<p> Title page<br>Approval page<br>Dedication<br>Acknowledgement<br>Abstract<br>

Chapter ONE

: INTRODUCTION<br>1.1 Background of the study<br>1.2 Statement of the problem<br>1.3 Objectives of the study<br>1.4 Research questions<br>1.5 Research hypothesis<br>1.6 Significance of the study<br>1.7 Scope and limitation of the study<br>

Chapter TWO

: LITERATURE REVIEW<br>2.1 Literature review<br>2.2 Theoretical literature<br>2.3 Empirical literature<br>2.4 Limitation of the previous studies<br>

Chapter THREE

: RESEARCH METHODOLOGY<br>3.1 Introduction<br>3.2 Method of data analysis<br>3.3 Model specification<br>3.4 sources of data collection<br>3.5 justification of data collection<br>3.6 Evaluation technique<br>

Chapter FOUR

: PRESENTATION AND ANALYSIS OF RESULTS<br>4.1 Presentation and interpretation of results<br>4.2 economic a priori criteria<br>4.3 Statistical criteria (First-order test)<br>4.4 Econometrics criteria<br>

Chapter FIVE

: SUMMARY, RECOMMENDATIONS, AND<br>CONCLUSION<br>5.1 Summary<br>5.2 Recommendations<br>5.3 Conclusion<br>Bibliography<br>Appendices <br></p><p> </p><p>INTRODUCTION<br>1.1 BACKGROUND OF THE STUDY<br>One of the major issues which have occupied the mind of government<br>for years is the impact of monetary policy as a tool for price stability in<br>Nigeria. Despite the lack consensus amongst the economy, there is<br>remarkable strong agreement that monetary policy as an economy-<br>stabilizing measure in Nigeria refers to the persistence rise in the<br>general price level.<br>Monetary policy is one of the macroeconomic policies available for<br>managing the economy. It is however important today because its<br>effects on economic aggregates such as price, output, interest rates and<br>exchange rates. In most countries, the central bank is saddled with the<br>responsibility of conducting monetary policy. In the case of Nigeria, the<br>responsibility entirely lies with the Central Bank of Nigeria (CBN). The<br>discretionary control of the money stock by the monetary authority<br>involves the expansion and contraction of money, influencing interest<br>rate to make money cheaper or more expensive depending on the<br>prevailing economic situation.<br>1.2 STATEMENT OF THE PROBLEM<br>The monetary policy implemented in the economy over the past years<br>has been detrimental and inconsistent with developmental needs of the<br>economy (Apata J.T, 2007). This concern has exerted pressures on the<br>monetary authorities in Nigeria to re-examine and re-evaluate their<br>monetary policies with the view of finding possible solutions. As a result<br>of this, the Structural Adjustment Programme (SAP) as introduced in<br>Nigeria in 1986 in order to correct the structural imbalances in the<br>economy and to liberalize the financial system.<br>Despite various actions used by the monetary authorities in<br>administering monetary policy in Nigeria, there are still limits to the<br>effectiveness of monetary policy. There has been a wide discrepancy<br>between target and outcome due to the fact that the central bank has<br>not been able to achieve the various objectives it set out for itself. For<br>instance, there has been a problem hitting inflation target. The<br>inflation target in 2008 was 7% but the performance was about 19%.<br>Nigeria needs an effective, efficient, sound and consistent monetary<br>policy that has a positive effect on interest rate, employment and real<br>output, so as to minimize the economic problems disturbing Nigeria as a<br>developing country<br>1.3 RESEARCH QUESTIONS<br>What is the effect of monetary policy on price stability in Nigeria?<br>To what extent do the instruments of monetary policy control<br>inflation in Nigeria?<br>What are the contributions of monetary policy towards developing<br>Nigeria?<br>1.4 OBJECTIVES OF THE STUDY<br>This study seeks to achieve the following objectives;<br>I. To determine the impact of monetary policy on inflation in<br>Nigeria.<br>II. To empirically examine the effectiveness of monetary policy on<br>economic stability in Nigeria.<br>III. To analyze the contributions of monetary policy towards<br>promoting growth and development of the Nigerian economy.</p><p>1.5 RESEARCH HYPOTHESIS<br>The hypothesis to be tested in the course of this research work is stated<br>below;<br>H1 = Monetary policy has significant impact on inflation in Nigeria.<br>H2 = Monetary policy has no significant impact on inflation in Nigeria.<br>1.6 SIGNIFICANCE O THE STUDY<br>This study is significant in the following ways;<br>I. It would provide an objective view of the effectiveness of the<br>monetary policy in Nigeria.<br>II. It would provide an economic basis upon which to examine the<br>effect of monetary policy on the Nigerian economy.<br>III. It would provide policy recommendations to the policy makers<br>on ways to make the Nigeria economy vibrant through the<br>monetary policy.<br>1.7 SCOPE OF THE STUDY / LIMITATION OF THE STUDY<br>This study will focus on major growth and development components<br>which are vital parts of monetary policy. The study will also empirically<br>examine the effectiveness of monetary policy in the Nigerian economy.<br>Factors that affect smooth execution of the project include inadequate<br>finance and short time.<br>policy are yet to be fully harnessed. The purposed of this study<br>is to analyse the impact of monetary policy with Nigeria being<br>the case study. With regards to the data analysis, regression<br>analysis was applied. The study covers the effectiveness of<br>monetary policy from the period 1985 to 2011. The study<br>revealed that the level of effectiveness of monetary policy is<br>highly influenced by the Central Bank of Nigeria (CBN).<br>TABLE OF CONTENTS<br>Title page<br>Approval page<br>Dedication<br>Acknowledgement<br>Abstract<br>

Chapter ONE

: INTRODUCTION<br>1.1 Background of the study<br>1.2 Statement of the problem<br>1.3 Objectives of the study<br>1.4 Research questions<br>1.5 Research hypothesis<br>1.6 Significance of the study<br>1.7 Scope and limitation of the study<br>

Chapter TWO

: LITERATURE REVIEW<br>2.1 Literature review<br>2.2 Theoretical literature<br>2.3 Empirical literature<br>2.4 Limitation of the previous studies<br>

Chapter THREE

: RESEARCH METHODOLOGY<br>3.1 Introduction<br>3.2 Method of data analysis<br>3.3 Model specification<br>3.4 sources of data collection<br>3.5 justification of data collection<br>3.6 Evaluation technique<br>

Chapter FOUR

: PRESENTATION AND ANALYSIS OF RESULTS<br>4.1 Presentation and interpretation of results<br>4.2 economic a priori criteria<br>4.3 Statistical criteria (First-order test)<br>4.4 Econometrics criteria<br>

Chapter FIVE

: SUMMARY, RECOMMENDATIONS, AND<br>CONCLUSION<br>5.1 Summary<br>5.2 Recommendations<br>5.3 Conclusion<br>Bibliography<br>Appendices</p> <br><p></p>