Income Inequality and Social protection, and Labor Programs in Nigeria: Empirical Investigation

Abstract: This research explored the interconnection between social protection and labor programs to poorest quintile and income inequality in Nigeria between 2010 and 2015. The study embraces multiple linear regression model and its estimation using ordinary least squares (OLS). The estimated coefficient of 0.005099 signifies that Gini coefficient (GIN) diminishes by about 0.005% for every 1% expansion in BSPL (benefit incidence of social protection and labor programs to poorest quintile) and it is statistically significant at 5% level. This outcome aligns with the view that social protection is an instrument for handling disproportion for poor households, oftentimes by balancing the amount of household earnings or giving finances that allow access to various services. As such, more resources need to be mobilized if the government of Nigeria is to expand coverage of social protection to tackle the high rates of poverty and vulnerability in the country.