By Adisa Adeleye
MANY theories are associated with both economic and political developments in many developing countries, especially in Africa.  Most development plans follow their European counterparts in formulation and execution.

These plans are based on application of foreign capital and indigenous local material and human resources.  Most of these plans have failed because they are plans without facts.  These were plans which relied more on foreign aids without complementing local resources.

Many plans in the developing countries could be described as plans without common sense or ability to understand what could be necessary to make the plans work.  Experience had shown that a carbon copy of European plan based on figures without European mentality could not survive application.   It could, therefore, be adduced that any plan now in our own part of the world that would be successful should contain an element of common sense.

It is not for fun that many developed countries in the earlier part of their development had added a little bit of common sense to the planning and the execution of their economic plans.  For example, the British Navigation Acts of the 17th Century and the earlier Corn Laws were undertaken to protect British shipping interest and also British farmers.

These are cases of ‘Enlightened Self-Interest‘.  It is nothing short of common sense approach to protect one‘s interest in domestic economic development.

In Nigeria, however, there seems to be a curious approach in our attempt to develop our economy.  Our first approach is to please foreign interest by depressing our economy and make life very difficult for the ordinary people.  Our leaders funningly termed this as making our market favourable to foreign investment.

Another distasteful approach is to create artificial scarcity in order to allow all sorts of cheap and inferior goods into the country.  The big men of the Customs would argue that banning of some commodities would affect the size of the revenue accrued to the country, and thereby banned goods should be allowed in.

This approach lacks common sense in an environment where patriotism is needed for the development of domestic manufacturing industry. The lack of common sense approach is evident in the argument on Subsidy.  Those who clamour for the removal of subsidy on essential products often forget the effect on the cost and standard of living of the ordinary people.

Desirable commodities

Even the great USA subsidized its agriculture from its infancy to maturity and many sensible nations continue to subsidize prices of desirable commodities to make life better and more abundant for the majority of the people.

No sensible government would want to raise the prices of essential products in order to satisfy the profit motive of a foreign investor.  There is a lot of difference between the foreign capital seeking for rare development of another nation and that which seeks to make profits as quickly as opportunity prevents.

A nation would have to make a choice as to what type of investment is necessary to encourage economic development.

The common sense approach which is practical in every sense is for a nation to adopt the policy which utilizes more of its domestic savings to develop its resources.  For example, the Minister of Trade and Investment need not cast its net wide but to concentrate on dormant capital at home.

Before the military coup of the 60s, there were large chain retail departmental stores of foreign companies in Nigeria.  There were big stores of Kingsway, Leventis, UTC, John Holt, PZ, Chanrai, K Chellarams, etc dotted all over the urban centers in Nigeria.  These companies offered employment to thousands of Nigerians.  Alas, the jobs have all disappeared.

A common-sense approach

would be for the Minister to invite the heads of these organizations who are still in Nigeria to agree on the possibility on re-investment in this old but necessary retail organizations in many prosperous and developing urban centers in the country.

Of course, there would be problem of capital and foreign exchange which would be easily solved as these companies have a great proportion of Nigerian indigenous share holding.  The foreign exchange angle could be handled by a multiple foreign exchange system which allows certain goods to be imported cheaper in order to provide cheaper imported commodities to complement other domestic products.

It does not make economic sense to adhere strictly to a foreign exchange pattern which makes every imported commodity costly through a weaker naira. A system which makes ordinary Nigerian a user of second-hand material, vehicles and clothing is not good for the country.

Thus, a common sense approach to employment would encourage a re-opening of all employment creating establishments through injection of more capital and a favorable foreign exchange policy that would make borrowing easier and importation less burdensome.

It is not the intention of this method to create a perpetual import-dependent syndrome, but rather to allow a legitimate business of standard import of commodities not necessarily manufactured cheaply in Nigeria.  Gradually, Nigerian chain stores would exhibit a refined made in Nigeria goods which are safe and of standard.

As it was before, many of our carpenters, furniture makers, tailors, and other private skilled workers were employed by bigger organizations to produce wares for departmental stores.

All these have been reduced to a state where they have to find market for themselves, a resuscitation of old practices would lead to a more lively trade and opportunity for small producers to have ready markets.  A ready market means a ready cash – a ready cash creates an incentive to produce more.

A sensible theory of employment would allow each level of government, Federal, State and Local government to increase the level of employment by creating more posts.  In Britain after the war, some grades of workers were created to increase the number of those in employment.

Between the messenger and the clerical officer’s grade, posts of clerical assistants were created to give jobs to those who were unable to pass out of secondary schools with minimum of 5 O‘ levels.  This was done to bring unemployment to 3 percent of the working population.  Also, the functions of certain ministries were decentralized and offices opened in other areas of the country.

It is certain that a common sense approach to the solution of our problems would bring happiness and an era of peace and prosperity to a nation which is blessed with both human and material resources.

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