THE IMPACT OF UNEMPLOYMENT ON ECONOMIC GROWTH IN NIGERIA (1970-2010)

Abstract: Unemployment is a phrase used in economics to describe a scenario in which individuals who are actively seeking employment are unable to secure job opportunities. The measure of unemployment is commonly represented as a proportion, denoted as a percentage, relative to the entirety of the labour force that is now available for employment. The rate of unemployment exhibits fluctuations in response to economic situations and many contextual factors. This phenomenon is predominantly observed among graduates from diverse educational institutions, particularly in underdeveloped countries such as Nigeria. The research was conducted with the objective of examining the influence of unemployment on economic growth in Nigeria over a period of 41 years (1970-2010). This study aims to investigate the underlying factors and consequences of unemployment, as well as propose strategies for mitigating and maybe eliminating the issue of unemployment in Nigeria. The primary aim of this study is to ascertain the correlation between unemployment and economic growth in Nigeria, specifically in terms of Gross Domestic Product (GDP). The analytical approach employed to assess the hypothesis is the utilisation of statistical tests such as the T-test and F-test. The primary findings indicate that unemployment exerts a detrimental influence on the gross domestic product (GDP) of the Nigerian economy. Based on the findings, several proposals and policy recommendations were put out.