ECONOMIC RECESSION IN NIGERIA AS A SETBACK ON STUDENTS’ ACADEMIC PERFORMANCE

CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
Recently in Nigeria the Central Bank of Nigeria (CBN) and the finance minister told Nigerians that the nation is in an economic recession, it is very important that the effect of this recession on the Nigerian students is well understood. The cause can be well understood if the definition of an economic recession is revisited.
An economic recession is defined as the significant decline in economic activities spread across the economy, lasting more than a few months, normally visible in real gross domestic product, real income, employment, industrial production and wholesale-retail sales. (National Bureau of Economic Recession United states of America).
Generally in economics, a recession is a negative economic growth for two consecutive quarters. It is also a business cycle contraction which results in a general slowdown in economy (Merriam-Webster online dictionary 2008). Macro-economic indicators such as Gross Domestic Product (GDP) investment spending, capacity utilization, household income, business profits and inflection fall while bankruptcies and unemployment rate rise.
Recession generally occurs when there is a wide spread drop in spending and adverse demand shock. This may be triggered by various events, such as a financial crisis, an external trade shock or the bursting of an economic bubble. Governments usually responds to recession by adopting expansionary macro-economic policies, such as increasing money supply, increase government spending and decreasing taxation.
A recession has many attributes that can occur simultaneously and includes decline in component measures of economic activity (GDP) such as consumption, Investment government spending, and net export activity. These summary measures reflect underlying drivers such as employment levels and skills, household saving rates, corporate investment decisions, interest rates, demographics and government policies.
A researcher, Koo (2009) wrote that under ideal conditions, a country’s economy should have the household sector as net savers and the corporate sector as net borrowers, with the government budget nearly balanced and net exports near zero.
Consequent upon these, the educational system being one of the nation’s major concerns has been affected negatively. This has a direct or indirect influence on academic institutions across the nation which will in turn affect the academic performance of students in these institutions.
Also, every student that comes from a family with poor household income and poor household savings, the student finds it difficult to fare well in school which can adversely affect academic performance.
The researchers are therefore concerned about how this economic recession in Nigeria has contributed a major setback in the academic performance of students in schools, hence the need to embark on a research of this sort.
1.2 STATEMENT OF THE PROBLEM
This study is examining the effect of Economic Recession on the Nigerian students.
In Nigeria, the educational system is almost completely dependent on government budgetary allocation and with the economic crisis; the sector will no doubt witness its fair share of the budget cuts which will affect not only the teachers but also students and families.
Most students in Nigeria and of course in Federal College of Education Pankshin (FCEP) are dependent on their families’ i.e parents, older siblings or other relatives. Some are self dependent but in turn have dependents. However the living standards of people that depend on wages and salaries are no more affected by recession than those who rely on fixed incomes or welfare benefits. Whichever category one belongs as a student “does not matter here” for the fact that the economic recession in Nigeria has made it tough for students who fall in either of the categories to survive in what one might call “our financially demanding school system”. It is also a common thing to hear student say that “one cannot study hard with a hungry stomach”.
1.3 PURPOSE OF THE STUDY
The following are the purpose of this study:
1. To examine the effect of economic recession on students’ academic performance.
2. To examine the relationship between economic recession and setback in education.
3. To examine the relationship between economic recession and students’ standard of living in Federal College of Education Pankshin.
1.4 RESEARCH QUESTIONS
1. What is the relationship between economic recession and students’ standard of living?
2. What is the effect of economic recession on students’ academic performance?
3. Is there any relationship between economic recession and setback in education?
1.5 SIGNIFICANCE OF THE STUDY
1. This study will educate the government of Nigeria and the general public on the effect of this ongoing economic recession on Nigerian students.
2. This research will be a contribution to the body of literature in the area of the effect of recession on the Nigerian students thereby constituting the empirical literature for future research in the subject area.
1.6 SCOPE/ LIMITATION OF THE STUDY.
This study is limited to the effect of economic recession on the students of Federal College of Education Pankshin. Financial constraint; insufficient fund tend to impede or cripple the efficiency of the researchers in sourcing of relevant materials, literature or information and in the process of data collection which consist of internet and interview.
Time constraint; the researchers will simultaneously engage in the study with other academic work. This consequently will cut down on the time devoted for the research work.
1.7 OPERATIONAL DEFINITION OF TERMS.
Economic – Has to do with all the activities of an economy of the nation.
Recession – Is a state of difficulty or abnormal flow of activities in the economy of a nation (country).
Students – These are group of persons that study a particular subject or course especially in a school.
Academic – This is an activity that involve learning in an educational institution
Performance – The achievement gained that result from learning a particular task or course.