Introduction
1.1 Background of the Study
In the mid 1970s, Nigeria was quoted among the richest 50 countries of the world and just a few years after, she became one of the 25th poorest countries in the World (United Nations Development Programme Report on Nigeria, 2006). Nigeria, as the sixth largest exporter of petroleum products in the world, it is hard to believe that more than 60 percent of her citizens live below US$2 (about N700) a day, going by the current naira exchange rate, with the majority of the people living in the rural areas where access to electricity, clean water and sanitation, good roads, other government essential services, etc, are almost non-existent.
Also, despite the alleged strong economic growth, Chukwubuikem (2008) observes that youth’s full-time unemployment rate has continued to increase rapidly. Similarly, a recent United Nations Human Development Report for Nigeria (2012), indicates that poverty persists in Nigeria because past Nigerian leaders, instead of focusing on how to deliver essential services to the people assumed control of major sources of national income to the advantage of only a few. Thus, researchers and other scholars have started prescribing
entrepreneurship development as the feasible and permanent solution to the extreme hunger and poverty which accompanies unemployment in Nigeria. In the opinions of Anyadike, Emeh and Ukah (2012), the great need for entrepreneurship development in Nigeria today, more than ever is necessitated by the rate of unemployment and its effect on both the people and the nation and the need for micro and small scale enterprises. To Idemobi (2015), as an employment strategy, entrepreneurship can lead to self-sufficiency and economic buoyancy for the people. He reiterates that self-employment provides entrepreneurs and their families with the potential to create and manage businesses in which they function as the employer or boss, rather than merely being an employee.
1.2 Problem Statement
Unemployment is a socio-economic problem and every nation deals with it within their respective capacities. As could be seen from individual research reports and other government statement, the situation in Nigeria has gone out of hand as about 75 percent of those who are willing to work cannot find gainful employment in Nigeria, especially among the school leavers and graduates of tertiary institutions (NBS, 2014). As a result, many youth have taken to various crimes including robbery, kidnapping, drug and child trafficking and all kinds of armed banditory all in a bid to earn their living. It does not matter any more whether the means is legitimate or not. The situation appears to have gone beyond remedy (Ideyi, 2010).
Every year, new sets of graduates and school leavers add to the stock of unemployed youth; resulting to increased frustration and aggression against the society that have refused to provide for them. Successive governments have made several efforts to combat the menace of youth unemployment but it appears that the efforts have not impacted significantly on the level of unemployment as it has continued to be on the increase in the country. Studies such as (Ekong and Ekong, 2016; Akanwa and Akpanabia, 2013; Anyadike et al, 2012; Emeh, 2012; Ibrahim, 2010; Kaegon and Nwogu, 2012 and Udeorah, 2014), have all prescribed entrepreneurship development as a sure means of tackling the growing rate of unemployment in Nigeria. However, the prescriptions are devoid of the specific roles the government is expected to play to make the intervention effective and result oriented. This study is aimed at prescribing the specific roles government can play to reduce unemployment rate in Nigeria, specifically outline and discuss in great details the role of government in making the prescription effective towards the realization of the objectives.
1.3 Objectives of the Study
The broad objective of the study is to examine how entrepreneurship development can be used to combat the rising rate of unemployment in Nigeria. However, the specific objectives are to:
- Determine the level at which educational institutions and other entrepreneurial training can affect the rate of unemployment in Nigeria.
- Examine the degree at which the cost of doing business in Nigeria can hinder entrepreneurship development.
- Ascertain the extent in which government incentive on small businesses can influence entrepreneurship development in Nigeria.
1.4 Research Questions
The following research questions were raised to guide the objectives of the study:
- To what level can relevant institutions and other entrepreneurial training affect the rate of unemployment in Nigeria?
- To what degree can the cost of doing business in Nigeria hinder entrepreneurship development?
- To what extent can government incentive on small businesses influence entrepreneurship development in Nigeria?
1.5 Research Hypotheses
The following null hypotheses were formulated to guide the objectives of the study and strengthen the analysis:
- Relevant educational institutions and other entrepreneurial training centers cannot affect the rate of unemployment in Nigeria.
- Cost of doing business in Nigeria cannot hinder entrepreneurship development
- Government incentives on small businesses cannot influence the level of entrepreneurship development in Nigeria.
1.6 Significance of the Study
The study will enrich the body of literature thereby expanding knowledge in the area. As could be seen from past studies in the area, entrepreneurship development has been the popular prescription for reducing the increasing rate of unemployment in Nigeria.
Also, the policy dialogue that will arise from the findings would be of immense benefit to different categories of people and they include the government, the practising and prospective entrepreneurs, the students, researchers and the general public.
1. The government:
The government would be sufficiently enlightened on how to make entrepreneurship development impact unemployment significantly.
2. Practising and Prospective Entrepreneurs:
These categories of people would be better informed on how to access government incentives to boost their operations by reducing cost of doing business.
3. Students and Researchers:
This group will find the result very useful because it will serve as good starting point for those who might want to carry out further studies in the area.
4. The General Public:
Members of the public will be better-off because increase in the number of entrepreneur’s will enhance the overall welfare of the people.
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