ABSTRACT
This study investigates the impact of public expenditures of government on the economic growth of Nigeria using the ordinary least square method for estimating multiple regression models covering 1981-2011 time period. The regression results showed that both capital and recurrent expenditures impacted positively on economic growth during the period of study. The recurrent expenditure has a stronger and more accelerating effect on growth than capital expenditure. This is attributed to the fact that capital expenditure which is not meant for immediate consumption is more prone to misuse and embezzlement, and also could make it to be less growth enhancing. . We can also conclude from F-statistics that the overall model is adequate in explaining the output growth. Johanssen co- integration tests also reveal long run relationships between the variables. Government expenditure on administration and social and community services positively affect economic growth. The study therefore, among others recommends that government should place more emphasis on the capital expenditures so as to accelerate economic growth of Nigeria and that Government should direct its expenditure towards the productive sectors like education as it would reduce the cost of doing business as well as raise the standard living of poor ones in the country