Impact of Government Intervention on Market Efficiency in Nigeria

The quest of every nation is market efficiency. This is because it is market efficiency that results in huge revenue generation. But research reports have shown that there is market inefficiency of investors and government intervention to curb the menace is not intensified. This study is designed to investigate impact of government intervention on market efficiency in Nigeria. The study is a survey research design relying on both primary and secondary sources of data. Target population of the study was 3596 participants. Sample of the study was 360 respondents. The sample size was drawn using Taro Yamane’s technique or sample size determination. Instruments for data collection was the researchers’ structured questionnaire and interviews for generating the required data for the study. The structured questionnaire were designed in such a way that respondents were asked closed and open-ended questions on the study. The instrument has 24 items using Likerts modified response option of strongly Agree (SA) Agree (A) Disagree (D) and Strongly Disagree (SD). The data collected from the respondents were analyzed using descriptive and inferential statistics. Specifically, the research questions were answered using item by item percentage statistical analysis. Data obtained from the interviews were transcribed and analyzed qualitatively. The two null hypotheses formulated were tested using regression analysis and the associated ANOVA. Findings of the study revealed that the level of government intervention toward enhancing market efficiency is below expectation. This is because of draconian policies and high revenue on market good. The study therefore recommends that government should ensure adequate intervention in order to encourage investors and boost market efficiency in Nigeria.