September 25, 2011


In reply of postscript of May 26 written by Dapo Fafowora in The Nation campaigning for the adoption of market neoliberalism

This axiom is undisputed for all time :that freedom is the salvation of man under sun and the commonwealth and godfather of all social progress and human civilization is the ideological freedom .It cannot be so successful to achieve its desired ends unless intellectual freedom is leveraged to transplant it from the nursery and preserve it into the main field .When they mature culture is reborn and refined which is the mother earth of all progress and the foundation of the universe .How so great if we adore them and we shall preserve our civilization for all time or launch imprecation that may take eternity to cure when abhorred. It is the greatest challenge in mortal history-indeed it is the greatest battlefield of freedom –author.

 It is imperative to note that a society or a nation evolves based on the existing capacity of her economy and the available competence and core competence respectively needed to mobilize mass development cannot exceed this capacity rigidly motivated over time by wiles of nature and human instinct .

The development of human capacity , mainly human capital and human resources using these changing caprices predetermines the extent and the ratio of capital development that can be mustered over the long haul .Development therefore , no matter how small or big cannot go beyond the pedigree of social capacity at a time .

 However , inasmuch as it is pivotal to mass development , without development ideology or ideological freedom , the uniqueness and the quality of capital development which is the totality of mass development at a time cannot also be sustained over the long run . In stead of long term sustainable mass development , or capital development , capital underdevelopment roosted by increasing development mortality had become a lasting patrimony in the developing territories .

In one of my previous posted articles ‘the concept of capacity building and economic development ’ l categorically shed light and appraisal on the mobilisable proportion and importance of capacity building and unrivalled influence on not just economic development but sustainable economic development and the ire effect and imprecation of brain drain over Africa .

 Similarly , in my two books ‘Neomarxism : How to conquer world Poverty ’slated for publication in America and especially its African version ‘World Development Ideology and the Age of Microfinance ’(note:ebook version available } I also shed light on the effect of ideological subserviency over Africa ,diagnosing and proffering solutions to world wide economic crisis while using Africa as a case study , to nail the poser once and for all .

 I also believed this is the first time in history in which development system is proposed for each territory of the world based on prevailing local macroeconomic climate .In my successive studies , even it is plainer to a layman or casual observer that the problem of Africa today or most developing territories is lack of ideological freedom .In these researches ,I highlighted the rise and fall of African civilizations and successive ones .

Today , after the fall , no attempt had been made and accumulated complacency [bibliomania sis ] encouraged the latter triumph of slave trade , the outburst of successive neocolonialism and relentless blind patronage of modern neoliberalism . No development ideology, nothing! Why? Even where we have some philosophers and economists or some good thinkers coming up making a giant stride like south western Marxism popularized by great Awo, they seem to be basically pro-west like Edwin Madunagu or a Neoliberal advocates like Soludo, Sule Lamido or Dapo Fafowora .

It is certainly clear that the gain of erstwhile banking reforms had be come moribund and effect unsustainable. Even the newly rescued banks according to AMCON will take 10trillion naira to be liquidated rather than 1.5trillion naira needed for recapitalization .The banking system is in a colossal mess. The economists and the policymakers are the major bane and bone of contention .This ilk’s hardly think out of the box .No one thinks clearly nor get rid of this bias .

 To liberate African minds from the yoke of western ideological trap had become an arduous task .Even when their scientists and economists have been trying hard to relinquish and jettison past moribund theories which led to previous boom and burst mainly from the great depression of the 1930s to the past meltdown, our so called --African avangarde are still stuck in between , eating the excreta of dejected western moribund theories and proffering them as solutions to deter our nightmare . The worst part of this mess is that even a slight modification of these theories had been hard to come by.

The best we had was southern Marxism and effect not sustainable with the successive generation .Madunagu is an unrepentant Marxist .I have known him for long as media incendiary probably more than a decade now when I was still a vendor , before taken on journalism and writing as next target ,though we never met . A friend of mine was a core aficionado and is still very fond of him .He had so many followers like this guy and bequeathed nothing but trash to them .This guy hardly believed there were other intellectuals in the country that were far better than him . HE USUALLY CALLED HIM FATHER –‘ baba agba’ in Yoruba meaning somebody unbeatable and a leader in the field . All attempts to convince him he was no brainier sounded like the hoot of the raspberry .Fortunately , he is a scholar of repute and have strong sense of history .

Anyway , we can not take that from him .But my worry is that he would have been very good original luminary if he had challenged Marx AND contributed immensely to expand or refine Marxism in this country, besides being good historian because he is the nation’s no.1 Marxist and knows the terrain very well in and out .

 It is particularly interesting to note that the propagation of ideology must be preceded and succeeded by a good sense of intellectual and ideological freedom .The crash of Soviet Union came as a result of lack of intellectual freedom for the people of the old Bolsheviks .

 Hence , people were alienated from social ,political and economic freedom reserved only for the elite class who enjoyed the boon of ideological freedom .With the emergence of Stalinism , Marxism was heartlessly raped for good three decades and capital development was attained at the risk of intellectual freedom .It is the greatest empiricism in modern times as far as dispersal of ideological freedom is concerned .
That in a society where ideological freedom is ensured , intellectual freedom sown over all citizens must be allowed to roost and distribute the gain of great charters of liberty over all .This was experienced by the Anglo-American or western Europe beginning from the Renaissance era and tirelessly keep mustering its steam for a good five centuries persistently clining even in the post-industrial age . We can imagine the kind of challenge a society without ideological freedom is facing talk less of an embedded disability potential entrenched in a socioeconomic system via the distribution of ideological freedom over all .

That is the ideology must be absorbed and fully imbibed over all irrespective of demographical differences prior to evolution of capital development so as to sustain ideological freedom –this is intellectual freedom .If the framework is abused , mass development could be strangulated which requires muses from the people for its success

.This remains a tall creed in the great charter of liberty .That a society to be liberated through ideological freedom must be mandated to also imbibe the fruits of intellectual freedom prior to explosion of capital development .This defines the essence of development cycle in a cameo which should be repeated by every successive generation so as to maintain and sustain growing antecedence of human civilization . Inability to adhere to this creed , better explains why democracy ,neoliberalism , nationalism , Marxism and the gains of economic freedom had failed woefully to materialize or yield result in most developing societies . 

The great soviet society did attain this up to a time and capital development attained was not sustained with the next generation due to abuse of intellectual freedom .70 YEARS LATER led to its fall. It is necessary to observe that local tradition usually grows or patronizes new ideology use so slowly .But when intellectual freedom is entrenched in human tradition via psychological behaviour , ideological freedom can grow so quickly with mass development and then capital development nurtured as cycle graduates and flow sustainable .

NIGERIA IS A FERTILE GROUND for ideological freedom especially in the south where mass enlightenment is a bit higher-a proof that intellectual freedom can be cultivated as the sole insulator of ideological freedom being the baseliners in the great charters of liberty . WESTERN NEOLIBERALISM : A SINKING SAND Madunagu’s unbridled and blind support for Marxism would not help Nigeria or developing countries in any way without rethinking Marxism and refining Marx to gain required aptitude and eligible standard for adoption .

That is an imperial fact .On May 26 ,2011 , I read ‘Searching for new Economic Perspectives ’a post script written in The Nation by Dapo Fafowora—a veteran essayist and young Nigerian mind making waves in this arena which informed the kernel of this article. I noted with rapture and bamboozle his erudition and perusal which exhumes the unworkable antecedence of socialism in most part of the world where it was adopted and how it was overtaken by Neoliberalism .He noted China , India and entire BRIC countries forming this nucleus and thus concluded that the model should be adopted for the Nigerian economy while declaring null and void the efficacy of socialist model .In my new book [African version ] .I call this mentality and prejudice ‘Biblio Myopia’ not common to developing countries alone .Mentally enslaved people hardly think out of this Pandora box of repression and especially we-- blacks are confronted with this problem as the most culturally subservient race .This stigma continues to confront us .

These men and we have similar features -- ideologically famished minds. Unfortunately , a Nigerian was calling for the adoption of the same model that led to great depression and the meltdown that thoroughly thrashed 5 out of 7 American investment banks into dungeon of obscurity .AIG , Merrill lynch , Bears Stearns , Lehman brothers and U.S. mortgage banks --Fannie Mae etc.all fell without remedy IN THE FOURTH QUARTER OF 2008 .A period in which MILLIONS OF Americans were bankrupt and homeless and countless marriages crumbled .

 When the sub prime crisis took the world by storm in 2007 , not many knew it would lead to credit crunch of this magnitude that detonated the toxicity in 2008 .On September 15, 2008 ,Lehman crashed with the largest bankruptcy filings in U.S. history .Then Merrill Lynch ,the largest stockbrokerage company in the United States also went bankrupt and was bought by Bank of America .The same banksters behind the economic holocaust and the new depression with no financial education even though claimed otherwise , are still being looked upon , teaching people everywhere , proffering solution to the crisis they perpetrated .AIG ,Fannie Mae and Freddie Mac are still mired in depression , in serious trouble and haunted by the crisis .

Today , Warren Buffet a notorious criminal and the world leading bankster, running the world largest Ponzi scheme empire is still being courted by government to help proffer solution to the nagging crisis mustered by their empire .Seeking help from a bankster who helped midwives the crisis is unfair and who sold the toxic mortgages known as the derivatives to government , pension funds and investors around the world , after rating the same sub prime mortgages AAA through Moody -an agency he controls [like Wells Fargo , General Electric , American Express and Gold man Sachs ] can be regarded as a fraud .According Robert Kiyosaki in the new book –Unfair Advantage , he regarded selling sub prime debt packaged as AAA prime debt a ‘fraud ’.Yet his companies have received billions of dollars worth of bail out fund from government after the crash .

 Is it not unjust that somebody behind the world largest Ponzi scheme empire is still being regarded as the smartest investor in the world ? Millions of homes are now under water , worth less than the mortgages .Retirement funds in America is short of 6.6 trillion dollars according to Kiyosaki and Boston college report 2010.These looses would leave Americans unsafe after retirement .In just one month alone August 2010 , approximately 108 billion dollars worth of defined benefit pension plan assets of the top 100 biggest corporations recorded monumental loses .

This means millions of Americans who contributed to this pool are in serious trouble of unsafe retirement and may not receive the guaranteed paycheck for life .Besides , the university of California retirement system –Calsters that was unfunded by half a trillion and engaged in risky investment , the Californian government pension agency ,Calpers –a public retirement pension system that accounts for 1.6million public employees ’health and pension benefits was also in serious trouble having lost more money than all others combined.

 The spill –over effect of the successive financial contagion even in the immediate post –meltdown era has not yet abated .What a rascal we would be if it is adopted! Fafowora himself in the post script concluded that – ‘‘currently , three European countries-Greece , Portugal and Ireland have asked the EU for financial bail out to avoid falling into economic depression .The British coalition government has introduced savage cuts in public expenditure to reduce its huge budget deficits ’’ I believe these are short lived measures and inadequate options .Madunagu was right to interrogate the quality of Neoliberal free market , he proposed to liberate the nation from economic quagmire .

 Then I burst to laughter a bit when he said ‘‘ So far Nigeria has been able to ward off a depression ’’I can ’t understand Fafowora linking it to a surge in unreliable oil income .Are we not in depression already or now in a country in which 15 million graduates are not employed and unemployable and 90 percent of the people are below poverty if we use UNDP poverty profile and not world bank poverty line concept .Great trouble is imminent if we adopt western neoliberalism hook line and sinker .Although , I quite disagree with Madunagu as a remorseless Marxism in most cases , but he was right to lampoon Fafowora ’s ignoble doses ‘with a populist passion ’ or any such ‘was bound to fail ’.

Truly speaking , it was a total failure in almost all developing countries .And mind you , market socialism not of the type preached by Madunagu had always been the savior .During A. Lincoln era besides the civil war [1861-65] James Garfield ’s 100 days in office and Kennedy ’s 1,000 days in the white house , the attempted introduction of U .S . green backs during the period to the era of Roosevelti an New deal that ended the depression at the end of world war 11 but disapproved and branded as national socialism by the supreme court in addition to Clintonian boom of the 90s –the golden age of U.S. economy
An era that created more than 22 million jobs and over 500billion dollars as surplus piled up in the treasury cannot be whisked away in a jiffy . The Marshall plan introduced during the end of the second world war to liberate Europeans from the miseries of the war cannot be forgotten but they blinkly unearthed some of its hidden potential

They same banksters behind the land speculative crisis of the 1830s were behind the great depression and who also profited immensely from the finance of world wars 1 & 2 helped induced the meltdown .During the depression, thirteen thousand banks crashed in America prior to establishment of FDIC in 1933 and from the end of the second world war till the 70s inflation not employment blanketed the nation. At the root of this problem ,the Fed .stood as the major catalyst of American economic crisis .

 It would be surprising to note that American government did not have nor own a central bank because the Fed .does not belong to it .The private Wall street bankers owned the institution established by Woodrow Wilson in 1914.Here is an institutions that was created in violation of article 1 section 8 of the constitution which restricts delegation of the right and power to create money and regulate its value beyond the congress or o other body .Despite the fact in 1935 supreme court ruled against delegating this power to another authority , it acted contrary instead against the law .

By the time the President eye opened to the ponzi scheme , it was too late .A full trained Professor of Law-a senior intellect was deceived to defraud his country .The Federal Reserve Act gives private bankers the American sovereign powers and the most important of all powers .According to Stephen Lendman in the ‘Grand Theft America :The untold story Of global economic crisis’, is the one most of all that governments hardly relinquish which is the power to print money and control its supply .This is the greatest calamity ever bequeathed to ADAM Smith philosophy of free market .Not only control its supply but also determine its value or price its scarcity mainly through federal fund rate manipulation and through changes in the monetary policy .

It is graphically absurd to charge government interest on its own money and later returned the same flat with no interest to owner ,creating money out of nothing and mortgaging the future of generation yet unborn . When on June 4 , 1963 , with the Kennedy issuance of the executive order [EO] 11110 , it gave the authority to the President to issue currency, ordering the treasury to print U.S.treasury notes replacing the Fed . notes and attempted a process to let government owns its money and resided with the power to print money and not Fed. banksters .

Several months later he was killed and Lyndon Johnson took over government to reestablish the Ponzi scheme to the glory of the Banksters and continue with the statusquo of fraudulent monetary policy shift , contracting and expanding interest with no government regulation and oversight control while the taxpayer foot the bill .Does it make sense to create money out of nothing transferring wealth to the banksters from the people ? When Nixon came , in August ,1971 closed and ended the gold window which once backed local currency , suspended its convertibility into metal beginning a new dawn contrary to Breton Wood core provision.

 Few greedy men had mortgaged the posterity as faith in the dollars declined on the altar of profligate policies and unbridled corruption . According to Lend man half a century later after the great Jefferson statement ,Lincoln narrated his vision : I see in the near future a crisis approaching that unnerves me and causes me to tremble for the safety of my country ….corporations including bankers have been enthroned and an era of corruption in high places will follow , and the money power of the country will endeavor to prolong its reign by working upon the prejudices of the people until all wealth is aggregated in a few hands and the republic is destroyed .

’’The Fed today is the world largest Ponzi scheme . It is the most fraudulent central bank in the world controlled by greedy banksters who were behind the killings of three American presidents for trying create one .Economist Michael Hudson and critics Stephen Lend man in their critics of meltdown reconstruction efforts had regarded EESA ‘cash for trash ’as a give away and not bail out .It indicates simply transfer of public wealth to the few banksters and insiders –a sort of financial coup d’etat and the largest and the most inequitable kind since the 19th century. That is why I have contended that inequality of wealth leading to reguflation causes inflation.

.The critics lamented this inequality and were angry at the amount of deceit and relentless fraud going on in the system .Having dished out junk of all sorts –structured finance or SIVs ,credit default swap , securitized mortgages , student loans , collateralized debt obligations such as car loans , credit and corporate debt , special purpose vehicles [SPVs] repackaged arcane and commercial papers and more later resorted to costly hedging ,when the bubble burst to socializing losses at the expense of hapless taxpayers .

 This enriched the fraudsters to cripple the economy .A system that rewarded criminals and crashed industrial capitalism replacing it with the kleptocrats .Little wonder Jefferson regarded the banking institutions as far ‘more dangerous to our liberty than our standing armies . Already , they have raised up a money aristocracy that has set government at a defiance. ’He further noted : the issuing power should be taken from the banks and restored to the people to whom it properly belongs ’.

There is a great deal of secrecy going on in the Wall Street . Some have blamed the universal banking model as the real culprit but indeed not really . In the banking crisis of 1930s the reform advocates during the period blamed losses on the reckless behaviour of securities’ affiliates of commercial banks .The universal banking model which entertains full gamut of both retail and wholesale ends of the chains offering services across diverse sectors and regions was scrapped with the emergence of Glass Steagall Act of 1933 repealed in 1999 which stipulated and enforced legal separation of commercial banking and investment banking .

But during the period subsequent perod have shown that those institutions without a security arms had a much greater threat and tendency to fail .Whether both studies are good and reliable or not is a matter of intellectual debates with the emergence of great meltdown .It is inadequate to link the problem really to lax lending practices , poor savings , poor credit rating , credit crunch and poor regulation .This happens everywhere .

These are secondary inconsequential factors . This indicates that the system is the problem and inadequacy entrenched in the neoliberal free market would keep crisis reappearing unless new model is evolved .How can few private banksters and greedy individuals in the country mortgaged the right to central banking of a sovereign and most powerful nation like America to their own parochial ends ? What they did not know is that inflation and recession are twin arms of inequality of wealth.

What a calamity will we caused our nation if adopted ! .About 13,000 banks crashed during the depression and was speculated that in a decade about half or more of 9,000 banks would soon go if the present model persists. We should not be a rascal to adopt this moribund theories here in Nigeria. Not many knew that even before the laws of the market were discovered by Adams Smith ,some scope of communism and extensive practice of unrefined market socialism not really the sort preached by utopian socialism was endorsed in Europe .

A long barren medieval abetted this practice . Moreover, this lasted from the late medieval for instance for good 800 years in France even after its revolution of 1789 [ref.Robert Heilbroner: Economic Revolution, pg.137,shaping of western civilization explains the mood of the era ] .The Renaissance movement that started in Italy became the sole catalyst of modern free market which began in Britain and lucre was the sole motivator .The trenches of disillusionment he noted with neoliberalism in the 70s and 80s and its total failure was due to ongoing ideological rivalry of the period or so called cold war a period in which it was reborn and resurrected by P.M. Thatcher in G. Britain and President R.Reagan in America . They adopted the philosophy of Adams Smith followers-Fredrick Von Hayek and Prof .Milton Friedman .
When Soviet union fell , democracy and political freedom [ not economic freedom ] swept the world like tidal wave –a major reason behind its growing patronage and increasing world poverty prevalence 

But the problem here is that Karl Marx had no ideological disciples like Biblical Jesus , Prophet Muhammad or like Adam Smith ,whether in support or in opposition of the baseliner model .Smith had masters before him . Thomas Mum ’s mercantilism came before him and free market existed before him fully entrenched in human tradition left unexplored We also have people like John Law and the share trading of Mississippi company .When he came he reorganized this field of economics and had a large followers who succeeded him consistently polishing his thoughts .For instance , from the classical economics to neoclassical economics that produced the like J.B. Says among others to people like Joseph Schumpeter or historical giants like Milton Friedman ’s monetarism and Hayek , the world had become a better place to live ushering in unprecedented prosperity whose views were heavily adopted and respected around the world .Though Nobel laureates in economics are awarded on annual basis contributing their quota , broadening the study , many more challenges and hurdles however still remain to be mounted .--- The Keynesians and the era of macroeconomics were also influenced by classical economics ’s theory of larger market , mass production , division of lab our , laissez faire etc. [ref.later study on macroeconomics ] .

 Whereas Marxism suffers drought in this regard .Besides Engel , I barely knew or read about a prominent philosopher or many of such expanding this field of thoughts --Marxist economics .Practically none . Yet, it is the sole alternative study and the most reliable to spread wealth evenly ,or near evenly to ensure universal prosperity and banish poverty if well refined . The utopian socialists before Marx or prior to 1848 European revolution were prominent historical figures who mentored and indirectly influenced Marxism and Bismarckian nationalism, drawing inspiration from the failure of the revolution .

 I believe that lack of disciples in the development of this field and the nature of stiff resistance meted out to opposing schools especially during Stalin era strictly accounted for the fall of old Soviet . Several countries that adopted it like Cuba or China couldn’t survive solely with it. And even Cuba would cave in sooner or later to free market deceit like China because lucre is a deceiver .The reason is simple : Marxism was regarded as ‘ unfinished revolution ’because many details and grievances were left unexplained and unsettled .Several principles that should form the nucleus of Marxist Scriptures guiding the transition of social institutions towards the communist homeland were not expatiated and clarified . In ‘Adam Ulam: The Unfinished Revolution ’Ulam noted ‘‘How different will the better world of socialism be from the old one of capitalism? Marx and Engel have notoriously little to say about the wonderful new world their criticism and theories imply ’’ 

So much references were made in regard to the nature of capitalism compared to skimpy evidence of socialism .The Marxist world of Western Europe in 1880 fell mainly to Engel but his view was not that vastly different from his great companion .When he died in 1895, Ulam concluded ‘‘the canon of Marxism was frozen and vital questions of socialist role in parliamentarianism of the nature of transition from capitalism and of socialism itself remained to be fought over by revisionists and orthodox Marxists ’’As noted by an American ‘ain’t no disciple gat no appeal ’. I want to believe the anticlericals that form the nucleus of the reformation of the 16th century by the nature of their roles were socialists The Martin Luther king Jnr.Malcolm X. Rosa Parks among others who redefined American values , racial equality and the course of black history were no less socialists in the modern sense .

Little wonder, the permission obtained by Edgar Hoover from the general of the period to ransack and scrutinize King’s private life found out shockingly he was no communist but indeed his action showed otherwise .If there were disciples shortly after Marx and Engel to polish this ideology , it could have been a more powerful force in mortal history .The role of ideological disciples [ as opposed to mere followers] is to maintain and sustain the tempo vital in the distribution of ideological freedom transplanted by early golden age thinkers in the field .Darwin also had great followers like many of the world great religion founders. 


Charles Darwin had a good history to draw from .According to Robert Wright -the author of Moral Animal , he noted after the Origin Of Man ,a great revolution began with the emergence of an increasing body of natural researches beginning from historians like John C.Greene and intellectual reactionaries such as William Hamilton ,George Williams ,Robert Trivers and John Maynard Smith encouraged the deepening that occurred thereafter in the study of evolution .

This broadened the instinct of evolutionary biologists opening the long withheld mysteries behind the social behaviour of animals and man .Wright concluded when he noted the existing defects that two epoch making books such as E.O.Wilson’s Sociobiology ,(1975) and Richard Dawkins (1976)-The Self fish Gene’ which spoke relatively little about the influence of human behaviour no doubt contributed their quota to increasing global appeal of Darwinism . The study of Darwinism or evolution is by no means peculiar to Darwin .Charles Lyell is the pioneer in this field had already advanced the study prior to or as at the time that Darwin started his thesis drafting 35 pages and expanded it to 230 pages later. While Newton discovered the laws of nature and dominated the 17th century ,Darwinist thesis on the evolution of man also competed during the period .Jean de Lamark (1744-1829) had earlier challenged the immutable fixity of species envisioning a comprehensive evolution from worm to man using the theory of acquired characteristics to explain the evolutionary process .Karl Marx also applied this to social sciences that social institutions were constantly in the process of change .

The thesis started from 1840s upward . In his ‘Progress ,its Law and Cause ’Herbert Spencer applied this to all phenomena. Whether commerce , Production , social development , language ,science ,literature and art all undergo simple evolution. This I described as ‘development cycles’ which rests largely on the institution of freedom .The social Darwinist who adopted this philosophy utilized its belief to justify the golden age of colonial expansion and Darwinism was enforced to justify imperialism of weaker race [i.e. blacks] .That colonies were instrumental to the survival of great powers .The philosophy of the aggressors-Marxists , Bismarckian nationalists and social Darwinists may not serve well Africa because it was meant to keep us as a perennially defeated race . The resistance and loggerheads between Darwinists and creationists till date serves to broaden the horizon and study of natural selection spreading intellectual freedom beyond initial scope that could have moved even Darwin in his grave today .

 The successive development created so many schools of thoughts and later refined their world view such as the belief of social Darwinists .On the other hand , in the Greek society , Several branches of philosophy such as Epicure , Stoicism and existentialism were evolved .But by the nature of their evolution had finished their assignment booking a place of pride I n the world civilization ’s history - It is necessary for ideology itself to evolve like every field of human study , it has promoted .This eradicates the irregularities and shortcomings involved in the original context for the benefit of universal welfare . 


The socialist movement debuted as an intellectual and ideological institution in the 19th century . This created a means to counter the problems posed by rising tide of industrialism and launch protest against liberalism .Socialism as a word and ideology first appeared in 1833 and 1839 respectively .It simply re-emphasized the need to return to pre-liberal traditional society that once existed prior to explosion of industrial revolution .They were concerned with the social challenges created by industrial evils and the inherent trespass on right of man .That a society exists for the benefit of all its members as advocated in the middle ages ..They opposed the free market powers of the individual bourgeoisies which they believed had prompted social misery of industrial workers. They advocated social cooperation ,state capitalism and planned economy . Even though they could not cope they represent a rising conscience against the evils of capitalism .

 In France , count of Saint Simons (1760-1825)a bold aristocrat held sway who also fought alongside the patriots during the American war was the first to realize this challenge. Rene Joseph Proudhon (1809-1865) a self professed anarchist of French peasant stock also consolidated socialist influence in France .He was hostile to state and opposed private property .Robert Owen (1771-1878),a successful textile industrialist believe in good education and a good working environment would lead to human progress .Simon’s most vocal critics –Charles Fourier distrusted all centrally planned authorities and believe large bureaucracy would certainly lead to anarchy .Nigeria should learn from this .Whereas Sismondi a swiss economist entertained a popular stance believed all class struggle occurred as a result of world scarcity of goods .He could have been a great Marxist economist had he being that popular with that viewpoint a world model like Smith. 

My view on Neomarxism is a bit similar to this ends. He believed that with the new means of mechanical production an increasing floodgate of goods if left unchecked would lead to class war far more incomparable to previous wars. In an attempt to gain market share over temporary market rivals , increased competition induced by increase marketing , would create lower wages and increase working hours which would in turn lead to economic crisis and internecine wars between capitalists and further ballooning artificial poverty . Isaiah Berlin commenting in ‘Isaiah Berlin : The Utopian Socialism ’noted ‘‘Fourier ’s indictment is the prototype of all later attacks on the doctrine of unchecked laissez faire ,of the great denunciations of Marx , and Carlyle , of Daumier ’s cartoons and Buchner’s plays ,no less than a communist ,fascist and Christian protests against the substitution of new forms of privilege for old and against the enslavement of the individual by the very machinery designed to set him free. ’’ When Charles X was expelled during the revolution of 1830s bringing the Louis Philippe to the throne of France ,socialism gained impetus once more reviving literary revolution .

A tireless succession of books and media freedom attacked social evils of the day and proliferated remedies .The Lamar tine or Cremieux softly liberal proposals ,and the developed state capitalist model expounded by Louis Blanc and semi-radicalist demand of Ledru Rollin or Marast .Blanqui and Barbes also proposed drastic socialist policy using their journal L’homme Libre endorsing abolition of private property or violent eruptions . Apart from Pecquer , Blanc and Dezami , other scholars , who followed closely either popularized ,altered and diluted their original thoughts and doctrines. With his Christian socialist ‘words of a believer ’Lamais --a catholic priest in 1834 , published his revolutionary ideas .Also In 1845 , the ‘Bible of Freedom’ appeared and was circulated by Abbe constant . Fourier ’ s disciple –Consider ant also gained popular appeal when he supported and declared in favor of the abolition of private property .

They lasted for a quite a while and later evanesced as a movement especially the Saint Simonists .Unfortunately, they later became the same capitalists,--railway magnates , rentiers whom they had lived for all time to preach against .The previous gains of ideological freedom nosedived in to obscurity as intellectual freedom developed volatility. Sharing and suffering the same fate as the Marxists .Can you imagine ? That is the power of lucre . They lived only to fulfill at least one out of their master ’s prophecy . Communist settlement was funded by the fourierists in America like the Oneida community that attracted popular American thinkers. They could not sustain the tempo and pressure in the defence of what they believed like the Capitalists .Time pressure was against them –an advantage that the capitalists had exploited to the full altering the forms of the society as they deem fit .The capitalists and the merchants after the overthrown of feudal lords were able to exploit not only the gains of intellectual freedom but its proven merit of better standard of living derived from the fruit of technology , tested and applied to advance the course of capitalist prosperity .The socialists who promised universal prosperity-a far better alternative have fallen far behind .Most especially , the socialists have been seduced by lucre, and according to V.Lenin , have sold themselves to the capitalists think not of the future of their children or grandchildren but they themselves. 


We know that the original pre-Marx Socialists and original pre-Bismarckian nationalists were conciliatory , peaceful ,evolutionary , pacifist and tolerant in the great liberal tradition .Robert Owen , Fourier and the rest were derogatorily regarded as utopian by Marxist socialists .They were so labeled because in binging about peaceful change without class war such as the Scandinavian socialist reforms .That they need not sacrifice civil liberties to get the job done . The pre bismarckian nationalists like Herder [1744-1803] in Germany and Mazini [1805-1872] prominent in Italy .And like their historical brethren failed woefully in the revolution of 1848 .

This failure erupted the iron and blood nationalism preached later by Bismarckian and Marxist socialists ,opening a new vista in modern history .The so called Machiavellian was nothing new but not until 1870s was it systematized effectively and never before the age of Stalin and Hitler was it practiced with such ferocity and coordination never seen before in mortal history .The iron and blood nationalism that followed after 1870s culminated in Nazi Germany and fascist Italy and also led to Soviet Russia advancing iron curtain from Europe to Asia. It instigated like social Darwinists both world wars and global crisis .In the great words of Cavour who accomplished Italian revolution ‘‘if we did to ourselves what we do to our country what a rascal would we be ’’ 


 Rethinking Marx and reforming Marx is the way forwards for a nation ready to develop or in love with this revolutionary idea .That is why I have taken my time to advance neomarxist free market economy , dual or meta-macroeconomics and neomarxism respectively for Nigeria .I briefly appraised them in my books. I wonder what the fate of Nigeria would be if according to Madunagu, it is the BEST option for Nigeria .I believe we are in Neomarxist Era - not neoliberal era and the world economy if adopted will swing from neomarxism to post Marxism as humanity transit from modern age to golden age civilization . The ideals of neoliberal as may be relevant and neomarxism can be merged to create neomarxist free market as sole alternative to conquer world poverty .There is no alternative for both developed and developing countries .This I believed if adopted , Nigeria can grow quickly and we can do in 5 years what could have taken 10-15years to achieve under normal circumstances . We can begin with this platform and then leveraged subsequent unique models as entrenched in this package to usher in universal prosperity for nations that adopted it .Nigeria ’s problem today is lack of development ideology and not corruption or mismanagement as such which is secondary factor .We are in new dawn we must change our mentality and prepare for the adoption .


Not many know that the essence of this blog is to advance the concept and practice of microfinance which is the centerpiece of neomarxist free market economy and neomarxism.It basically deals with strategic impact of the microfinance industry worldwide especially Africa which is to be by content , 60-70 percent for microfinance and 30-40 percent for general economic analysis .Though I posted the African Dilemma –a political essays , this original direction will remain .

It is sometimes expedient for consideration of general economic analysis to be exploited to better align them to dire need of microfinance in an economy .It is by this initiatives that we can weigh its utmost important and optimal effect in economic planning and nation building .References and exposition of macroeconomic models are also needed to compare with the new solution being proffered. It places more emphasis on the fact that foibles in the mainstream formal financial system cannot be resolved without reference to common men to be served by microfinance being the economy of the poor .

Our special reports , interviews and related articles dwell on this axiom We must assess the role of microfinance in poverty alleviation , grass root productivity , microindustrialisation and self empowerment and how relevant are the effect of government policies to their yearnings and plight .Microfinance through its unique free market model would be the beginning of a new dawn in mortal history and the battle to eradicate mass poverty is more than real with this micro financial model. We proffer solution therefore to world macroeconomic problems which I believe cannot be solved unless micro financial model is adopted .

May 23, 2011


It is a common knowledge that an economy is the very survival of man and by sustainability is the capital arts of development  . It can  also be  mutually conceded that an economy matures at its own pace based on the development and  the structure of its financial system and market functioning efficiently with inherent macroeconomic stability prevailing at a given period .It is often well argued that a good lubrication of this system can never be possible without the efficiency at which capital is mobilized and optimized as a unit factor influencing  enhancement effect of  productivity growth .This cannot also be possible without institutional efficiency in addition to labour efficiency  .The role of finance and this framework is extremely important complex and irreplaceable  to facilitate and accelerate appropriate economic growth desired by economic agents and nations at large .The mobilization of these productivity factors in alignment to structural and regulatory  incentives forms a financial system as economy perpetually evolves and consequently can better serve the public mainly improving standard of living. That is why in  a sensitive clime intensive study is often extended  to  the financial and monetary system  which  is periodically  surveyed and appraised to determine its overall macroeconomic impact .

In 1961 the American financial system  was heavily surveyed according to Jacob, Farwell , and Neave [1972]whether ‘it was indeed serving the public as well as it might ‘ .According to the reports and findings of the Commission On Money And Credit it concluded that ;‘Our monetary ,credit ,and fiscal  policies and the instruments and institutions through  which they operate must be so designed that they can make essential contribution in the decades ahead  to the improvement of our standard of living through simultaneously achieving low levels of unemployment an adequate rate of economic growth and reasonable  price stability .And the more successful we are in achieving these goals the better able we will be to  achieve our most  fundamental growth ; to enhance the freedom and dignity of our citizens indeed of men everywhere and to ensure the survival of our country and  its system of government ‘.

These lofty objectives did work out today  in the U.S.By 1982 Geoffrey Whitehead  commented and quoting Professor Galbraith regarded American society as ‘ an affluent society’ .That ‘affluence is wealth and there can be little doubt that western civilization today is wealthier than any previous civilizations .We have more  material things more useful goods than any civilization before us’ ……Thirteen  years before the Commission enquiry the GNP was estimated to grow by   more than  50 percent  to reach  close to a trillion dollars in 1975 from the previous  figure of 600billion dollars annually in 1965.With productivity growing at astronomical proportion household wealth in the 80s towered above 10trillion dollars adjusted for inflation had grown over the period 1974 to 91  nearly 4 trillion dollars including financial assets and real estate rose from 3.75 times annual disposable income in  the former period to 4.5 times in 1991 .

The combination of housing boom of the 70s and the long economic expansion of the 80s in addition to low inflation and high real interest rates skyrocketed the historical boom in the value of household assets  . Today reflecting the vision of the Commission riding on the golden age of the  90s Capital market assets in the U.S. ballooned to 50 trillion dollars more than a third of the world .This indicates that strategic vision , national self critical appraisal ,robust policy , effective human capital deployment and most especially  the hands of providence  including the productivity factors noted usually  mobilize  a financial system into sustainable growth and development. Hence the robustness of this system determines the strategic outcome of such strategic vision of any nation which has carried the U. S. economy thus far with better economic sovereignty and better  standard of living at the top of the world .

At the centre of this argument or polemics is the prominence of financial institutions envisaged to play a vital role towards capital development of any nation  being regulated by CENTRAL BANKS worldwide . Evolution of central banking was bedrock to modern commercial banks and the latter also preceded it by cradle  .They are controlled by economic necessity and preoccupied with the religion of  regulation and control of monetary expansion and discretionary contraction  of money supply .
 Several school of thoughts have debated and disputed and supported the viability and expediency of central banks in an economy or a nation .Is a Central Bank necessary . Both the free banking and the Cartalists schools were at loggerheads with each other  in which the former asserted that a Central Bank was not necessary and also believed that the metallic content of money determines its  monetary value or the inherent  value of money  .Whereas the  Cartalists argued in its favor and supported the issue of legal tender currency  and that its management was equiproportional to national sovereignty in the long run .Some countries that established  central  Banks earlier in their history, like the Riks Bank of Sweden—the world first central bank came into operation in 1656 ,followed by the old Lady of Thread Needle street in 1694 and the bank of Canada in 1935 .

Some of these institutions did not start as  central banks but became central banks by accident or chance ;as they were formerly known as commercial banks , established by government as cheap sources of capital mainly in the period of war  so as to  protect national sovereignty which paid off  as the cartalists believed  and were also used as a leverage for maintaining price  stability by  restricting bank notes issue .Where they were not monopolies in the issue of bank notes and the last lender of resort functions were given special privileges and regarded as special institutions as long as they received operating charters from governments .By the dawn of 1900s only 18 central banks were found operating  world wide  as far as modern definition and modern use of the  term  Central Banking is concerned .The major obstacle here is that their obligation was  to provide cheap sources of finance at below market rates which in turn constrained its ability to maintain price stability as core objective in the long run .

To provide an enabling climate for the economy to grow Central Banks perform various functions and being saddled with diverse responsibilities today as the challenges grew in the system .Some of the functions include ;issuance of legal tender currency ,monetary control and Credit, external reserves and exchange rate management , settlement and payment system management ,financial system stability maintenance, and regulatory and Banking system surveillance activities .Other functions were derived from legal provisions and banking ordinances of respective countries .In the developing region they  ventured beyond traditional functions taking on responsibilities such as public debt management ,Capacity building and development activities and providing needed stability in the system .

Although a central bank still performs several roles like these such as employment creation  and ensuring safety in the financial system  its core mandate is still price stability. However the core mandates which tend to differ often indicate the idiosyncrasy of each region  and infact in some countries regulation and supervision of Banks [i.e. Bank of England ]and exchange rate management were excised from the confine of a central banks monetary authority .
Below let us take a look at the principal objectives of policy world concept; tenability and market relevance ;and strategic impact vs. sustainable economic growth .
The relative importance of price stability cannot overemphasized in a usual macroeconomic settings as a precondition for sustainable economic growth .It connotes a low inflation or zero inflation climate .While the opposite builds when general prices rise very rapidly and varies over time .It is a situation where the general level of prices rise very slowly or  does not grow at all. Inflation is the major determinant for price stability success or failure .A country with price stability has zero or low inflation .Inflation affects people with fixed incomes or fixed monetary value causes unfair distribution of incomes promotes uncertainty with dire consequences and discourages foreign investment .Moreover besides economic fundamentals such as exchange rate  money supply and productivity another factor that determines the level of a nation’s competitiveness which refers to national ability to compete in the international market is inflation which potentially erodes this competitiveness by discouraging both foreign and local meaningful investment It also has overriding influence on noted factors .Exchange rate instability excess money supply high wage structure against low productivity background is highly uncompetitive internationally .National competitiveness improvement is a progress in the relative share of economic profits measurable by investment and output expansion .The inability to spend more in Nigeria and spend more abroad for instance contracts demand for local goods and services increasing unemployment .This affects national productivity which is the output per man hour or an underlying measure in the growth of living standard .

This factor of inflation usually restrains or erodes this productivity and most importantly the national competitiveness vital to boost economic growth .For instance  a sudden rise in the Nigerian rate of inflation will discourage Americans from  demanding her local products due to expensive nature .This contracts foreign exchange inflow while the Americans products will be cheaper attracting more demand leading to capital flight crisis  and they can also import more cheaply from America  .Consequently leading to foreign exchange outflow from the country  . The combined effects of outflows and increase in imports leads to depreciating naira or exchange rate instability .All other things being equal when a country rate of inflation exceeds its trading patner her competitiveness declines automatically .

Also a period of higher outputs did translate into a period of low inflation .In the united states  the pre-1979 especially late 1940s ,50s 60s and 70s were a great period of high inflation –a major economic problem as  opposed to unemployment barrier of the depression .But relatively through better monetary policy had a relatively low inflation shortly thereafter using the policy to preempt rising inflation in contrast to earlier period in which the fed.  tended to wait for inflation to become a major problem before tightening .This happened in the 1960s and .70s. This delayed attitude needs more aggressive surge in short terms interest rates with inherent risks of recessions. Since then a more proactive measure had been put in place and the fed.  with consistent credibility  and appropriate  policy  taken to hold in inflation in check  .The low inflation and low short term interest credibility in the states had persisted   learning from the failure of past unsuccessful  policies .The lesson is that the policy tends to be effective when it preempt rising inflation as a guiding principle .

Therefore in the architecture of macroeconomic policy the central objective often remains the promotion and attainment of  domestic price and exchange rate stability which acts as catalyst for the attainment of sustainable economic growth and external sector viability . And more specifically the essence of stable macroeconomic environment is to catalyze economic output boosts employment generation and consequently impact heavily on quality of life index .However we need emphasize that  development oriented  macroeconomic policy shares the  following attributes and features such as low and manageable inflation rate, low interest rates ,favourable balance of  payment position exchange rate stability and sustainable fiscal performance .And most importantly the quality or state of  institutional development is also a major determinant of development oriented macroeconomic environment  in the economy at large

Although economic growth  is determined by a host of economic political institutional and social factors  which are uncontrollable and controllable monetary policy exogeneity  The core competence of monetary policy however is the pursuit of  price stability which upon attainment is a full indication  of macroeconomic stability and a reflection of growth oriented  macroeconomic environment . This is so because inflation  as usually observed according to Freidman   is a fundamental  economic problem . In the quantity theory of money he concluded ‘ inflation  is  everywhere  a  monetary phenomenon .That in the long run increase in the money supply leads to increase  in the price level ‘. This corroborated  Irvin Fisher ‘s way back  in 1922  which postulated that changes in the quantity  of money  have a dire impact on price level . And the main determinant  of  non inflationary economic growth  is the pursuit and  attainment of price stability which encompasses  all  main areas that apex banks can maneuver to attain macroeconomic stability in the long run. ..

The fact is clear ;the pursuit of price stability  is multidimensional and multi pronged approach implies indirect pursuit of all other economic objectives  which are price stability induced ;ensuring that money supply is at a level consistent with the absorptive capacity of the economy  safeguarding non inflationary growth as the ultimate institutional bias of  policy outcome  and monetary macroeconomics  [Sanusi;2002 ] That is why the paradigm shift in monetary policy objectives worldwide has come to favor it irrespective of multiple developmental objectives of central bank worldwide  [Uchendu,2001]

Over the last few  decades  an  increasing  body of literature have laid more emphasis on the depth of this objective   and adoption . As nations evolve through developmental phases  making more information and empirical studies  available  on how economies work .In  the early stages multiple  developmental objectives were  emphasized and pursued for monetary policy activity such as economic growth   employment generation and maintenance of stable prices safeguarding domestic currency external value and exchange rate stability  .Beginning from the 1990s  probably owing  to growing  waves  of  autonomy saddled with  increasing number of central banks  worldwide have come  to  adopt this  objective as a quintessential mandate for sustainable economic growth . For  instance according to Mahadera and Sterne [2000] and Uchendu [2001]   78 out  of 94 central Banks  or 83 percent of countries surveyed  focus on price stability as central  objective  and core competence for  monetary  policy
The studies exhumed that from the Bank of  Japan to  the Central Banks  of Peru  and  Mexico [Banco de  Mexico ] price stability remains a primary objective  . With  similar  legislation  adopted   by central Banks of  Israel England and South Africa have toed the same line  .The amendment to bank of Korea  act June 12 , 1950 empower the Bank to place more emphasis on this objective as core competence . Moreover  according to the statutory objective of European central Bank  as  stipulated in the Article 105 .1 of Maastricht  Treaty and its protocols which envisaged  the formation of  European central  bank  for the European Union and the European System  of   national central Banks [ESCB] were motivated and mandated  to  focus on price stabilility.  as  primary objective .The treaty specifically states that ‘ the primary objective of ESCB shall be  to maintain price stability ‘ and ‘ shall support general economic policy in the community with a view to contribute to the achievement of the community as a laid down in Articles 22 ‘

Contrary to the above overwhelming support for price stability across the world the United States still uses monetary policy ‘multipurposely ‘ The main objective of the U.S. F.E.D. monetary policy is to ‘maintain long run growth of money  and credit aggregates commensurate  with the economy ‘s long run potential  to increase production so as to promote effectively the goals of maximum employment stable prices and long term interest rates

February 28, 2011


Contextually Capacity refers to human character that is appropriate to support to human tradition and social development at a time .The primacy of human capacity cannot be underestimated in the general design of socioeconomic system appropriate to support living standard of the people .Its development determines the rate at which economy grows and the quality of human capacity has come to matter in modern times in addition to its primordial contribution to nation building and universal welfare as a whole .
However we need observe that its sustainability also more than determines its strategic impact to economic development and where capacity abuse is perpetrated or persistent there can be no development .This among other reason remains the catalyst for capital underdevelopment in most developing countries as a whole

Generally human capacity collectively supports social and economic development .Capacity remains the hardware and the changing climate of development the software vital but nature enthuses differently with capacity as the software and the climate and the human system -- the hardware that outlives the software during a round of mechanical operation or use .The value of human capacity cannot be demystified and a missing link that usually midwives underdevelopment .Appropriate capacity supports appropriate development at a time .Inadequacy of development at a time is caused by capacity inadequacies or the inability to reach optimum capacity needed to support highly demanded development needed at a time .
The appropriation of development cannot be attained unless capacity and appropriate standard needed are met and sustained before projected development can be met .HUMAN DEVELOPMENT begins by cultivation of required capacity vital to support a given human resource per capital which must supports itself first and foremost prior to general contribution to the development of the society .And effective human capacity follows tradition cycle thing with multiplier effect to transform a nation when collectively endorsed .Its quality by use and practice relative to institution and policy practice in an economy is indicated by the quality of information enterprise of a nation .
Since human capacity pioneers and authors human ,social , economic and political development , sustainability of the tradition flow cycle thing relative to collective social capital tends to nurture this capacity far better and consequently not only passes its effect to the socioeconomic system at large but also harbinger of much vaunted human civilization . We can contend that it is the circulation that matters which follows the tradition cycle flow [TCF ]- and such sustainable effect is vital to transform that jurisdiction from existing lethargy and the moribund nature of the socioeconomic system facing the hurdles and resolving the challenges of nation building .
To be precise sustainable human capacity promotes capacity building by aggregate contribution influences socioeconomic development and also sustainable capacity building through its collective wealth promotes social growth ,then sustainable social growth or development . This later snowballs social development in turn following the TCF completes or dovetails into sustainable social development until capital development is attained , harnessed and sustained .This indicates that capitalization of development in any clime can never be possible without appropriate human capacity which will midwives adequate appropriation of development demanded at a time ----
Capitalization of Development, Tradition Flow Cycle and Development Density

Capitalization of development is a central precedence in developed society The development critique school mainly the philosophers and scientists which provides diverse models put to mill to entrench development practice periodically undergo psychological reawakening and moral self-criticality-an inner audit process that reevaluates existing world models by every successive generation of modelers so that a model is not made inactive or left rigid in human tradition far too long .Such capitalization wrought by free will through intellectual freedom tends to restructure human belief system refocuses human tradition and development practice perspective scientifically using per capital competitive bias not only from the critique schools but also from the rest of civil society while evaluating our tradition .
This influences the policy makers in the same way as the modelers though to a lesser extent but most specifically the entire fabric of socioeconomic system that they superintend into growth and then into mass development .Their major responsibility is to shape the polity and the social psyche that supported it giving direction to mankind in general .This is passed from nation to nation ,generation to generation and from project to project .The quality of development equation at this consensus of psychological reawakening and modeling self criticality restructuring curve [ measured or tested at the birth of new models or those not accustomed to where development is traded for utility in the market place ] provided hurdles to learning are surmounted is the only competitive parameter and optimal leverage to grow development cycle from one stage successfully into order for true development to be actualized , sustained and benefits mutually spread to every class in the socioeconomic system .
Total reevaluation of this curve ordinarily insinuates successful market reforms in these territories to further consolidate on the previous gains of development-giving rebirth to elementary doctrine of development civilization .Those nations on the contrary where market had failed must be measured by this development deflator /inflator which addresses a review of previous strategies put in place to drive social capital so as to determine optimal result needed and accumulated .
However also at this stage man by nature highly culturally resistant to change exhibiting preferential bias in favor of the kind of change they desire to tolerate in contrast to following nature’s course which may be costly but the most effective . Inability to let go results into costly revolutions a washed in mortal antecedence .Controlling inexpedient futurity of this climate by practice tends to slow down the economy of development and also dampens sustainability of existing development antecedence . Nevertheless passion for works and strengthening of capacity building promotes and refines human arts with which further consolidation can be effected .Capacity building primarily to be precise is the subordinate institution of mass development[power triangle oriented ] and not just the basic art of development. It is the transit shed and the actualization framework of development materialism .The practice of this arts advocates development grows and matures mass development depending on the level of information adequacy existing in the society at a given period . With perpetual practice swinging from project to project and from activity to activity –a normal daily routine , cultivation of development is turned into arts and then into mass venture backed by sensitive political will and technology to become the very primogeniture of culture pass on from one culture age to the other .
Sensitive societies advocated this on a recyclical renewal basis transforming sustainable capacity building benefits into sustainable development .
To study the economy of development and development technology in a society one must first venture to unravel the open mystery of how traditional and scientific information flows freely or consumed by social capital and traded by it resting on culture .This culture popularly but unusually as repetitively emphasized is regarded as the economy of development nature , the foremost institution of nature and the foundation of the universe and life altogether .Man learning from this book of nature evolves the practice of development by domesticating relative capacity which is the author of development . And the ratio of development in a nation feeds from existing capacity .Consistent growth in this regard is not enough to measure sustainability but also the quality and the growth pace also contributed to it .
Development components includes growth , growth assets , growth regulation , growth criteria , accumulation of growth , sustainability of growth , attainment of development itself then, sustainability of development , and then the cycles of development until the last cycle of capital development which measures more of the spread , thickness and distribution of this development through the rapid gains of empiricism or using the gains of technology to circulate mutual benefit to all citizens. This procures development density in which all citizens are both socially and economically affected .Dividend here is usually regarded as civilization .
Development parameters such as tradition rigidity where necessary and incentive leveraging , regulatory standard , development forecast and benchmarking , trial and error processes , development remodeling and development auditing process , bridging learning gap [ critique schools outputs] , necessity and enlightenment demand , social capital and above all the interaction of information freedom over information asymmetry that distributes mass enlightenment which determines the nature of development economy in a society in which primordial goals are the same by observing the great charters of liberty .To ferry material development is to observe this social architecture and then stages can evolve using the political , economic and social power and will of a nation while mass enlightenment is leveraged to demand rigidly for mass development .
To devitalize on development is to deny extensively egalitarian access to cultural trinity and abuse this template and the consequence is to enter or embrace development dark ages and vice-versa .The entire development economy worldwide can be measured in this way which falls short of pass mark even if it were to be elementarily graded . Observance over time of this noted criteria automatically fuels development civilization which is made possible by reviewing the effect of these components and parameters in developing development and the extent to which the required sustainability is capitalized . .The basic law of development is already known which is mainly access to the use of cultural rights of man , observing the great charters and the affordable access to information democracy is a foremost starting point .That education especially social education matters a lot could no longer be doubted .
The institutionalization of affordable information access promotes capital development adequacy in the long run .The only challenge a nation has is how to maneuver power triangle [being the secondary institution of development and often by its structural defects tend to ridicule the primary institution of development ] into attainment of this capitalization which is why development is faster in one society than the other; irrespective of competitive self interest over time social interest in such economy always prevail –an exposition or a reflection of the quality of social capital in that jurisdiction . The societies that made themselves poor ate poor excreta fallen short when categorized using this simple indicator. A society must have attained certain level of this adequacy , democratic flow of information enterprise development and optimization before capital development can be cultivated or made possible .
It is to be noted or remembered that optimum use of information enterprise promotes by multiplier effect mass innovation .In the economy of nature art system market is nurtured by information free market which is the author of full blown cultural free market and also interchangeably and the latter still through artistic evolution It is also the author of capacity free market which in turn authors or cultivates development market economy as they spread over population free market .Nature moves along this cultural trap cycles which is embarrassingly obvious influencing humanity as the epicenter of development by projecting and planning traditionally following similar rules from the ancient until now. Unknowing to man scientific planning cannot be embarked effectively even if growth in technology advance sustain ably unless we first unravel the nature of development economy in the cultural market –in view of the growth and diminishing returns threat to human civilization .
This development pattern and standard is fixed but the capacity to maneuver the template consumed man ’s ateliery . No wonder Francis Bacon admitted man is an interpreter of nature learning from this book [nature] and development evolution in the family of man has followed this line of thoughts for the entire stretch of utilitarian culture and history .The challenge for developed societies which have observed the rudiments of development is to sustain civilization and avoid development boom and burst cycles . Given the glaring evidence of history and development antecedence that no civilized society in mortal history since ancient until now has been able to sustain her civilization . HENCE SUSTAINING CAPITAL DEVELOPMENT IS NOT ENOUGH EVERY CIVILISATION DID ATTAIN THIS CYCLE BUT SUSTAINING THE TORCH OF CIVILISATION and spread to adjoining races is the greatest challenge in the cultural free market and human history .

Development and Core Competence
Coming down to the developing history , certain parameters ,according to a study by Saleh Nsouli , once concluded that three most important and interrelated components vital to economic development : capacity building ; good governance ; and economic reform .Capacity building is defined as the development of skills and institutions as critical element to the attainment of sustainable economic growth and development .Without good governance full exploitation of acquired skills will be practically impossible and domestic institutions grossly underperformed . And to leverage on economic reforms effectively without a well functioning institutions could be exercise in futility or not operated properly .
The quality of the institution itself is a reflection of the extent of capacity building –a core resource for economic growth which uses the institutions as a framework through which corporations and people participates in economic development producing incentives for investment and the resources ’ allocative efficiency .The importance of institutions is somehow extremely underestimated in the developing history and to some extent advanced countries .No territory is immune and specifically citing the market downturns and meltdowns that plagued the united states was linked to poor quality of institutions and here is a region hitherto previously regarded as sacrosanct .
Africa ’s growth rates and potentials in the 60s was ranked ahead of East Asia ’s .Nsouli study consistent with Easterly and Levine [97] provided empirical evidence that lack of sustainability truncated this potential due to political and social factors , poor institution , political instability , bad governance and corruption and inadequate infrastructure .Rodrik [97] shares similar evidence with a view that quality of institution in the region exceeded in real terms contribution by classical economic variables such as technical progress , accumulation of capital and labor supply increases . Capital accumulation and the quality of the institutions according Hall and Jones [1999] in the study of 133 nations are complementary essential to long lasting growth .The two sets of institutions noted by Nsouli and Rodrik [1999] studies : both regulatory institutions and those that supports efficient functioning of the market are pivotal framework for long lasting growth .
NO wonder capacity building concept is the most popular phrase in the development discourse .According to Infocotonou , the European centre for Development Policy Management noted why aid is not generating sustainable impacts or policies fail to deliver . This was linked to capacity problems as admitted by foreign donors and government alike .In the world bank study for long term development prospects for the SSA region .From Crisis To Sustainable Growth [1989] capacity building is immensely shortchanged or under threat and grossly inadequate .That capacity for sound policy design and policy sustainability is in dire need or critical short supply in nearly every sector of African economies .
For instance in the Nigerian public sector serious capacity gaps [ ratio of derivation between required and actual workforce ] exist especially in most ministries and agencies .
The inadequacy in the quality of technical skills and the shortfall in the quantity of available man power posed serious problem to economic development .The inadequacy was also recognized in the national capacity assessment report [Nigeria/World Bank, 2002] affecting negatively in the way public resources are shared and coordinated .The report details were shocking . unequal staff structure , staff concentration in semi skilled and unskilled labour category while qualified staff were grossly lacking in critical areas [ i.e finance ,economics , policy analysis , general management and IT] .The civil service was said to be over staff at the lower levels and overworked at the higher levels ; ratio of trained workers to total staff strength was very low and very insignificance to some extent citing lack of funds as a major reason behind the shortfall ; more than 70 % of sampled institutions could not meet training needs . [Obadan 2003:Capacity Building For Development [1] . ] . In the private sector the problem of skills mismatch that do not correlate with industry needs abound . The virtual collapse of educational institutions since the 80s churned out half baked graduates that hardly finds jobs to compete in the economy and 70 percent of which hardly can defend their certificates ;though the workforce are better here than in public sector .Imagine , Lagos state- the richest state in Nigeria perhaps by IGR and the commercial capital controls more than 50 percent of entire skilled work force in Nigeria and two third of industrial sector . Unfortunately poverty level is as high as 70 percent-we mean 70 percent of Lagos are rural .That is Nigeria –the elusive giant of Africa .The same story is grimier in the rest of Africa the middle east and beyond
Obadan [2003] commenting these inadequacies and the challenges facing Africa affirmed that ‘ this among others …..informed the nature and pattern of external donors interventions .In spite of the efforts made the practice of capacity building so far leaves much to be desired and capacity building continues to pose challenges that may be addressed effectively in the long run ’ .
In the developed territories we have noted that poor institutions also abound and the capacity building predicaments there are more linked with poor models which further humiliates and degenerates the quantity and quality of development produced in the insensitive developing region . The institutions that supported development in this region were nurtured over the course of 400 years or so. Hence rigidity of tradition could also influence biblio maniasis and to avoid this dark age empiricism of past leprosy in development can easily be exhumed . To resolve these challenges facing humanity put together , we need a reminder or briefly re explore the economics of information democracy and the strategic impact governing affordable information access.

Successful capacity building rests squarely on the success of a nation ’s information enterprise which could add value to TCF If harnessed .The cost effectiveness of this market incentives promoted by its enterprise are hereby noted :
--promotes social , economic and political awareness
--ensures universal freedom such as freedom of information at least on a tolerable level inimical to preservation of human rights abuse
--Promotes mass innovation using the democracy of information freedom and ensure development in the longer term
--Without information freedom which is the sole feature of a democracy unknown to many subsidiaries such as freedom of thoughts , freedom of association , freedom of speech , security of life and property etc,among others democracy cannot be sustained.This indicates that democracy in the developing countries is living on borrowed times since the economic framework to support it is grossly lacking
--If the above is sustained the path of development cycles can also be sustained and completed until the last stage capital development or its density is sustained .These are indicators for sustainability .

World development ideologies change with time and to capitalize development successfully, the socioeconomic system model must be changed to go alongside robust formula as suitable in the third world in which we have noted democratic formula hardly succeeded or go along to contribute to meaningful development ..A socioeconomic system composed of political ,social to economic system in this region is highly inimical to growth-- a safeguard of growth abuse and the main contributor to capital underdevelopment .Every decade they recorded economic growth but are hardly sustained .This emphasizes the need for change which cannot be possible without self-determination to observe neomarxism and get off the yoke of western aggressors . Learning lessons from emerging markets could give inspiration and practice is another thorn in the flesh of indolent nations where development deputisation deposition colonialisation abound and bibliomaniasis is highly valued as the antiquities .THE NEED FOR CHANGE cannot be bargained for dregs otherwise perdition of these nation states is never far away
In a fast changing climate ordinarily development according to several school of thoughts is determined , quickened or hastened by several factors mainly policies and appropriate institutions put in place to midwive meaningful change that a society or an economy demands at its own trying time which must be supported as noted earlier by highly evolving developmental ideology of the nation to evoke requisite mass of capital development needed to maintain and sustain social life and access to universal wealth . The challenge in our world today we have noted repetitively: is how responsive and effective are the socioeconomic system as a whole and especially the existing macroeconomic models’ reaction and sensitivity to this changing climate ?

We affirmed that the study of economics from the antiquity until now has never been able resolve the evils of inflation which is the fundamental economic problem let alone its endless tiring theories being propounded by macroeconomists in modern times which has only proliferated in vain Since the days of Thomas Mun,s Mercantilists theory which pioneered modern doctrine of larger market and imperialism or among others earlier in the Neolithic to the Medieval if any of this mode down to classical economics and Keynesian period until this era of the Neoclassical and the monetarists and the like , the vicious indulgence circle riding on the heels of intellectual terrorism sorry to say has assumed a maniacal proportion and refused to abate .Consequently , development colonization development arbitraging and development holocaust respectively as components of development crisis have been legacies bequeathed to development market of the third world countries countering requisite density or mass of capital development that has often eluded these territories for a long stretch of human history.
Infact , insiders such as Robert Barro at Harvard Keynesian Paul krugman of Princeton University and New York Times Brad De Long of the University of California and William Buiter of London School of Economics [LSE] and a host of others have noted this gradual degeneration .They contended that economics is a dismal science. That the past 30 years of macroeconomics training at American and British Universities and the entire west were ‘a costly waste of time ’ The U. S meltdown greatly plummeted any notion of confidence or provoked crisis of confidence in the field and a glaring evidence of the dismal science .In the best PhD programmes based on the opinions of some economists , macroeconomics it is regarded often as the least most popular class . It is a misnomer to believe that it is a panacea nor even a relief to human and economic misery .
On June 10 , 2009 at a Lionel Robins lecture held at the LSE—London School Of Economics Krugman noted that most macroeconomics of the past 30 years was ‘spectacularly useless and positively harmful at worst ’ .That is particularly a scathing remark and can never be better than this especially when coming from the mouth of an insider-Is that a good halitosis ? Your guess is as good as mine .They failed to diagnose the causes of economic crisis during the melt down not to talk of proffering solutions for recovery uphill They were dormant hardly learnt new things and keep repeating the same mistakes over time
Of course these internal critics were against themselves too both the ‘ purists ‘ freshwater and the saltwater ‘ pragmatists ‘ The behavioral economists and the apologists of efficient market hypothesis raved against each other .Although Paul Krugman noted that ‘ we are living through a dark age of macroeconomics ‘ he was nevertheless criticized by some other macroeconomists such as De Long for falling back on antiquated Keynesian doctrines ‘ as if nothing had been learned over the last 70 years ’ After all many scientists the economists believed ‘ do not leaf through Newton ‘s world machine ‘ principia mathematical’ to solve basic problems in the study of physics .
For the upteempth time in this fast changing technology age existing macroeconomics models ordinarily must also change perhaps at the same pace in which today’s technology changes .The fact is clear: the poorest regions of the world mainly Africa and the middle east despite landslide GDP growth over the years which is measured by declining share of world trade and especially the growing flaccidity in the natural wealth or assets indicates that GDP in real terms precisely does not take into account .There is no need to re-emphasise what is known already –In a cursory analysis let us access challenges facing Africa as a leading case study in this episode .
Like elsewhere around the world the relevance of international financial architecture to Africa cannot be underestimated at this critical period of her history in view of vital demand for development practice in the continent . The quality of growth and development in this territory is heavily interrogated . Greater macroeconomic stability attained especially in the SSA region over the years unarguably grossly masked and shortchanged the quality of this practice and vastly underdeveloped its needed density and pedigree not translated into lasting growth in the continent in the long run . Unfortunately the vicious trap cycle continues without remorse and alternative recourse since the colonial era .

As usually emphasized demand for development in the continent is under perpetual siege. No wonder nominal and precisely real development is similarly under siege and close to zero . What can we do ? .Challenges facing the practice stems from seemingly insurmountable factors such as poor mass enlightenment ; inappropriate demand for development ; cultural inhibitive supply factor flaccidity ; and above all lack of homegrown ideology OR which we have analyzed or diagnosed under acquired immune deficiency DDDCH syndrome [DAIDS] OR SOCIO ECONOMIASIS . This can be regarded on aggregate as mental poverty or spiritual poverty which is the author of all poverty types be it income or economic form of poverty ; physical ;political and social forms of poverty .It is the world greatest plague behind social misery .Before we can resolve this problem we must tackle socioeconomic effect of Braindrain in the continent .
According to Daniel Cohen in the piece ‘Veils of Ignorance ’that two of three Americans sincerely believed that being black is synonymous to poverty and the rest did enthuse that blacks were probably unlucky . For the umpteenth time yet the pinnacle of their civilization was black by origin .It is a derogatory statement to be made especially for the ignoramuses around being deceived by their shortsighted philosophers and who failed to uncover the strategic importance of the mother of all races and her indelible place in mortal antecedence .Underestimating her unparalleled antecedence surely marked the path to perpetual economic decline
The concept of Braindrain particularly is more worrying which reduces the growth rate of available and effective human capital shrinks income level , reduces the existing size of income per capital and GDP capitalizing gross underdevelopment in the long run .That is why Africans need to take serious considerations on its economic impact and effect on labour and standard of living and international competitiveness [Hague and kim].It has greater impact on international trade and commerce and often occurs between nations states and communities and impact heavily on the climate of sustainable development [Uwaje,2001].
It is to be noted that the Braindrain scourge is one of the author of mass poverty and is synonymous to capital underdevelopment .According to international Organization for migration and the United Nations Economic commissions for Africa ; for many Africans who went abroad and returns with professional expertise and as skilled labour there are many more that never return . The scourge is particularly nauseating and steadily increasing .Between 1960-1975 about 27 ,000 exceptionally qualified professionals were estimated to have departed their home countries .And between 1985—90 another 60,000 also departed and since the continent has been loosing 20 ,000 professionals annually .This is particularly worrying because the figures do not include the student population that also departed to study abroad with no hope of likely return .Out of every 100 professionals departing annually only 35 do not return .About 64percnt of Nigerians between the age of 25 and older and 43 percent of all Africans living in U.S.have one bachelor ‘s degree at least .The Senegalese doctors in the U.S. CITY OF CHICAGO is more than in the whole of Senegal .Likewise if the Nigerian doctors at the general hospital in Kuwait should return home enmasse today that hospital will be closed down . There are many more Nigerian doctors and nurses in Saudi Arabia and the .U.S. THAN in the whole of Nigeria put together .
AS a matter of fact Nigeria has more than 21,000 doctors in the U.S. alone as opposed to over 30,000 local doctors . This figure for the U.S. is even more than real local estimates because not all Nigerian local doctors are active excluding those with periodically renewed licenses. . Imagine about 1.7 hospital beds and 0.2 doctors per 1000 people and infact one doctor serving about 15 -20 ,000 clients in the north ; this is not peculiar to Nigeria and the emigrated ones do not dream of coming back .Writing in the ‘Professionals And the Economy ’Prince Bola Ajibola the former attorney general and minister of justice while recalling his experience as a Nigerian envoy at the court of St .James and the alarming number of Nigerians that have left the shores of the country since 1999 once noted that : Frankly speaking a considerable number of those who ought to contribute to the revival of the economy are outside the country . Many of these migrants are professionals .They are currently devoting their talents in developing other people’s economies all over the globe .Sadly the many hundreds of thousands of naira it takes to produce a Nigerian graduate and professional right from primary school to the University would appear to be wasted when you find him or her doing menial jobs such as attendants in the London underground ’
He continued ; United Nations Conferences on Trade and Development [UNCTAD] estimates as at 1979 shows that each African professional between the age of 25—35 contributes $184 ,000 each year to the United States economy .Current estimates are that at least 100 ,000 Nigerian professionals are practicing in the U.S. .Thus conservatively , Nigerian professionals contribute about $18.4billion to the U.S.economy . If adjustments for inflation over 20 years are made the mount of money will be more astonishing .If you include Nigerian professionals living in Canada Europe Saudi Arabia and South Africa the amount will be $100billion [ more than twice of nation’s GDP during the period ].Whereas the 30 ,000 doctors Nigerian born medical doctors is a child play when we consider the enormity of capital flight crisis effect .I dare say if there is a sudden withdrawal of Nigerian medical professionals [doctors and nurses ] from the united kingdom the national health service [NHS] will face dire consequences .’[defunct National interest Aug.24,2001pg.27]
He believed Saudi Arabia will face similar ordeals with adverse effects on their healthcare system should Nigerian doctors and nurses be withdrawn . He was surprised Nigerians were everywhere even in new Zealand ‘way down on the end of the planet ’ believing due to sheer distance will hardly come across any Nigerian but ‘to my utmost …. pleasant surprise ’according to him ‘ a reception ’was ‘held for me the same evening of my arrival by Nigerian professionals gainfully employed and contributing to New Zealand economy ’. That Nigerians are every where around should no longer be disputed and should not be the problem and many will never return according to our lawyer unless social amenities are provided . Social amenities or not people are always on the move even in South Africa where the climate is conducive professionals are moving in droves but who is filling the remaining vacuum ? Any way as we noted the scourge is a phenomenon across Africa .
In Ghana during the 1980s 60 percent of her doctors left the country putting enormous pressure on the healthcare sector while an estimated number of only 400 doctors are still left behind in Zambia out of close to two thousand doctors it formerly had . In 2003 Christian Science monitor reported within a decade in South Africa an estimated 20 percent of skilled workforce have departed the country and within five years in Zimbabwe professional workforce shrank by two third ; this is a grave situation . Now it lamented to replace this missing gap Africa spends 4 billion dollars annually importing some 100 , 000 skilled expatriate to fill the missing link . no wonder development of science and technology is stagnant and fast eroding as scientists emigrated in search of greener pastures .Forget about genocide such as happened in Rwanda I tell you this intellectual genocide not physical genocide far worse and far degrading .
The result today is known to all no growth sustained , let alone development nothing moves and decline persists as population increases .Policy put in place like NEPAD etc lack leverage to take the continent to the promise land . We contended already that only enlightened people demand for development and can prevent social , political and economic instability from degenerating into continental bloody wars . Today Africa remains the most scientifically backward territory of the world and behind the middleast is the world poorest region . no wonder some researches link that [ two out of three Americans ]thought that black is synonymous poverty . I S there ANY WAY OUT ? The spillover effect of Braindrain was profound .
The UNESCO WORLD science lamented that the continent failed to make any impact on new materials and product development far lagging in the ICT sector despite marginal growth in recent times .A 1992 survey put the total population of African scientists and engineers at 20,000 which represents a mere 0.36 percent of world scientists and the continent is responsible for less than 1 percent [0.8 %] of world scientific publication .While its shares of patent is next to zero with no Nobel laureate for any scientific discipline yet .It is a very serious situation because patents , scientific publications innovations and technologies are the common yardstick of growing civilization .
According to the report at the basis of this declining growth is the deterioration of learning . Education is declining due to negligible output contributed by science , research and development .In the public institutions , Africa’s expenditure is said to be less than 1 percent of GNP in which a good chunk of these scanty spending say 47 percent are pumped into agricultural forestry and piscatorial business whereas value additive , agro allied and manufacturing services persistently lacked behind . As at 2001 UNESCO report summary by Catherine Mgendi , besides Seychelles and South Africa no nation in the entire continent spend close to or 1 percent of her GNP on research and development .or larger chunk devoted to sciences .
Enrollment in science has fallen drastically especially in advanced learning institutions a major reason behind decline of science on the continent . In most countries about 0.5 percent of scientists and technicians existed for every 10,000 people in 1995 .let ’s take a look at secondary and tertiary enrollment in selected African countries. In The nation article on African science Mgendi noted as observed below :
Selected African and Asian countries compared
Secondary and vocational school enrolment per 10, 000 people

 South Africa ……………………………………………….1,085
 Korea………………………………………………………..1,037
 Gabon…………………………………………………………474
 China …………………………………………………………457
 Kenya ……………………………………………………………224
Tertiary Enrolment in the selected countries: compared

 South Africa ………………………………………………………80
 Korea ……………………………………………………………..381
Though the eight African counties rated favorably with six fastest growing in east and south Asia but the low enrollment in science is the greatest undoing .
Before we close this chapter , consider this sad and deplorable facts .According to the magazine –The Newsweek , the U.N. and World bank intensive studies that over the last 20 years which ended in 2003 Arab world average per capital growth rate had been less than 1 percent lower than that of Sub Saharan African region ..Unemployment was in double digits even though they were underestimated and labour productivity hardly changed since 1970s down to 1990s. In terms of access to foreign literature and ideas and technological development and exports middle east is the weakest and persistently the decline never abated. Likewise in Africa , her peer basket case , per capital income in Egypt in 1950 was rated exactly at the same level in South Korea but presently it is 80 % far lower than in the former times .During the same period under review the population of Egypt some 70 million people filed only 77 patents in the U.S. compared to 50 MILLION South Koreans filing 16 , 328 patents works .Today non –oil exports of Hungary is much bigger than all of African countries put together . These are some of the grievous mistakes and Braindrain factor could not have been resolved and exterminated completely
Note :Braindrain like many of African challenges to sum it up is a capacity problem correcting this shortfall will no doubt be a contributor or a function of sustainable capacity building which can only be harnessed and resolved in the longer term .

With this scourge Africans seem to be contributing to growth elsewhere to the detriment of their motherland .It should noted Braindrain has three types or categories : first we have colonial Braindrain which is slave trade using forceful expulsion of people to foreign lands but now the rest is history ;what we have today is neocolonial Braindrain in which the lure of civilization and greener pastures lured Africans persuasively to serve to grow the superior homeland. This is modern slavery –but the most deceptive fighting against local development like jihad or shall we say second slavery ?
Africa : the Land of crisis and natural wealth
There is no doubt that Africa is the richest territory of the world and cannot afford to do less since it controls or has 40 percent of world total strategic minerals and the Congo basin harbors half of these with the Niger delta having the highest numbers of rivers and waterways worldwide .70 percent of 300 ,000 species of world total fauna and flora are located in Africa but Niger delta controls 60 percent of these . World largest gas deposits according U.S. GEOLOGICAL STATISTICS is located in Nigeria [ and not Russia or Iran ] probably around 600tr.scf [as opposed to official 200tr.scft .].The world largest bitumen deposit in Ondo State , probably lead and zinc in the north according to one mining experts were found in Nigeria .South Africa controls world gold reserves , diamond and next to Russia in platinum and a world leader in palladium .Every state in Africa is endowed with one resource or the other . Africa controls more than 30 percent of world gold reserves The gulf of guinea is one of the richest and leading hydrocarbon regions of the world
Unfortunately this good development had become a gory tales and in some African countries natural resources have become a curse and not a blessing . From the blood diamond fields of Sierra Leone to the democratic rep. of Congo warring fields where a group of countries are at loggerheads and fighting over solid minerals down to the Angolan terrorist enclave , natural capital have been a source of imprecation and social upheaval .Let’s take look at this known statistics in an historical reminder ;
 20 percent of Africans are under condition of conflicts
 From the mid-90s upward beginning from Rwandan genocide more than a dozen countries were sucked into armed conflict and crisis perpetuated in the battle to control natural capital .The great lakes region together with Sudan captured international attention and they constitute a massive region quite as large as western Europe .
 Sudan has been mired in conflict all but 10 years since independence in 1956. while African first world war is going in the Congo dr. where 6 countries battle it out over solid minerals .
 The effect is poor capacity building and average per capital income is lower than in 1960s
 Nearly 50percent of SSA region citizens live below poverty line , the figure is 90 should we use poverty profile . etc.
 Border disputes abound and challenges of divisive pluralism as noted by Emeka Anyaoku in the piece ‘South Africa and the challenge of divisive pluralism ’is becoming clearer and direr as burden of development increases which can only resolved by grass root empowerment .

The only condition for sustainable growth and development is peace and social stability which will also create a platform for good trade and the ability to cover her trade gap and development gap with the rest of the world .
Averting cultural Brain drain :A bigger scourge
As a result of this horror tales cultural brain drain also became the natural consequence
Of this traditional brain drain. IF we fail to revive and value our culture as the last asset for black man renaissance , we have nothing to gain in the near future .Although this drain is not peculiar to AFRICA but SHE IS THE most affected .For instance , half of world 6 ,000 languages are expected to go extinct in this millennium .Though skeptics may not believe but close to 10 languages or 9 are already extinct in Nigeria out of bout 526 local dialects .Similar gory tales loom large across the region .
By this time we need to realize that Malaria alone that kills a child in Africa every 30 seconds is not just taking more than 1% off African GDP together with other epidemics like tuberculosis sexually transmitted diseases, especially HIV/AIDS ,cancer of all types etc [that could be slicing between 10-20 % of potential growth ] but the slow nature of development and the existing unsustainability of previous development gave us utmost concern and a credible evidence of the long and tortuous road to development .The concern is: Should Africa fail to innovate as noted by Philip Emeagwali it will definitely perish .We noted that the traditional brain drain was long caused by cultural brain drain noted in the complacency of earlier civilization which can only be corrected by innovation to save the theft image that the word ‘dark age ’had bestowed on the continent especially in the post-colonial age.
General effect and International trade
It can be contended due to low capacity building , widespread economic , political crisis and large trade gap the continent is the most marginalized continent in the world .Blooms and Sachs [1988 ] noted that between 1980 –1996 it was the only continent to experience absolute trade decline whereas the volume of goods and services have grown over the years in other competing territories but in Africa has grown below the GDP .Between 1980—90 its share of world exports stood at 3percent but declined to 1.95 percent in the period between 1991—2001 .During similar period that of Asia grew from 11 percent to 18 percent in the latter period . The concentration on natural raw material commodities encouraged the decline .Dollar and kray [2001] also provided evidence that a group of developing countries that opened up their economy recorded astronomical growth . Uncompetitive economies like Africa would always stay behind due to loss of market share , unguarded trade liberalization , tariff barrier , marginalization from world markets with annual loses of more than 70billion dollars , lack of industrial goods and poor terms of trade or bad trade policies , protectionist policies , higher capital flight crisis .
To enumerate a bit , industrial goods are seriously lacking grossly from exports .The shares of manufactures in her exports since 1995 varied between 32-36 %. Whereas in south Asia the ratio stood at 78—79 % and for east Asia and the Pacific hovered around 78—83 percent with manufacturing accounting for one third of export .High transportation cost mainly affecting location of industrial activity and freight rates .Rodrik [99] commenting on the marginalization factor he observed unfavorable terms of trade , trade restriction practice of the trade policies , The GATT Uruguay Round of trade negotiation concluded in 1995 introduced new changes that led to WTO establishment .
The internal causes such as trade and exchange rate policies ; primary driven products haunted by price indetermination ; and uncompetitive nature of production. There is too much capital outflows .Collier , 1997 ]9. and Ajayi [ 1996 ]/[1997] argued a higher proportion of Africa’s wealth were stashed outside the continent in the form of capital flight and she integrated into global economy in a negative sense. They contended that capital flight varies between 24 to 134 % of GNP .This is also consistent with ECA study of 30 countries in the period of 1970—96 amounted to about 187 billion dollars .Infact it exceeds 200 percent for a group of eight countries in the ratio of capital stock to the GDP with weighted average of 172 percent for the group of Countries such as ANGOLA , Cameroon , Cote d ‘ivoire Congo [democratic] and Nigeria .In the last twelve years NIGERIA ALONE earned between 400—500billion dollars and every year 60 percent of this passive oil wealth were carted into western metropolis .Uneven flow of FDI is another challenge facing Africa over the last twenty years which ended at 2002 compared to the rest of the world .

AFRICA----------------------------------THE REST OF THE WORLD
Share % ? Share %
2000--------- 0.6 %-----------------------------------------$1.4trillion .
2002----------- $11b.----------------------------------------$651.2b.

------For the decade 1970s—80s , it reduced to half in Africa compared to the rest of the world
-----In 1980s the global FDI Stock as percentage of GDP was 5.3 percent as opposed Asia ‘s share of 28.1 percent and Latin America and Caribbean share of 8.1 percent by 2000 .And thereafter declined .
-----Therefore she failed woefully to tap the economic incentives provided by FDIs mainly bridging savings gap and the ability to transfer technology

With the benefits of globalization gone to the advanced countries the world has become more unequal over the last 200 years and despite being the most endowed continent is still the poorest [together with middle east ] region in the world controlling less than 1 percent of world trade .In the paper delivered at the 7th Ojetunji Aboyade memorial lecture professor AJayi observed that open trade regime though useful will not propel a country on its path to sustained growth .Those nations that have grown faster are those that invested a high share of GDP and maintained macroeconomic stability .The anchor or the main determinant for Africa ’s growth prospects he noted must be appropriate policy measures , human capital , institutions and infrastructure .Perhaps if noted emigrants could one day return .But this is hardly possible and may not happen in their lifetime due to recklessness of local leaders .