ABSTRACT
The problems that are associated
with urbanization in Lagos State had not been over-looked by policy makers,
however, the formulated policies that were targeted towards combating the
products of urbanization has not been effective enough.
The consequential objective of
this research work is to examine the various policies and to determine the
effect of these policies. However, ways at which combating unemployment and
other shortcomings brought by urbanization was established.
In the course of this research
work, data were collected from Annual and account report of companies by the
use of multiple regression analysis, which could be of assistance in
ascertaining the impact of urbanization in Lagos State. After manipulating
these figures, the result showed that relationship exists between them.
The findings of this study
reveals that population rate of Lagos State increased, the unemployment rate
also increased.
In conclusion, it should also be
stated that the rate at which people moved into Lagos State should be checked
using appropriate and effective policies, in order to reduce the rate of
unemployment.
TABLE
OF CONTENT
CHAPTER ONE
1.1 Introduction
1.2 Statement of problem
1.3 Aim and objectives
1.4 Research questions
1.5 Research hypotheses
1.6 Methodology of the study
1.7 Significance of study
1.8 The scope and limitation of the study
1.9 The definition of terms/concepts
1.10 Organization of the study
CHAPTER TWO: LITERATURE REVIEW
2.1 Introduction
2.2 Conceptual issues on urbanization and Unemployment
2.3 Causes and consequences of urban youth Unemployment
2.4 Effect of urban youth unemployment
2.5 Government programmes
created to combat unemployment in Nigeria
2.5.1 National Youth Employment
and Vocational Skill Development Programme
2.6 Urbanization processes-environmental and health Effects in
Nigeria
2.7 Major causes of urbanization in Nigeria
2.8 Processes of Urbanization
2.9 Prospect and challenges of urbanization and unemployment
2.10 Other countries experiences
2.11 Migration and development in Africa
2.12 Theoretical implications
2.13 Some theoretical issues on unemployment
CHAPTER THREE: STRUCTURAL COMPOSITION
3.1 Concept of unemployment
3.2 Theories of unemployment
3.3 Unemployment situation in Nigeria
3.4 Policies for unemployment rate reduction in Nigeria
CHAPTER FOUR: RESEARCH METHODOLOGY, DATA
ANALYSIS AND INTERPRETATION OF RESULTS
4.1 Methodology
4.2 Methods of estimation of analysis
4.3 Model specification
4.3.1 Econometric model
specifications
4.3.2 Specification bias
4.4 Specification of data
4.5 Empirical results and interpretation of the regression results
CHAPTER FIVE: SUMMARY, CONCLUSION AND
RECOMMENDATIONS
5.1 Summary of findings
5.2 Conclusion
BIBLIOGRAPHY
CHAPTER ONE
INTRODUCTION
1.1
BACKGROUND TO THE STUDY
Urbanization is a social process
or change whereby a sizeable proportion of the population of a country live in
the cities Onah (2001) observed that urbanization no longer denotes merely the
process by which persons are attracted to a place called the city and are
incorporated into its system of life; it rather refers to that cumulative
accentuation of the characteristics, distinctive of the mode of life, which is
associated with the growth of cities or urban areas, and finally
to the changes in the direction
of the mode of life recognized as urban which are apparent among people. Also,
the new Encyclopedia Britannian (1995) defines urbanization as the process by which
large a number of people become permanently
concentrated In relatively small a area, forming urban areas.
From the foregoing, it can be
deducted that urbanization denotes the movement of people from rural areas
concerned chiefly with agriculture to other large urban area whose activities
are primarily centered on government, trade, manufacture or allied interest.
According to Tacoli (1998) urban
dwellers are thought to engage primarily in industrial production and services.
In censuses and other statistical exercises, urban population is usually
defined by residence in settlements above or below a certain size. In Nigeria,
an urban center was defined for the purpose of the 1991 census, as a settlement
with 20,000 or more people (Nigeria Migration and Urbanization Survey 1993). In
Philippines, urban area are defined by the national census as all settlements
with a population density or at least 500 persons per square kilometer (Manning
and Jayasunya 1996).
Urban areas are seen as places with relative abundance of blue-collar jobs and
urban dwellers are thought to be well deserved,
well fed and well exposed to modern civilization than rural dwellers. According
to 200mers and Kleinpenning (1996), the high cost of food and peripheral
village show a strong involvement in the food chain in urban areas. Urban areas
have large-scale farms and enterprises, which could be public or private,
owned. Urban labour market can be divided into formal and informal sectors
(Mazumdar, 1989) wages in the formal sector are relatively high and are in a
sense protected from being negotiated down ward by employers of lower income labour in the urban informal
sector. Mazumdar (1999) points out that the informal sector is easy to enter.
The urban informal sectors include casual labour hired by the day. Workers in
fields like transportation and construction owners of small establishments. The
formal sector includes public and large-scale firms and private large
enterprises, and public establishments. Economic activities present and., foods
from rural areas to urban areas. These economic activities lead to large
markets for marketing of products in large quantities, exposure social
amenities like good roads, good electrification, easier communication good
water supply facilities, good housing, proper
sanitation, and so on. According to Simelane (1995), the location of more
service points supplying a variety services to the urban areas attracts rural
dwellers thereby contributing to rural-urban migration. The location of such
service supply points for agricultural inputs and consumer goods in the rural
area will play a crucial role in rural development and thereby reduce rural
urban migration which is the main cause of urban youth unemployment.
1.2
STATEMENT OF PROBLEM
In a context of declining growth
and economic restructuring
the employment situation in Africa has became critical and labour absorption
problematic. In particular, the problem of what is generally referred to as
youth unemployment has increasingly come to be recognized as one of the series socio-economic
problems currently confronting many developing countries, especially those in
Africa (Curtain 2000, 120 1999). However, statistics showed that Africa,
compared to other regions of the world has the largest segment of youth
in her population being 36.7 percent
in the year 2000 compared to 27.3
percent for the world (Curtain, 2000). In absolute terms. It is estimated that
there are presently about 122 million youths on the African continent (Chigunta
2002). During the early years of
independence in the 1960's and 1970's, young people do not pose a serious
social problem. Unemployed
youths were therefore not a major target for government and funding agencies.
Since then, however, concerns have been rising over the socio-economic
situation of young people and the prospects of creating additional livelihood
opportunities for them (Gibson, 1990). Urban youth unemployment is an important
dimension of the widespread unemployment which is a major problem facing
Nigeria. With a stagnant economy and low economic growth rates, demand for
labour has been declining resulting in high levels of urban
youth Unemployment.
1.3
AIM AND OBJECTIVES
The main objective of this study
is to empirically examine the impact of urbanization and unemployment on
economic development. This main objective
could be broken into the following specific objectives.
(1) To
examine the effect of the drift to urban areas on the growth rate of
unemployment in Nigeria.
(2) To examine the trends of
unemployment on the economic development.
(3) To investigate the
relationship between urbanization and the level of output
1.4 RESEARCH QUESTIONS
The following research question
well be review in this research work.
(1) What are the causes of the Increase in urbanization in Nigeria?
(2) What relationship exist
between the unemployment and increase in urbanization dwellers?
(3) What are the effects of unemployment on economic development?
(4) What are the contributions of
the government in ameliorating increases in urbanization and unemployment?
(5) Does the private sector help
in creating employment opportunity to combat the increase in urban dwellers?
(6) What is the government's effort in developing the rural areas?
(7) Urbanization and social amenities.
1.5
RESEARCH HYPOTHESES
The following hypothesis will be
used in the course of this study.
(1) Ho:
That
there is no significant relationship between in
urbanization
rate unemployment in Nigeria.
HI: That there
is significant relationship between
urbanization
and unemployment in Nigeria.
(2) Ho: That there is no significant relationship between
unemployment
and economic development.
HI: That there
is significant relationship between
unemployment
and economic development .
(3) Ho: That there is no significant relationship between urbanization
and the level of output.
H1: That there
is significant relationship between urbanization and the level of output.
1.6 METHODOLOGY OF THE STUDY
The researcher will employ the
use of econometric analysis to test for the relationship between dependent and
independent variables. The R, R2, D.W. e.t.c.
Materials or data used in this
study is basically secondary in nature. Data shall be collected from the annual
reports federal office of statistics, Central Bank of Nigeria statistical
bulletin. Data's shall also be collected
from relevant textbook journals, magazines and any other relevant literatures.
Data are also collected from
Annual Report and Account, Report of Companies. Data analysis would be done
through multiple regression analysis. Moreover
a structure Ingression analysis would be used to determine, the impact of the
urbanization and unemployment on the economy.
1.7
SIGNIFICANCE OF STUDY
The research will evaluate the
impact of urbanization and unemployment with emphasis placed on its applicable
in the Nigerian economy. It will also help the Nigerian government evaluate the
level of unemployment in the economy by finding solutions to the problems. The
study would give an insight into the trade off between increase in urban
dweller and unemployment. The recommendation(s) of this work will assist
individuals, firms and the government.
1.8
THE SCOPE AND LIMITATION OF THE STUDY
This study will cover the period
of 30 years between 1980- 2009 on the impact of urbanization and unemployment
in Nigeria.
The constraints are lack of
enough time information (data) which limited (slow) down the pace of this
study.
1.9
THE DEFINITION OF TERMS/CONCEPTS
Urbanization: This is a fiscal growth of an urban areas as a result of global
change. This is also defined by the United Nations as movement of people from
urban to ruler area with population growth, equating to urban migration.
Unemployment: This can be defined as a situation whereby able body
persons with basic and requisite qualifications are unable to find jobs in
order to commensurate their skills. The unemployment rate is expressed as:
Ur = Total Number of Unemployed x 100%
Total
number in labour source
SAP: Full meaning of the term SAP is Structural Adjustment
Programme. This programme originally was designated to cover the period from
July 1986 to since 1988. This is to effectively alter and realign aggregate
consumption and production patterns so as to minimize dependence on imports,
enhance the non-oil export base and bring the economy back on the part of
steady and balanced growth.
Growth: This an aspect of economics that deals with national
income objectives the
raising of the income level in rich countries is know as economic growth. This
also stimulates improvement incomes and output from the analysis; it is evident that growth is a necessary but not a sufficient
condition for attaining development.
Tariff: This a tax imposed on imported goods. It is also called
customs duty. At time, a customs duty is levied much per unit of product.
Sometimes it is levied as a percentage of the value of the product. Previously
is known as specific tariff while the presently is known as advalore tariff.
The higher the tariff rate, the more restrictive the tariff. Obviously, if the
tariff rate is not reduce or cut down, it may stop all imports of such item.
1.10 ORGANIZATION OF THE STUDY
The organization of this study
will take the following from chapter one deal with introduction, objective of
the study, research hypotheses methodology of the study.
Chapter two deals with
literature review contain urbanization and unemployment. Chapter three will be
structural composition of the study. Chapter four deals with research
methodology data analysis, and interpretation of results.
Chapter five deals with summary,
conclusion and recommendation of the study.
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