Volume 04 Issue 11-2024
82
International Journal Of Management And Economics Fundamental
(ISSN
–
2771-2257)
VOLUME
04
ISSUE
11
P
AGES
:
82-85
OCLC
–
1121105677
Publisher:
Oscar Publishing Services
Servi
ABSTRACT
A discussion of the research undertaken by Omolara Adebimpe Adekanbi which aims to provide solutions to Mexico
and Nigeria’s economic and social challenges. The study conducts a thorough comparative analysis of economic
growth and development trajectories in Mexico and Nigeria from 1970 to 2018. Drawing on frameworks from
esteemed scholars like Amartya Sen and Paul Collier, it examines the influence of policies and economic factors such
as government spending, foreign direct investment (FDI), external debt, interest rates, and welfare spending.
Furthermore, the research delves into pressing societal issues, including poverty, violence, and infrastructure
disparities, offering a comprehensive perspective on the socio-economic conditions in both nations. Let us dissect the
new contribution of the research to the ongoing attempts to froster growth and development in Mexico as well as
Nigeria.
KEYWORDS
Policy Evaluation, Economic Growth, Development, Mexico.
INTRODUCTION
A New Evaluation Technique
In the research, Adekanbi (2024) employed a
comprehensive and structured methodology to assess
policy effectiveness in Mexico and Nigeria, integrating
quantitative and qualitative techniques. A multiple
regression model forms the basis of the analysis, with
Gross National Income (GNI) as the dependent variable
Research Article
AN ANALYSIS TO TACKLE CRITICAL ISSUES IN ECONOMIC AND
DEVELOPMENT MATTERS
Submission Date:
October 20, 2024,
Accepted Date:
November 05, 2024,
Published Date:
November 19, 2024
Crossref doi:
https://doi.org/10.37547/ijmef/Volume04Issue11-07
Rubén Ramírez
Email: ruben.eic@mail.com
Journal
Website:
https://theusajournals.
com/index.php/ijmef
Copyright:
Original
content from this work
may be used under the
terms of the creative
commons
attributes
4.0 licence.
Volume 04 Issue 11-2024
83
International Journal Of Management And Economics Fundamental
(ISSN
–
2771-2257)
VOLUME
04
ISSUE
11
P
AGES
:
82-85
OCLC
–
1121105677
Publisher:
Oscar Publishing Services
Servi
and key macroeconomic factors
—
interest rates, FDI,
external debt, government expenditure, and income
levels
—
as independent variables. Structural change
detection analysis was used to identify periods where
policy shifts had significant impacts on GNI before
running a regression analysis for the relevant years.
This combination of structural change detection and
targeted regression analysis enables the identification
of specific timeframes when policies or economic
changes significantly influenced economic indicators,
enhancing the study's precision and reliability.
FINDINGS AND RECOMMENDATIONS
The study highlights significant differences in how key
variables influence economic growth in Mexico and
Nigeria. For example, while external debt has a
negligible and statistically insignificant effect on
Mexico’s GNI, it demonstrates a substantial positive
impact on Nigeria’s GNI. Similarly, foreign direct
investment (FDI) contributes more significantly to
Nigeria’s economic expansion than Mexico’s, whereas
government expenditure positively affects growth in
both countries, with a much larger impact in Mexico.
Based on these findings, the study offers several
actionable recommendations, and identifies notable
differences in how key variables influence economic
growth in Mexico and Nigeria. External debt, for
instance, has a negligible and statistically insignificant
effect on Mexico’s GNI, whereas it demonstrates a
substantial positive impact on Nigeria’s GNI
. Similarly,
foreign direct investment (FDI) contributes more
significantly to Nigeria’s economic expansion than to
Mexico’s, suggesting the need for targeted investment
strategies. Meanwhile, government expenditure
positively affects growth in both countries, though its
impact is much larger in Mexico. These findings provide
a foundation for actionable recommendations tailored
to each country’s economic landscape.
For Nigeria, adopting Mexico’s structured debt
management practices could improve economic
stability. This includes leveraging domestic bonds and
prioritizing
debt-for-equity
swaps.
Additionally,
investing in foreign bonds, as Mexico did with U.S.
bonds, could mitigate risks associated with external
debt dependency. On FDI, Nigeria should strengthen
its policies by offering tax incentives, streamlining
technology transfer agreements, and fostering
collaborations between local and foreign enterprises
to encourage long-term investments. Mexico, in turn,
could enhance its domestic companies’ ability t
o
leverage FDI for skills development and innovation
transfer, increasing its impact on economic growth.
Government expenditure on welfare and education is
emphasized as critical for both countries. Nigeria is
encouraged to adopt Mexico’s Progresa model,
which
effectively channels welfare funds to reduce poverty.
To further enhance transparency and accountability,
an online platform could be introduced to track
government
expenditures,
including
budget
allocations, contractor details, and project timelines.
Volume 04 Issue 11-2024
84
International Journal Of Management And Economics Fundamental
(ISSN
–
2771-2257)
VOLUME
04
ISSUE
11
P
AGES
:
82-85
OCLC
–
1121105677
Publisher:
Oscar Publishing Services
Servi
These measures would help combat corruption and
improve public trust in governance.
In addressing unemployment, Nigeria could benefit
from policies modeled on Mexico’s successful
initiatives, such as action plans during economic
emergencies and tax reforms on personal income and
capital gains. Establishing an unemployment fund and
incentivizing formal employment within the informal
sector could also stabilize income levels and create job
opportunities.
For
both
countries,
targeted
employment policies would play a significant role in
fostering economic resilience.
Education is another critical area where investment is
needed. Recognizing the lagged benefits of education,
Nigeria should prioritize long-term investments in
primary and secondary education while aligning
tertiary education with labor market demands. Mexico,
on the other hand, could focus on aligning school
curriculums with industry requirements to improve job
readiness and address skill gaps in its labor force.
Finally, addressing violence and insecurity is essential
for sustainable growth. Nigeria could adopt Mexico’s
localized security funding approach and implement
targeted anti-violence initiatives in high-conflict
regions. Additionally, providing economic alternatives,
such as job training programs and microloans for
vulnerable communities, could help reduce crime
rates. Both countries would benefit from investment in
anti-violence programs and localized security solutions
to mitigate the socio-economic impact of insecurity.
These recommendations offer a roadmap for
addressing each country’s unique challenges while
promoting economic stability and sustainable
development. By leveraging these strategies,
policymakers can effectively address key areas of
concern and foster long-term growth. These
recommendations aim to address each country’s
unique economic and social challenges while offering a
pathway to sustainable development.
CONCLUSION
The Mexican government would benefit from adopting
this research as a handbook for governance, given its
practical,
data-driven
approach
to
solving
developmental challenges. The complete research has
been compiled into a book titled Mexigeria, which
serves as a comprehensive resource for policymakers.
Overall, this article makes a significant and insightful
contribution to the discourse on economic growth in
developing nations. Its rigorous methodology, coupled
with actionable recommendations on welfare policies,
transparency, and debt management, provides a
valuable roadmap for addressing developmental
disparities between Mexico and Nigeria. Furthermore,
its recommendations hold broader applicability for
other nations facing similar challenges, positioning the
work as a critical tool for sustainable development.
REFERENCES
1.
Adekanbi, O. A. (2024). Level of Economic
Development and National Policies in Mexico and
Volume 04 Issue 11-2024
85
International Journal Of Management And Economics Fundamental
(ISSN
–
2771-2257)
VOLUME
04
ISSUE
11
P
AGES
:
82-85
OCLC
–
1121105677
Publisher:
Oscar Publishing Services
Servi
Nigeria (1970-2018): A Comparative Analysis of
Growth and Institutions. International Journal of
Social Science Research and Review, 7(4), 114-148.
Retrieved
from
https://ijssrr.com/journal/article/view/1982/1543
