Socio-Economic Indicators and Economic Growth: A Study of Nigeria and South Africa

The research on the determinants of economic growth has taken a new dynamic pattern in the recent times. More studies are now explaining the need to better consider the socio-economic indicators that promote economic growth across the globe. Hence, this paper examined the relationship between socio-economic indicators and economic growth in both Nigeria and South Africa covering the period 1999−2020. Ordinary Least Squares (OLS) estimation technique was employed. The results of the study show that secondary school enrollment and employment are positive and significant in driving the economic growth of both Nigeria and South Africa. However, inflation and mortality rate reduce economic growth in both countries. But in South Africa, life expectancy reveals a negative impact on economic growth. The empirical outcomes of the study can be used by the government to formulate policies that can promote human capital development and employment creation. It can also assist the government in formulating monetary policies that can reduce the outburst of inflation.

JEL Classifications:B55, J13, O47, O49