EFFECT OF SELECTED MACROECONOMIC VARIABLES ON STOCK MARKET LIQUIDITY IN NIGERIA
| dc.contributor.author | Fawale, Busayo Ayinla | |
| dc.contributor.author | Amana, Samuel Abu | |
| dc.contributor.author | Udenwa, Theresa A | |
| dc.date.accessioned | 2023-12-10T17:48:56Z | |
| dc.date.available | 2023-12-10T17:48:56Z | |
| dc.date.issued | 2002-05-09 | |
| dc.description.abstract | This study examines the effect of selected macroeconomic variables on stock market liquidity in Nigeria for the periods of 1985 to 2020 using Autoregressive Distributed Lag technique to analyse the data. The study employs ex post facto research design with the use of time series secondaiy data. The study proxy stock market liquidity with stock market turnover while the selected macroeconomic variables are exchange rate, Gross Domestic Product growth rate and inflation rate. The study tests for stationarity of the time series secondary data with Augmented Dickey Fuller Test and the result of the results of the test suggest that all the data are stationary at first difference, except inflation rate that was stationary at level. The study found that exchange rate has a negative significant effect on stock market liquidity in Nigeria, while GDP growth rate has no significant effect on stock market liquidity in Nigeria. The result likewise shows that inflation rate has a positive significant effect on stock market liquidity in Nigeria. Based on findings, the study conclude that macroeconomic variables have significant effect on stock market liquidity in Nigeria. The study recommends that Government should put in place measures that will encourage appreciation of Naira to ensure that the exchange rate is stabilized. Also, Government should aim to take the leap to improve economic growth. Lastly, Investors should invest in stocks when the inflation rate is on the rise because stocks are still a good hedge against inflation over the long term. | en_US |
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| dc.identifier.uri | https://keffi.nsuk.edu.ng/handle/20.500.14448/953 | |
| dc.language.iso | en | en_US |
| dc.publisher | Department of Banking and Finance, Faculty Of Administration Nasarawa State University, Keffi. | en_US |
| dc.subject | Exchange Rate, Gross Domestic Product, Inflation Rate, Stock Market Liquidity. | en_US |
| dc.title | EFFECT OF SELECTED MACROECONOMIC VARIABLES ON STOCK MARKET LIQUIDITY IN NIGERIA | en_US |
| dc.type | Article | en_US |