DefinePK

Abstract

The purpose and main focus of this paper  is to inquire into the dynamic nature of stock market and inclusive growth series  in a retrospectively-tended-economy like Nigeria. Lags of the previous periods of the indicators were confirmed to be very fundamental building blocks to understanding the current behaviour of the phenomenal growth of  the two indicators  and their metrics. We reviewed the nature and types of lag models and innovatively interpreted them in a spectacular manner that unveiled the uniqueness of the  impacts of such past periods on current behaviour of  both stock market and inclusive growth. Applying the autoregressive distributed lag model for the period 1980 to 2020, our findings show that current performance of the market and inclusive growth are somewhat inter-period growth-persistence-averse, and stock market size is ephemeral and susceptible to shadow and cosmetic largeness. We recommend that Lags should be considered as important and indispensable inputs into the policy and stock market and inclusive growth  modelling processes and procedures in Nigeria.
Keywords: Stock Market Development; Inclusive Growth; Dynamic Effects; Retrospectively- Tended-Economy.