Publication Details
Abstract
This study examines the relationship between human capital development and industrial sector in Nigeria from 1980-2024. Industrial sector was used as the independent variable in the model for the study while the dependent variables are government expenditure on education, government expenditure on health, mortality rate and labour force. The techniques applied are the Ordinary Least Square of multiple regression analysis, unit root test, co-integration tests and error correction mechanism. Unit root results revealed that the variables are integrated of order 1(0) and 1(1). The study also discovered that a long run association among the variables used subsists. The result of the R2 is 58 per cent indicating that the degree of association between industrial sector and human capital development is 58 per cent. Again, the stability tests confirmed that stability was found given the result of the CUSUM and CUSUM sum of square tests. The ECM result is 51 % meaning that it can adjust speedily from its long run equilibrium to the short run equilibrium. The study concludes that human capital development promotes industrial sector in Nigeria Finally, the study thus calls for appropriate investment in human capital development through increment in budgetary allocation to education and health aimed at bringing the desirable growth level in the industrial sector of the economy.