Katsumoto:

Any corporation in the middle ages could have built small patches of infrastructure to support its enterprise when it didn't have to pay for labour (slaves) and land was free. Second, building railways is also cheap when you are looting. Who wouldn't build railways if your produce is free and you are using free labour? Why isn't the private sector in countries such as the US, UK, China, Russia, etc. building infrastructure today?

With the way, you are going about your argument, I wouldn't let you teach my nephew, let alone me. If you think private sectors should be building infrastructures, then articulate how and why a company in Nigeria could undertake major infrastructural development. So lay down all that is required and then explain how such a company will make its profits. Please be very specific; I want to learn.

Don't mind his kukere economics. A teacher who does not the meaning of examples. The worlds biggest public expenditure was on the US interstate highway system, why didn't private companies fund it? Largest expenditure on power in Africa is being funded by several African govts not private companies. Peeps who have never taken any risk to run a beer joint/strip club always shout the loudest about free market.

pleep: My friend this is way too vague.

Errm. . . The factors required for most economic theories and principles to be put in place are non existent in Nigeria.

Nigeria is largely a free market anyways(My opinion) No electricity? There's a cheap subsitute - Generators.
No water? We have Boreholes and what not. No rail system? Haulage companies are doing a good job. . .

You guys are just not educated enough... that is why i don't like debating people who are not smart. I will always end up carrying you along in the discussion.

"we want examples bla bla bla, that examples is too old bla bla bla, that was a colony bla bla bla, that doesnt count bla bla bla"


Until i post a link of 23 private companies that have contributed to Englands infrastructure: http://en.wikipedia.org/wiki/List_of_companies_operating_trains_in_the_United_Kingdom

If you want to debate something, do your gotdamn research, and dont ask your opponent to teach you.

adconline:
Don't mind his kukere economics. A teacher who does not the meaning of examples. The worlds biggest public expenditure was on the US interstate highway system, why didn't private companies fund it? Largest expenditure on power in Africa is being funded by several African govts not private companies. Peeps who have never taken any risk to run a beer joint/strip club always shout the loudest about free market.

I've taken plenty of risk, my uncle is into mining and i invested

What have you done?

pleep: I've taken plenty of risk, my uncle is into mining and i invested

What have you done?

, so your uncle is underwriting your risk. Have you run a business in Naija?

pleep: Concede graciously, are you kidding me look guys... i've given you enough examples, i'm not your fuckin teacher ok?
The way you people are behaving is going to make this discussion go left very fast.

What more could you want: http://en.wikipedia.org/wiki/East_Indian_Railway_Company That was a british joint-stock company that built railroads all across India, privately financing everything.

At this point, take it or leave it.

you are sounding dumber and dumber by the minute.
ever heard of something called colonization? or are you now confusing colonization with "free market"?

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The Boston Tea Party (referred to in its time simply as "the destruction of the tea" or by other informal names and so named until half a century later) was a political protest by the Sons of Liberty in Boston, a city in the British colony of Massachusetts, against the tax policy of the British government and the East India Company that controlled all the tea imported into the colonies.
http://en.wikipedia.org/wiki/Boston_Tea_Party

https://www.youtube.com/watch?v=whVf5tuVbus

https://en.wikipedia.org/wiki/Neocolonialism
neo-colonization is a word coined by Kwame Nkrumah who got schooled on what "free market" was really about. another form of colonization.

THe example of CUBA is a good example of how "free trade" is really just neo-colonization with a fancier name.
https://en.wikipedia.org/wiki/United_States_embargo_against_Cuba

remember the cold war also. a war between capitalist west vs communist east.
what's so "private" about this very obviously political issue.

^ wetin be the matter wit dis one?

cfours go back to the kitchen. I'm not trying to be sexist, but some women have a hard time making sense

pleep: i'm having a severe diarrhea of the mouth. it's leaking from both sides

then you need to go back to the zoo, monkey

bla bla bla

Are high-yield treasury bills stifling the free market in Nigeria?

The Nigerian government offers 14% interest rates on its 1-year treasury bills. This is exorbitant, and could be the main factor in the unwillingness of Nigerian banks to lend to the Private sector. Earlier in this thread, i argued that the reason the free market was not generating development in Africa was because of a failing of the private sector itself, others suggested that it was a failure of the banks, now i will theorize that it is the governments fault, but not for the reasons often suggested ( lack of infrastructure) but rather high government Treasury Yields and their effects on interests rates all over the country.

Because the 1-year treasury is considered to be the safest investment in any country it inadvertently sets the minimum interest rate for any loan in that country. What incentive is there to loan money at 6% or 3% (like is done in the U.S) when you could get a much safer treasury bill for 14%? This creates a huge opportunity cost for money in the Nigerian financial system and makes banks unable to adequately fund growth and business in the private sector via loans. This is because they are charging suffocatingly high rates or are simply unwilling to lend.

Without this Cog in the Free market the system does not work properly, and the private sector is unable to bring growth, employment, and industrialization without assistance from the government.

So why are Nigerian treasury yields So high? It seems to be a a result of inflation, government debt and instability

pleep: In Nigeria the private sector is dead. We wait for the government to bring electricity, we wait for the government to bring roads, clean water, steel factories, refineries etc.

The Federal government is expected to provide everything needed to bring development to the county, is this right? A system like this is the polar opposite of the way development occured in places like Europe of America, where entreprenuers made the business and industries of the nation... based on the wishes of the market and the laws of supply and demand.

Why is Africa different, why does the free-market not work here?

Africa needs an enabling environemnt infrastrucutre and good policies that will help the entreprenuers create businesses and jobs.

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