The Nexus Between Macroeconomics and Demographics: Implications for Sustainable Development

Abstract

This paper explores the interlinkage effects of macroeconomic variables on the demographic dynamics of Nigeria. This topic is important because available evidence still suggests that Nigeria has a very young population and that the country is not likely to experience demographic transition in the near future. Using the Ordinary Least Square (OLS) estimation technique, a regression model is developed. The model is used to explore the links between demographic variables and macroeconomic variables such as real gross domestic product, age dependency ratio and agricultural land. The findings indicate that the link between macroeconomic variables and demographic variables is somewhat ambiguous which requires explanations at the micro level. To gain more insights for practical solutions on the post-2015 sustainable development agenda, a comparative analysis of the macroeconomic and demographic indicators as well as policies on population growth for selected countries is conducted.