This paper examined the implication of Big-Push theory on Nigerian economic development. The theory provided an explanation of how developing countries can industrialize through broad-based investment and coordination. The paper looked at the meaning of Big-Push theory, assumptions and its implication on Nigeria economic development.
If the need for a Big Push to survive in an economy that is open to international trade and capital movements, or if openness to trade and capital movements is sufficient to overcome all poverty traps, these questions have daunted development economics since its inception. The theory of the big push asserts that underdeveloped countries require large amounts of investments to come out of the problem of backwardness and launch policies for economic development. The logic behind this theory is that a programme of “bit-by-bit” investment will not have much impact on the process of growth and will only lead to a dissipation of resources. Policies designed to encourage the development of the Nigerian economy will need to be guided by the big-push theory.
Table of Contents
- ABSTRACT
- INTRODUCTION
- Concept of Development
- Concept of Economic Development
- Theory of the Big Push to Economic Development
- Indivisibility in the Production Function
- Indivisibility (or Complementarities) of Demand
- Indivisibility in the Supply of Savings
- Assumptions of Big Push Theory
- Implications of Big-Push theory on Nigerian Economic Development
- Conclusion
- REFERENCES
Objectives and Key Themes
This paper aims to examine the implications of the Big-Push theory for Nigeria's economic development. It explores how this theory can be applied to promoting industrialization through comprehensive investments and coordination in developing countries like Nigeria.
- The concept of the Big-Push theory and its application to economic development
- The assumptions and implications of the Big-Push theory on Nigeria's economic development
- The role of foreign aid and external financing in facilitating a Big Push in developing economies
- The challenges of implementing a Big-Push strategy in Nigeria
- The importance of coordinated and strategic investments in driving economic growth
Chapter Summaries
- ABSTRACT: The abstract introduces the paper's focus on the implications of Big-Push theory on Nigerian economic development. It highlights the theory's role in promoting industrialization through broad-based investment and coordination. The paper analyzes the meaning, assumptions, and implications of the Big-Push theory for Nigeria's economic growth.
- INTRODUCTION: The introduction sets the context for the Big-Push theory and its relevance to developing economies. It discusses the concept of development and economic development, defining them within the framework of poverty reduction and social progress. The chapter emphasizes the significance of the Big-Push theory as a strategy for overcoming economic backwardness and fostering economic growth in developing countries like Nigeria.
- Concept of Development: This section explores the historical evolution of the concept of development, tracing its roots from classical political economists to modern development economics. It discusses different perspectives on development, including the colonial era's focus on resource extraction and the subsequent emphasis on human development and social well-being. The chapter also highlights the distinction between economic growth and economic development and the concept of the poverty trap.
- Concept of Economic Development: This section delves into the definition of economic development, emphasizing the importance of qualitative factors beyond just economic growth. It presents various approaches to understanding economic development, including the traditional approach that focuses on GNP growth and structural changes. The chapter highlights the importance of addressing issues like poverty reduction, inequality, and employment generation within the context of economic development.
Keywords
The core keywords and focus topics of this work include Big-Push theory, economic development, industrialization, foreign aid, external financing, poverty trap, developing economies, and Nigeria's economic growth.
- Quote paper
- Erhunse Confidence (Author), 2020, Implication of Big-push theory on Nigerian economic development, Munich, GRIN Verlag, https://www.grin.com/document/520284
