ABSTRACT

The broad objective of this study is to analyze the oil price shocks on selected macroeconomics variables' in Nigeria. These studies reveal that oil price change is an important source ofmacroeconomicfluctuations such that Us movements affect the economic situation in the. sample country. This is one ofthe main reasons why Oil price fluctuations have received important considerationsfor theirpresumed role on macroeconomic variables. This sludy is therefore handy in a time when oil prices have continued to nosedive amid negative growth in emerging oil exporters. It is on this premise that the study will analyze the impact ofoil price shocks on economic growth in Nigeria. Therefore this study is relevant to the government in the sense that, it will enable the government to know the necessarypolicies that will help mitigate the impact of oil price shocks on economic growth, in Nigeria. Theoretically, the study will serve as a verification ofthe empirical relevance oftheories that link oil price shocks and economic growth in Nigeria, by either showing their consistency or inconsistency. The impact of oil price volatility on macroeconomic activity in Nigeria has also been examined to the Nigerian scenario. The primary objective of this study is to estimate the impact of oil price shocks' on economic selected macroeconomic variables in Algeria. To achieve this objective, the ordinary least square (OLS) multiple regression statistical method is used to estimate the various models. This study will also help the government to provide a statistical solution to the oil price shock fluctuation in Nigerian economy.