A Case Study of Nigeria and its Integration in the Global Economy By Allison Beaufort Saturday, 21 April 2012

 Worldview and Economics ◦ Eurocentric and African ◦ Capitalism and African Socialism  Integration in the Global Market  Nigerian Traditional Economic Systems ◦ Igbo ◦ Yoruba  Conclusion

 Proposal of a cultural framework for economic issues  Societal generalizations and their implications for the individual  Case study – uncertain how widespread trends are across African continent

European and African Perspectives

AfricanWestern Community  Societal equilibrium  Orientation of the individual within the community  Individual redistributes success Interconnectedness  Benefit the community  Nurture relationships: communal, spiritual Communal Equilibrium  Only engage in activities to benefit all  Redistribute success to others Interpersonal Relationships  Considered most valuable Individuality  Individual first, community second  Use of the community for advancement of the individual  Individual boasts own successes Progress/Achievement  Benefit the individual  Tangible rewards: material, wealth  Move up the hierarchy Competition  Perpetuate self advancement/success  Little regard for welfare of others Materialism/Wealth  Considered most valuable

African SocialismCapitalism Purpose: Collective Welfare  Public ownership  Modernization and unification  Centralization  Cooperation  Egalitarianism  Respect for the individual  Class differences ceased to exist – the people as a whole became important Purpose: Profit  Investment in order to make profit  Institutions enable conversion to capital  Commodity exchange for money  Maximum returns Private Gain/Individual Benefit  Profit  Use of all available resources  Striving towards personal success Competition  No/little regard for the “loser”  Individual motivation  Exploitative  Most efficient/inexpensive form of labor to earner greater profit

 GNI Per Capita (2003) ◦ World:$7,375 ◦ Less-developed countries: $3,850 ◦ More developed countries: $26,989 ◦ Sub-Saharan Africa: $1,831  Per Capita GDP Growth – Annual ( ) ◦ High-Income Nations: 2.4% ◦ Sub-Saharan Africa: -0.2%  Annual Percentage Growth in Total Factor Productivity ( ) ◦ Crops  Western Europe: 2.50%  Sub-Saharan Africa: -0.32% ◦ Livestock  Western Europe: 1.19%  Sub-Saharan Africa: -0.01% Sources: UNDP 2003 and World Bank 2003 Source: Nin et al. 2003

 Gini Index ◦ Germany: 28.3 ◦ United States: 40.8 ◦ China: 44.7 ◦ Nigeria: 50.6  Human Development Index ◦ Germany: ◦ United States: ◦ China: ◦ Nigeria: Sources: World Bank and Human Development Index

Igbo and Yoruba

 Role of interpersonal connection ◦ Family and community ◦ Universe and divine  Purpose of production ◦ Maintenance and creation of social relationships  Perception of success ◦ Practices of redistribution

 Importance of labor and hard work ◦ Connection to spirituality ◦ Use of kinship systems  Trust economics ◦ Isusus and Rotatory Credit Unions ◦ Trade relationships  Dillalais

 Cultural context vs. global system  Looking for ways to allow systems to work in conjunction to one another  Opportunities for growth within the cultural context of developing countries