ABSTRACT

This study examined the effect of poverty and unemployment rate in Nigeria for the period of 34 years (1981 to 2015) using a time series data. The study used the OLS estimation technique to examine the time series data under a multiple linear regression framework. The study found out that poverty is negative and insignificantly related to economic growth in Nigeria for the period under study. The study also discovered that unemployment is negative and significantly related to economic growth in Nigeria. Finally, the study established that inflation is negative and significantly related to economic growth in Nigeria. The study recommended that Poverty and unemployment reduction strategies should be pursued by the government to advert the diminishing effect poverty has on economic growth in Nigeria and this can done by creating job opportunities and supporting already established business to expand and employ more labor.