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THE IMPACT OF THE OIL SECTOR ON THE NIGERIAN ECONOMY

THE IMPACT OF THE OIL SECTOR ON THE NIGERIAN ECONOMY

(A CASE STUDY OF DELTA STATE)

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THE NATURE AND CONSEQUENCES OF JUVENILE DELINQUENCY IN NIGERIA: A STUDY OF ENUGU NORTH LGA, ENUGU STATE
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ABSTRACT

This research was prompted by the obvious dominant role of the oil sector in the Nigerian economy. The urge to know the extent to which this sector affects the economic life of the people, led therefore to the analysis of the impact of the oil industry on the Nigeria economy.

 

The economic impact which was categorized into positive and Negative on the bases of their economic contribution was thus revealed by the result of the regression analysis.

 

The study discovers therefore that though oil contributes significantly to revenue, foreign exchange, production and per capital income, it also plays significant role in terms of its contribution to rising prices, imports and inflation. Therefore what the sector gives in one form is withdrawn from the economy in another forms, more – or – less, the economy remain stagnant, thus the irony of the impact of the oil sector on the Nigerian economy.

 

TABLE OF CONTENT

CHAPTER ONE:

  • INTRODUCTION TO PROJECT TITLE

  • CONCEPTUAL CLARIFICATION

  • PROBLEM DEFINITION

  • OBJECTIVE OF STUDY

  • SCOPE OF STUDY

  • LIMITATION OF STUDY

  • HISTORICAL BACKGROUND OF THE OIL SECTOR IN NIGERIA


 

REFERENCES

CHAPTER TWO:

  • REVIEW OF THE RELATED LITERATURE

  • GENERAL STUDIES ON OIL

  • STUDIES ON OIL ON NIGERIAN ECONOMY

  • THE IMPACT OF OIL PRODUCTION IN DELTA STATE


 

REFERENCE:

CHAPTER THREE:

RESEARCH METHODOLOGY

REFERENCES

CHAPTER FOUR:

  • DATA PRESENTATION AND ANALYSIS

  • INTRODUCTION TO VARIABLES

  • HYPOTHESIS / MODEL SPECIFICATION & EXPETATION

  • SOURCE OF DATA


 

REFERENCES

CHAPTER FIVE:

  • FINDINGS


 

CONCLUSION AND RECOMMENDATIONS

5.1     RECOMMENDATIONS

  • CONCLUSION


BIBLIOGRAPHY

CHAPTER ONE

INTRODUCTION

 

  • INTRODUCTION TO PROJECT TITLE


Nigeria is a major of crude oil, and the importance of this commodity has been highly manifested in the nations economy. From the early 70s, the petroleum industry has become the dominant sector in the economy. Following quickly after agriculture (the dominant sector before the discovery of crude oil). It has dictated the pace of economic, political social and cultural progress in the country.

 

Despite the present travails of oil in the world Alli (1987) asserted that oil still holds the key to the nation’s economic future, and the prospects of any successful economic restructuring hands heavily on this all important commodity. Hence, its importance in the Nigerian economy.

 

The world’s oil industry is described as the only international industry that concerns every country of the world. It is infact said to concern virtually the world economy; oil has successfully divided the world geographically into regions of major production and regions of high consumption.

 

The oil industry is also the most important in its contribution to the world’s tonnage of international trade and shipping for these and other attribution of the oil industry it was ascerted, by Odell (1971), that a day sddom passed by without oil being in News. This confirms the importance of oil (which is the basis of this study) throughout the world.

 

It is in this respect that this study – analyses the impact of crude oil (the dominant product of the Nigerian oil sector) on the Nigerian economy with the use of econometric techniques. Econometrics – because of its richness as a measurement tool, as well as the obvious advantages it possesses over other measurement techniques. Hence, the econometric analysis of the impact of the oil sector on the Nigerian economy.

 

1.2               CONCEPTUAL CLARIFICATIONS

It is appropriate at this point to make certain clarifications as regards concepts such as, crude oil, oil sector or petroleum industry, gasoline or petrol, etc, that will from time to time be used in the course of this study.

The oil sector or petroleum industry is used interchangeably to refer to the combination of firms dealing on commodities like crude oil, petrol, kerosine, gas, etc.

 

Crude oil is a commodity produced from an under ground reservoir which has not been subjected to any refining or chemical process other than the separation at atmospheric pressure of any gasses which were dissolved in the oil at the greater pressure of the reservoir (ELLIS Jones, 1988).

 

Gasoline or petrol, and kerosine are refined petroleum distillates at different boiling points. Liquefied Natured Gas (LNG) are naturally occurring gas, either co-produced with oil or non-associated, which has been liquefied for ease of transportation and which is regasifined before use; just as these commodities are products of petroleum industry, so are other too which has not been mentioned in this study.

 

However, the essence of this section is to make clear the use to which terms mentioned in this study have been put. Hence the oil sector should not be seen generally as representing crude production alone, as used in this study (see section 1.6), but as an all embracing industry bringing the firms dealing in all petroleum products together.

 

1.3               PROBLEM DEFINITION

One of the surest ways of justifying the comments which have been made on the position the oil sector has placed Nigeria in the international circle is to find out the extent to which crude oil has affected the Nigeria economy.

 

Nigeria’s position as Africa’s biggest oil producer in OPEC according to Synge (1986), no doubt, has considerable impact on Nigeria’s influential role in continent.

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