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This study examines the relationship between the third world countries and the western capitalist countries. It shows dependency as a phenomenon or problem of relationship that gave rise to the economic growth and development of the western world in expense of the third world societies which are economically underdeveloped, and lack the capacity and ability to control the economic system or productive processes of the societies. In our attempt to analyze and address this problem we used dependency theory for the analytical framework while documentary research method was employed in gathering and analyzing data. Unequal relationship between Nigeria and countries of the western world coupled with negative role of the Nigeria economic elite was discovered as the major problem, it was ascertained that this problem is historically rooted in foundation of the society, as such, ordinary measures are not suitable, rather concrete type in form of socialist transformation is recommended by the study.
TABLE OF CONTENTS
Title page i
Approval page ii
Dedication iii
Acknowledgement iv
Abstract v
Table of content vi
CHAPTER ONE
Introduction 1
Statement of the problem 2
Objective of the study 2
Significance of the study 3
Theoretical frame work 4
Hypothesis 5
Literature review 5
Definition of the terms 17
Method of data collection/analysis 20
Scope of the study 20
Limitation of study 21
Reference 22
CHAPTER TWO
THE ORIGIN OF DEPENDENCY RELATIONSHIP BETWEEN THE NIGERIA AND WESTERN WORLD
2.1 The pre colonial political economy 23
2.2 The colonial political economy 28
2.3 Post colonial political economy 36
CHAPTER THREE
THE RELATIONSHIP BETWEEN NIGERIA AND THE CAPITALIST COUNTRIES OF THE WESTERN WORLD
3.1 Dependency relationship 44
3.2 The positive roles of multi national corporations 46
3.3 The negative role of multinational corporations 50
3.4 High rate of importation in Nigeria 53
3.5 Foreign loan in Nigeria 58
3.6 The roles of international financial institution in
Nigeria 64
CHAPTER FOUR
NEGATIVE ROLES OF NIGERIAN ECONOMIC ELITE
4.1 Problem of corruption 70
4.2 Foreign oriented economic policies 75
4.3 The structural adjustment programme (SAP) 77
4.4 National Economic Empowerment
Development strategy (NEEDS) 81
4.5 Lack of ability of self reliance 86
CHAPTER FIVE
5.1 Summary 90
5.2 Conclusion 91
5.3 Recommendation 91
Bibliography 97
CHAPTER ONE
INTRODUCTION
Economic dependency is the lack of capacity and ability to control the economic system or productive process of a society such that the society as a state depends on foreign developed economy states for leadership and control through regulations and some economic institution. The country that are depending on the rest are mostly poor countries of the third world, Nigeria is a typical poor third world country and underdeveloped that depend on the western world for decision and implementation of economic policies , thereby contributing to the economic development of the west to her own detriment. For example, (SAP) structure Adjustment programme of 1986, National Directorate of employment (NDE) of 1986, Petroleum Trust Fund (PTF) poverty alleviation programme etc. all seems to have end in failure after gulping in estimate material and human resources, funded with loan and the associated intrest.
Since the economic structure is disarticulated, being the main structure; the foundation; on which rise the political super structure; and which controls both the intellectual and material production, the implication is the underdevelopment of the entire society. The state of underdevelopment of the entire society raises serious alarm in whole third world countries and the international community. Historically, most of the third world countries suffering dependency. Passed common rigorous stages of development from slavery to colonialism/imperialism, and to and to the contemporary globalization. What distinguished one stage from the other was the intensification of the rate of suppression and exploitation mounted on the poor third world countries by the economically developed west.
1.2 Statement Of Problem
What makes human is the ability to be independent from the wills of other people. People of the third world are regarded as sub-human being because of absolute economic dependency on the western developed economies. The problem of the study is that Nigeria like other third world countries has being suffering underdevelopment which emanated from dominant exploitative character of the western economies on which those of the third world depend. The foregoing raises some major questions:
· What is the major cause of economic dependency in Nigeria?
· What is the role of Nigerian economic elite in the economic dependency problem of the country?
What role do multinational companies play in sustaining economic dependency?
1.3 OBJECTIVES OF THE STUDY
In the light of the consideration therefore is the purpose of this work which becomes the task of identifying the historical forces which has generated economic underdevelopment has continues to reproduce itself till today. This history of economic underdevelopment will be traced from the period of colonization to the present time.
It is the aim of this study to examine certain crucial concepts that are closely related to the problem of economic dependency and underdevelopment, specifically:
1. It will investigate the major cause of economic dependency in Nigeria.
2. To discover the impact or the role Nigerian economic elite in the economic dependency problem of the country.
3. To examine the role of Multinationals in the economic dependency of Nigeria
1.4. Significance Of Study
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