TECHNOLOGICAL PROGRESS IN THE NIGERIAN TOBACCO COMPANY, ZARIA (A PRODUCTION FUNCTION APPROACH)

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Date
1996-09
Authors
ABIDEMI, ABDULSALAM SIKIRU
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Abstract
This thesis investigates the level of technological progress in the Nigerian Tobacco Company, Zaria. We adopt the production function approach in assessing productivity of inputs, factor substitution, technological process and efficiency in the firm. Three hypotheses are proposed and verified. First, we hypothesize that the Nigerian Tobacco Company has over time experienced low rate of technological progress. Second, we postulate that output level in the firm depends on the import level of cigarette-making machinery . Third, we posit that the capacity of the firm to import machinery inputs and chemicals is dependent on the import capacity of the Nigerian economy. The econometric approach is applied to verify these hypotheses. The results show that the Nigerian Tobacco Company, Zaria, witnessed virtually no technological progress during the period under review, a reflection partly of inadequate Research and Development (R & D) activities in the firm, and partly of the fledgling state of the capital-goods sector of the Nigerian economy. Furthermore, given that the Nigerian Tobacco Company is heavily dependent on the importation of machinery, chemicals and other inputs, its access to limited foreign exchange has been a determining factor in its technological progress.
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A THESIS SUBMITTED TO THE POSTGRADUATE SCHOOL AHMADU BELLO UNIVERSITY, ZARIA IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE AWARD OF MASTER OF SCIENCE DEGREE IN ECONOMICS DEPARTMENT OF ECONOMICS FACULTY OF ARTS AND SOCIAL SCIENCES AHMADU BELLO UNIVERSITY ZARIA, NIGERIA.
Keywords
TECHNOLOGICAL,, PROGRESS,, NIGERIAN TOBACCO COMPANY,, ZARIA,, PRODUCTION,, FUNCTION,, APPROACH
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