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The Effects of Foreign Aid and Foreign Direct Investment on Human Capital Development in Nigeria: Evidence from 1990 to 2018
Department of Geography and Planning, University of Toledo, Toledo Ohio, USA
School of Computer Science and Information Study, University of the Cumberlands, Williamsburg, KY, USA
School of Counseling, Higher Education, Leadership and Foundations, Bowling Green State University, Bowling Green, OH, USA
School of Computer Science and Information Study, University of the Cumberlands, Williamsburg, KY, USA
- 1 Department of Geography and Planning, University of Toledo, Toledo Ohio, USA
- 2 School of Computer Science and Information Study, University of the Cumberlands, Williamsburg, KY, USA
- 3 School of Counseling, Higher Education, Leadership and Foundations, Bowling Green State University, Bowling Green, OH, USA
- 4 School of Computer Science and Information Study, University of the Cumberlands, Williamsburg, KY, USA
Journal of Human Resource and Sustainability Studies·Volume 12 (2024)·Pages 263–274·Published 19 April 2024·DOI10.4236/jhrss.2024.122014
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Abstract
Economic growth and human development have been one of the top goals of every forward-looking country; hence there is a constant need to analyze the important factors driving its growth or decline. This study explores the impact of foreign aid and foreign direct investment (FDI) on the human capital development mirrored by human development index (HDI) in Nigeria from 1990-2018 using World Bank indicators. Johansen cointegration test results show a long-term relationship between foreign aid, FDI and human development index. Regression results show a positive relationship between foreign aid and HDI but a negative relationship between FDI and HDI.
KeywordsHuman Development IndexForeign aidForeign Direct InvestmentJohansen Cointegration TestWorld BankNigeria
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