TABLE OF CONTENTS
Abstract
CHAPTER ONE
1.0 Introduction
1.1 Background of Study
1.2 Statement of Problems
1.3 Research Objectives
1.4 Research Question
1.5 Research Hypothesis
1.6 Scope of Study
1.7 Significance of study
1.8 Limitation of study
1.9 Definition of terms
CHAPTER TWO
2.0 Literature Review
CHAPTER THREE
3.0 Research methodology
3.1 Research Design
3.2 Population of study
3.3 Sampling Design and Procedure
3.4 Data Collection Instrument
3.5 Administration of Data Collection Instrument
3.6 Methods of data analysis
CHAPTER FOUR
4.0 Data Presentation and Analysis
4.1 Data Presentation
4.2 Test of Hypothesis
CHAPTER FIVE
5.0 Summary, Conclusion and Recommendation
5.1 Summary
5.2 Conclusion
5.3 Recommendation
References
Questionnaire
CHAPTER ONE
INTRODUCTION
1.1 Background of the Study
Government, Military or Civilian believes that one way of solving social and economic problems is by increasing spending. Government as an agent of the people requires revenue to provide education, employment, adequate health services, infrastructures and good roads but in the process of discharging this enormous responsibility the revenue and/or spending requirements of the government may sometimes outstrip its availability, hence the recourse to deficit financing so as to fill the gap between expenditure needs and revenue availability.
Nigeria’s budget deficit experience dates back to 1961, and appeared justified during the immediate post-independence era, and since then till now 85% of Nigeria’s budget runs in deficit. Okoro (2013) stated that deficit financing arises largely because of the need to expand the economy Governments’ inability to carry out or execute capital projects most times is what births deficit. This ignites the need for Government to finance these projects either through internal borrowing, external borrowing or implementation of monetary instrument to increase the flow of fund in the economy. However there is a repel effect on the economic performance of any country whom the state of its economic activities are financed through the prolonged debt from foreign countries because it frustrates sole investors due to the high interest rate.