Assessment of the Impact of Government Health Expenditure on Economic Growth in Nigeria
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Abstract
This study evaluates the impact of government health expenditure on economic growth in Nigeria between 1992 and 2021 using the ordinary least squares model which was used to perform the estimation for the variables that were determined to be stationary at first difference were evaluated for stationarity. According to the model’s estimated results, neither of the independent variables government capital or recurrent health spending has a discernible impact on Nigeria’s economic expansion. The independent variables were not significantly significant, this could be attributed to the lack of strength of indirect effects and the time lag between ongoing healthcare costs and the overall economy. Additionally, in Nigeria, poor machine quality, unfinished projects, and corrupt officials might be blamed for health expenditures, which decreased the standard of healthcare and general wellness. The study recommended that the government should put in place the facilities needed for people to use healthcare and to maximize wellbeing to improve health outcomes and the government should ensure efficiency and transparency of health expenditure, alongside increased investment in the health sector to stimulate sustainable economic growth in Nigeria.
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