1 Department of Economics, Enugu State University of Science and Technology.
2 School of Business Education, Federal College of Education (Technical) Umunze.
3 Department of Social Science (Economic Unit), Federal Polytechnic Nekede Owerri.
Research Article
World Journal of Advanced Research and Reviews, 2021, 11(02), 350-364
Article DOI: 10.30574/wjarr.2021.11.2.0403
Received on 21 July 2021; revised on 25 August 2021; accepted on 27 August 2021
The study examined the impact of government budget deficits on the public health sector output in Nigeria over a period of 1980 to 2018. The specifically study sought to: investigate the impact of government budget deficits affect the public health sector output in Nigeria, ascertain the impact of external borrowing on the public health sector output in Nigeria and evaluate the impact of domestic borrowing budget deficits financing on the public health sector output in Nigeria. The methods of data analysis range from argument dickey fuller unit root test, Johansen co-integration test and finally error correction method. The following results were the basic findings of the study: (1) government budget deficits have positive insignificant impact on public health sector output in Nigeria (t – statistics (0.5663) < t0.05 (1.684); (2) external borrowing of financing budget deficits has negative insignificant impact on Health sector output in Nigeria (t – statistics (-1.2746) < t0.05 (1.684) and (3) domestic borrowing of financing budget deficits has positive significant impact on Health sector output in Nigeria (t – statistics (2.1711) > t0.05 (1.684). This study concludes that the budget deficits of government have positive insignificant impact on Health sector output in Nigeria because more budget allocations are put in health recurrent government expenditure than health capital expenditure whereas health capital expenditure is the engine of growth in health sector output. The study recommended that the Federal Government should commence and continue to execute the National Health Act. Allocation’s map-out for the Basic Health Care Provision Fund (BHCPF) should be drawn directly from the National Health Act, which is not less than 1% of the Consolidated Revenue (CRF) Fund of the Federation and is to flow from the FG's share of revenue.
Government Budget Deficits; Health Sector Output; External Borrowing Budget deficits financing; Domestic Borrowing Budget deficits finance
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Chinedu Anthony Umeh, Chinedu Daniel Ochuba and Ugochukwu Remigius Ihezie. Impact of government budget deficits on public health sector output in Nigeria. World Journal of Advanced Research and Reviews, 2021, 11(2), 350-364. Article DOI: https://doi.org/10.30574/wjarr.2021.11.2.0403