were also investigated using the Augmented Dickey Fuller (ADF) unit root test. A co-integration test was run to ascertain whether there was a long-run relationship between the variables in order to validate the unit root test result. As a result, only foreign direct investment and labor are statistically significant in predicting economic growth in Nigeria in the short run; FDI is statistically significant at a level of 10%, while labor is statistically significant at a level of 5%. Gross capital formation, trade, and exchange rates have statistically negligible effects on how quickly the economy grows. All of the model's variables are statistically significant in the long run for predicting economic growth. At the 5% level of significance, every variable is statistically significant.