The Trilogy among Poverty, Inequality and Insecurity in Nigeria: Does Governance Quality Matter?

Abstract

The study examines the role of governance in the relationship between insecurity, inequality, and poverty in Nigeria using annual data from 1996 to 2020. To control for endogeneity among the variables, we employ generalized methods of the moment (GMM). We find that the main causes of insecurity are poverty, illiteracy rates, and inequality. Remarkably, unemployment appears to have no impact on the current insecurity issue in the country, indicating that the security challenge in Nigeria is more of a structural and systemic problem. We find that control of corruption, political stability, and voice and accountability have a strong mediating influence on solving the influence of poverty on insecurity. This suggests that Nigeria's economic prosperity is threatened by rising poverty, inequality, and weak governance. Therefore, fighting insecurity in a big country like Nigeria requires quality control of corruption, voice, and accountability, all of which are critical in the battle against poverty and inequality.