Globalization and Industrial Sector Performance in Nigeria
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This study investigates the impact of globalization on industrial sector performance in Nigerian from 1981 to 2019. Globalization was proxies by global oil price, foreign private investment, trade openness, and official development assistance. The time series data on the variables were source from secondary sources in both national and international institutions and was used for the analysis. Due to the mixed order of integration of the stationarity test result, we employed the ARDL or bound test model to analyze the data. And the bound test result meets the necessary and sufficient condition of cointegration. It was further observed that official development assistance and gross capital formation were the true determinants of the industrial sector performance in the short run and in the long run all selected variables were statistically significant. Thus, globalization is a true determinant of industrial sector performances. Also, the sector was expected to adjust to stability from the past errors of globalization by 74 percent. More so, trade openness as a process of globalization has insignificant negative effects on the sector performance in the short run and negatively significant effect in the long run at 5 percent significance level. The estimated model has a good fit and generally significant as indicated by the coefficient of determination and f-statistics. The diagnostic checks show that the model is stable. Therefore, recommend that global agreements with emerging and developed countries should be one of symbiotic relationships.