Before you accuse Tinubu for the increase in the price of cooking gas, take a look at the graph below.

D1 and D2 represent Demand curves. You can see an arrow between D1 and D2. The arrow means that the number of people buying (demanding) cooking gas keeps increasing. This is as a result of those that converted their generators from fuel to gas.

You can also see S. S represents Supply curve. There is only one curve for S. This means that the number of people buying cooking gas is increasing but the supply of gas remains the same.

When this happens, equilibrium quantity increases (you can see Q2). This increase in equilibrium quantity is accompanied by increase in equilibrium price from P1 to P2.

The implication of this is, as more people keep powering their generators with gas, equilibrium price (market clearing price) of gas will keep increasing unless it is countered by an increase in supply of gas. The price may even go beyond #1,000 in no time.

So, this is not about Tinubu, this is about the economic forces of demand and supply.

Seun, Mynd44

Chidozie Martins Ugwu
BSc., Economics (University of Lagos)

According to tinubu na statistics we go chop?stop showing us statistics.
And why are people converting their gen to use gas?
Tinubu removed subsidy without cushioning the effect.
I will continue to blame tinubu,even:
1) when I don't have sugar to use with my garri, I will blame him.

2) If my toothpaste finish and I start using salt to brush, I will blame him.

3) If ashawo increase price, I would still blame him.. I will continue to blame him from morning to night.

garriAndsugar:
According to tinubu na statistics we go chop?stop showing us statistics.
And why are people converting their gen to use gas?
Tinubu removed subsidy without cushioning the effect.
I will continue to blame tinubu,even:
1) when I don't have sugar to use with my garri, I will blame him.

2) If my toothpaste finish and I start using salt to brush, I will blame him.

3) If ashawo increase price, I would still blame him.. I will continue to blame him from morning to night.

Economic forecasts rely on statistics, and not individual's emotional feelings.

Umartins1:


Seun, Mynd44

Chidozie Martins Ugwu
BSc., Economics (University of Lagos)

subsidy removal led to the increase in demand for gas
Who removed the subsidy? Tinubu ... They is no way you will Defend tinubu and not sound stupid... Tinubu should just resign and save us this disgrace

Umartins1:


Economic forecasts rely on statistics, and not individual's emotional feelings.

Tell that to the druggie

Too much analysis will lead to paralysis. What lead to the high demand in the first place? Maybe you should start from there.

Xxxxtentacion2:
subsidy removal led to the increase in demand for gas
Who removed the subsidy? Tinubu ... They is no way you will Defend tinubu and not sound stupid... Tinubu should just resign and save us this disgrace

Removal of subsidy was necessitated by economic reality. There are videos of Peter Obi saying the first he would do was to remove the subsidy.

With time, positive effects of subsidy will kick off.

There is really no need to start using cooking gas to power your generator

garriAndsugar:

Tell that to the druggie

I don't subscribe to calling anyone names. He's the popular choice. Sorry, this is democracy

Treasure17:
Too much analysis will lead to paralysis. What lead to the high demand in the first place? Maybe you should start from there.

Artificial inflation.

Umartins1:


Removal of subsidy was necessitated by economic reality. There are videos of Peter Obi saying the first he would do was to remove the subsidy.

With time, positive effects of subsidy will kick off.

There is really no need to start using cooking gas to power your generator

dey play...
Subsidy removal has no positive effects...
Prices of goods and services will continue to rise... Dont decieve yourself...

Xxxxtentacion2:
dey play...
Subsidy removal has no positive effects...
Prices of goods and services will continue to rise... Dont decieve yourself...

If you run a business, can you keep borrowing money to pay debt?

Umartins1:


Artificial inflation.

go back to ss3 and learn the basics of economics...
The inflation was caused by the removal of subsidy and it will continue Like that untill subsidy is restored... Tinubu is just clueless

Xxxxtentacion2:
go back to ss3 and learn the basics of economics...
The inflation was caused by the removal of subsidy and it will continue Like that untill subsidy is restored... Tinubu is just clueless

I should go back to Ss3 to learn the basics of Economics?

See as you slaughter the University of Lagos on the altar of politics

Umartins1:


I should go back to Ss3 to learn the basics of Economics?

See as you slaughter the University of Lagos on the altar of politics

dey play... Truth hurts

Umartins1:


If you run a business, can you keep borrowing money to pay debt?

The business should generate profits to pay back the debts or you simply close down the business..