This study investigates the nexus between institutional quality and stock market development. The Autoregressive Distributed Lag Model (ARDL (1,1)) and ARDL bounds testing procedure (Pesaran et al., ) was adopted for the estimation. We used annual time series data that covers the periods 1985 to 2013. Institutional quality is measured with corruption control, democratic accountability and bureaucratic quality, while stock market development is measured with market capitalization ratio. The institutional quality captures the degree of transparency and the level of investors' confidence while market capitalization measures overall performance. In addition, we also accounted for the influence of the banking sector (proxy: ratio of credit to the private sector). We control for the influence of variables such as stock market liquidity and per capita income. The results of the bounds test suggest that institutional quality and market development move together in the long run. Further investigation also shows that corruption control and democratic accountability are key institutional measures that impact significantly on stock market development, suggesting that institutional quality promotes the degree of transparency and investors' confidence. Other variables such as stock market liquidity, bureaucratic quality and per capita income were also found to be important determinants of stock market development in Nigeria. Hence, given the above findings, the relevant authorities should increase their efforts to control the level of corruption through the enhancement of the regulatory framework that could ensure accountability and efficient monitoring of the market actors for the sustainability of investors' confidence and the promotion of stock market development in Nigeria.
The paper empirically examined the energy consumption dynamics and sustainable growth in Nigeria using time series data spanning from 1980 to 2020. The major sources of data were from the World Development Index (WDI) and Central Bank of Nigeria (CBN) Statistical Bulletin various issues. In checking the stationary status of all the data engaged, the paper applied modified Ng-Perron unit root test to check the stationary properties of the series, and the results showed that GDP growth rate (GDPgr) was integrated at level (that is I(0)) while electricity consumption (ECNP), coal consumption (CCNP) and petroleum consumption (PCNP) were integrated of order one (that is, I (1)). This justified the application of Autoregressive Distributed Lag (ARDL) model of co-integration, whose results revealed that all series exhibited a stable long run relationship among them. The ARDL bound test result showed that the F-statistics was 4.35, which was greater than the upper bounds critical value of 3.79 at 5 percent level of significant. This further showed that the null hypothesis, which postulated that energy consumption dynamics has no significant impact on sustainable growth in Nigeria can be rejected. Based on the above findings, the paper submitted inter-alia that government should establish a renewable biomass as a supplement to energy sources in order to drive a sustainable growth in Nigeria.
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