I am not one to get irritated easily. However I take exception to deceits. I keep hearing silly political catch phrases like “people’s bank”, “poverty alleviation” and “micro-credit” designed to help the poor. Over the years billions of Naira has been poured into promoting these ideas. What is more painful is that these deceitful programmes are supported by a number of “renowned” economists who ought to know better.

I have read all the UNDP statistics about the ratio of World’s Richest Country and World’s Poorest Country increasing from 3 to1 in 1820 to 72 to 1 in 1992. I have also noted Schneider (2004) claimed that whilst during the first seven decades of the 20th century wealth distribution in most countries grew more equal and since then the trend has been in opposite direction.

Society is inequitable when it becomes too stressful for those at the bottom of the economic ladder and less harmonious and more division. Inequities is particularly acute in societies where there is considerable gap between the have and the have not.

The social consequence of inequality is a breakdown in family values and an increased insecurity. This is apparent in the developed, developing and the less developed countries. However, inequality is a common phenomenon except that it is more pronounced in the less developed countries.

Evidence of disharmony and division is apparent throughout Nigeria after years of pursuing policies designed to alleviate poverty. Poverty alleviation (or reduction as some people would say) is an objective that has eluded successive Nigerian government.

As with almost other policies in Nigeria, the failure to achieve the objectives of poverty alleviation is not because the policy thrust is unachievable but mainly because government only pay lip service to the policy and use wrong economic tools.

Another difficulty with overcoming poverty lies with government pursuing economic policies that are aimed at increasing its popularity and acceptance by multi-nationals rather than solving social problems. The fact that the wife of a serving president is presiding over such a serious economic policy matter as poverty alleviation is an indictment of the government lacklustre approach to a serious economic issue.

It does not take a walk to Mars to find out the ways to create equitable society. An average Nigerian policy marker could have said what Nelson Mandela (quoted in Heywood and Altman, 2000, p.173) told the world:

….the very right to be human is every day denied to hundreds of millions of people as a result of poverty …. The unavailability of food, jobs, water and shelter, education, health care and a healthy environment. It is “not a preordained result of the forces of nature or the product of a curse of the deities. But the consequences of decisions which men and women take or refuse to take.

What Nelson Mandela is saying is that if the government takes on board and fulfil its responsibilities for the provision of infrastructure, employment creation and agriculture support schemes then poverty will be reduced.

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Private provision of these basic necessities is fine. But it has to be supported and monitored by government because the market for goods and services are not as “free” as the unrestrained proponents of “free market” would have us believe.

I advocate free market policies that are implemented with caution and with government intervening as umpire. I say caution because a truly “free market” can only function under certain assumed conditions which at present do not exist anywhere in the world.

Alexander BK (2001) rightly spoke my mind when he said that:

“In order for “free markets” to be “free” the exchange of labour, land, currency and consumers goods must not be encumbered by elements of psychosocial integration such as clan loyalties, village responsibilities, guild or union rights, family obligations, social roles or religious values.”

The government and policy markers should realise early enough the consequences of the domestic market becoming more oriented towards free market globalisation. The fact that is often denied or ignored by those who are addicted to free market globalisation is that it comes with dislocation of communities by multi-nationals. The coming of multi-nationals is the beginning of the intensification of inequities in the economy.

I see the economic objective of government intervening in the free market as providing a supportive role in circumstances where there is market failure. That is, government should ensure fair play by modifying the market to redress market inequities.

The citizens expect no less from their government than as a guarantor of their personal security. Government should therefore thrive to restore faith in its citizens by pursuing those economic policies that address inequalities.

I am fascinated by the view of Don Dunstan (1999) on the subject when he wrote:

“Our response must be that we will intervene; we will intervene to retain our right to a say in our future, to temper the market place by action, to provide services and social justice, to retain institutional safeguards and provide needed development in the community interest, for we know that we intervene or we sink.”

USA that aspires to be the world leading free marketer is paying huge agricultural subsidies to its farmers. No one has been able to tell us how that fits into the free market theory. What is even more surprising is the acquiescence of the World Bank and IMF on the USA agricultural subsidies. If the USA economic policy is not an acknowledgement that free market is not truly free after all then what is?

Nosa@Olotu.org

Robot  Villager

# 1 var sbtitle8350=encodeURIComponent(Making Nige...Read the full article. Posted by Robot| 16.02.2008 04:45

Bode_Boluz  Villager

# 2 There is no equality, and there will be no equality. If it existed the world would be a different place. To create and support a potential means for getting some sort of level playing field for those that wish to aspire, inspire, acquire and inquire, there needs to be a vibrant and visible Middle Class. Progressive societies and countries support this that is why they are forging ahead. Those with the Super Rich and the Super poor... well just look at them languish. Newly enlightened ones like Botswana, China and Dubai have also seen the light and are using the vast resources at their disposal to accelerate the facilities, infrastructure and support that will sustain this Essential Class of persons. Let us hope that the up and coming generations of Nigerians will see this and take a firm stand to go in the right direction. Posted by Bode_Boluz| 16.02.2008 21:36

Enforcer  Villager

# 3 =Bode_Boluz;4294989327> There is no equality, and there will be no equality. If it existed the world would be a different place. To create and support a potential means for getting some sort of level playing field for those that wish to aspire, inspire, acquire and inquire, there needs to be a vibrant and visible Middle Class. Progressive societies and countries support this that is why they are forging ahead. Those with the Super Rich and the Super poor... well just look at them languish. Newly enlightened ones like Botswana, China and Dubai have also seen the light and are using the vast resources at their disposal to accelerate the facilities, infrastructure and support that will sustain this Essential Class of persons. Let us hope that the up and coming generations of Nigerians will see this and take a firm stand to go in the right direction. Bode_Boluz I do not think anyone would disagree with your conclusion (in bold). I think you have explained the essence of equality policy when you advocate "some sort of level playing field" (equal opportunities). I refuse to believe that equality is about equal distribution of financial resources as some policy makers would have us believed. I am delighted also that you appear to have faith in the future of Nigeria. What is required is everyone pulling their weight to set the ship sailing through the expected stormy waters with one captain on board. It is important that the required qualification for the ship captain position does not include state of origin. Posted by Enforcer| 18.02.2008 08:39

Toku.A  Villager

# 4 Nosa you have written well God bless you. Posted by Toku.A| 18.02.2008 11:31