• An Analysis Of The Economic Impact Of Stock Market On Nigerian Economy (1986-2010)

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    • A major engine of economic growth and development of any nation is the stock market. It impacts positively on the economy by providing financial resources through its intermediation process for financing long term projects. These projects could be promoted by governments or private institutions. The analysis scope covered a period of twenty-five years spanning from 1986-2010. The econometric methodology adopted is the Ordinary Least square method (OLS). Using the independent variables of market capitalization, value of trade, inflation rate and exchange rate and the dependent variable of gross domestic product, this study analyzes the impact of the stock market on the Nigerian economy. In conclusion, the result shows that the stock market has a highly significant impact on the Nigerian economy. Hence, without an efficient stock market, the economy may be starved of the required long term funds for sustainable growth and development.

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    • CHAPTER ONE - [ Total Page(s): 2 ]Many emerging stock markets are being restricted by lot complaints which impede the realization of capital market serving as a catalyst for economic growth. Such problems include: A.Unquoted companies: Many companies are not quoted because of perceived loss of control. They are afraid of sharing the ownership of the company with others and because of this reason they prefer to restrict themselves to funds provided by family members and friends and are therefore unable to unanticipa ... Continue reading---