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THE EFFECT
OF DEREGULATION OF THE OIL SECTOR ON THE NIGERIAN ECONOMY
ABSTRACT
This
research work examines the effect of deregulation of the oil sector on the
Nigerian Economy, it examines the definition, reasons modes, theories, problems
as well as the solution to deregulation and its relation to privatization
policy in the course of carrying out the investigation, hypothesis were stated
and literature like magazine, textbooks, information from the internet,
newspapers and questionnaires were prepared, and used in order to effectively
and critically examines this issues and how it affects the general public with
a view of making recommendation on how best to ensure the effective
implementation of the policy. This project provides a background information of
the topic of discussion with the purpose of assessing the effects of
deregulation of oil sector on the Nigerian economy and examines the reasons,
problems and solutions to deregulation. In an attempt to carryout this
investigation, the study centred around the down stream oil sector with
specific reference to the Nigerian economy
TABLE OF
CONTENT
CHAPTER
ONE
Introduction
1.1 Background of study
1.2 Statement of problem
1.3 Purpose of study
1.4 Scope of study
1.5 Significance of study
1.6 Hypothesis of study
1.7 Limitation of the study
CHAPTER
TWO
Literature
Review
2.1 Meaning of deregulation
2.2 Modes of deregulation
2.3 Theories of deregulation
2.4 Review of privatization
2.5 Review of achievement of the
deregulation in Nigeria
2.6 The effect of deregulation on the
Nigeria economy
2.7 Review of possible solution to
the problems of deregulation
CHAPTER
THREE
Methodology
3.1 Research Design
3.2 Area of study
3.3 Population/Sample
3.4 Research Instrumentation
3.5 Administration and collection of
data
3.6 Procedure of data analysis
CHAPTER
FOUR
Presentation
and discussion of results
4.1 Data presentation
4.2 Analysis of data
CHAPTER
FIVE
5.1 Summary of findings
5.2 Conclusion
5.3 Recommendation
REFERENCES
QUESTIONNIARE
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
The economic system practiced by
any country determines the type of economic policy that country produces, that
is determines the monopoly of power of power in production and distribution
activities with special reference to the ownership, decision making as well as
incentive structure operating in the country. Karl Polory (1964) distinguishes
three (3) main types of economic system as the traditional (subsistence)
planned (command) and market economy. However, the field of comparative
economic system breaks the above categories into the capitalism, socialism and
communism.
The economic system operative in
Nigeria are basically the capitalism, socialism and communism system. But with
the collapse of the communism and socialism economic policies in 1986 to give
rise to a unipolar economic system-capitalism the policy of “deregulation” has
been found expedient to implement.
This policy (deregulation) was
first mooted during the military era but was given fillip by the present
administration.
1.2 STATEMENT OF PROBLEM
The problems surrounding the
deregulation of oil sector which this research topic aims to investigate are:
Does
deregulation affect the price of petroleum?
Does
deregulation affect the price of goods and services?
Does
deregulation encourage the growth of the economy?
Does
deregulation improve the standard of living of the people?
1.3 PURPOSE OF THE STUDY
The major objectives of this study
are to access
1) The effects of deregulation of the oil
sector on the Nigerian economy.
2) The season and problems of deregulation
of the Nigeria oil sector.
3) To proffer solution based on findings on
the study that will be useful for deregulation policy and achievement of stable
balance of payments.
1.4 SCOPE OF THE STUDY
The scope of this project will
centre around the deregulation of the down stream sector as it affects other
sectors of the economy with specific reference.
1.5 SIGNIFICANCE OF THE STUDY
This study is significant in the
sense that it looks into the deregulation of the Nigeria oil sector as a means
of liberalizing the economy and encouraging competition hence, this study is
beneficial to both academicians and non academicians as it will enable them
know, and it will also suggest solutions to some of the problems associated
with the policy.
1.6 HYPOTHESIS OF THE STUDY
To
empirically carry out this research, the following hypotheses have been
formulated for testing.
a) Ho 1: deregulation of the oil sector does
not significantly affect the pump price of petroleum products.
b) Ho 2: deregulation of the oil sector does
affects significantly the pump price of petroleum products.
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