The ‘Physics’ of market forces (information)

The ‘Physics’ of market forces (information)

Statistic is often seen or known as the research discipline quite related with the interpretation of the market, economy and population but here is a further insight as to the analysis or x-raying of what goes on in the realness of the market realm with the physics microscope.

We are individual human beings before a population. While statistics is focusing on the analysis of population through samples, physic is focused on the origin, humans, where the samples being used by the statisticians are gotten from.

The likes of Sir Isaac Newton, Albert Einstein, Max Planck and a host of other physics have brought the world to this level of jet of age by the magnificent discoveries they were able to explain and deliver in their time as it is being passed on till this day.

Physics (from Ancient Greek: physis “nature”) is a part of natural philosophy and a natural science that involves the study of matter and its motion through space and time, along with related concepts such as energy and force. More broadly, it is the general analysis of nature aim at understanding the behaviour of the universe.

The best way to engineer, programme or make-adjustable a thing is first by understanding it nature which it operates or manifests by default i.e. natural characteristics. The essence of this is the pivot of physics studies in general. Physics is one of the oldest academic disciplines, perhaps the oldest through its inclusion of astronomy. Thus physic is veteran at understanding and explaining anything which has got a nature whether living or non living things, natural or artificial. Physics is a branch of fundamental science, not practical science. Physics is also called “the fundamental science” because the subject of study of all branches of natural science like chemistry, astronomy, geology and biology are constrained by laws of physics.

The physics scientific method employs is a priori reasoning as well as a posterior reasoning. That is the study of a before and after behaviour of reaction that takes. By this physics is capable of quite accurately predicting the outcome a thing just like statistic but here eliminating likelihood of probabilities whatsoever. Physics theories lie in explicit domains of applicability. Physics is used heavily in engineering. With the standard consensus that the laws of physics are universal and do not change with time, physics is laudable by most scientist  and in the real world as it can be used to study things that would ordinarily be mired in uncertainty.

The difference between mathematics, a father to statistics, and physics is quite distinct, but not always obvious, especially in mathematical physics. Ontology is a prerequisite for physics, but not for mathematics. Ontology means physics is ultimately concerned with descriptions of the real world- the natural characteristics of a thing- while mathematics is concerned with abstract patterns, even beyond the real world. Thus physics statements are synthetic, while math statements are analytic. Mathematics contains hypotheses, while physics contains theories. Mathematics statements have to be only logically true, while predictions of physics statements must match observed and experimental data. Thus physics is a senior over statistics in the real world. – Wikipedia

As said earlier physics is the study of matter and its motion through space and time, along with related concepts such as energy and force. It is of essence of throw a little more light on these variable; time, motion, energy, force etc.

Motion is same as moment however could take different forms. Any object in motion implies that it posses either speed or velocity. That is the combination of an object’s speed and direction of motion unlike speed, velocity always implies a direction. Time on the other hand means period as it relates to speed or velocity.

On a further note, Momentum can be defined as “mass in motion. The amount of momentum that an object has is dependent upon two variables: how much stuff is moving and how fast the stuff is moving. Momentum depends upon the variables mass and velocity. Momentum = mass x velocity.

Momentum is also a vector quantity. That is quantities that are fully described by both a magnitude and a direction unlike scalar quantity that are fully described by a magnitude (or numerical value) alone.

Force is an influence that produces a change in an object’s motion or state of rest. A force has a specific direction and magnitude. Forces onlyexist as a result of an interaction. Forces could be direct like implied force or from a distance like gravitational forces. Force also begets motion albeit could take different forms. Motion in turn could be seen in the light of speed or velocity as explained prior. Momentum is a function of the mass of the object set in motion.

Bring back the knowledge of a proper write up, ‘’Market (property) Maturity: Effective and Efficient Information Dissemination, a Crucial Factor’’, by my humble self which is more or less a preceding chapter to this, the node of connectivity between this and the previous is   that which is an extension of my lens as it focuses on the likeness of information to an object or matter. Succinctly  curling from my previous work, ‘’ Information can be likened to objects which can be set in motion(same direction or opposite) in view of a head-on collision which could result in elastic or inelastic collision, however perfect- perfectly elastic or perfectly inelastic collision . Thus information can be seen like a ball-like object.

The business dictionary describes market as an actual or nominal place where forces of demand and supply operate, and where buyers and sellers interact (directly or through intermediaries) to trade goods, services, or contracts or instruments, for money or barter. Markets include mechanisms or means for determining price of the traded item, communicating the price information, facilitating deals and transactions, and effecting distribution. The market for a particular item is made up of existing and potential customers who need it and have the ability and willingness to pay for it.

Thus one can vividly see here that forces exist in market from the two sides, buyers and sellers. It could as well be directly (as relatable to contact force) or through intermediaries (relatable to force from a distance). There must as well be an interaction of the forces and market as well operates on a number of mechanisms which is why the physics of it is quite important.

 From an eagle’s eye view, Market can be seen as two-mouth open ended tube capable of allowing information or market forces to flow through both. However, both ends can be adjust, known or unknown, intentional or unintentional, to the operators of the market not forgetting that buyers and sellers and the main actors of the market. Thus, information should flow from both ends, buyer and the seller side, and should collide with each other at in  a way capable of allowing them to stuck and move together after colliding.

Information at a sky scraper view can be seen as an object or matter although intangible. That is, it is also inherent of mass and space and much more, it is capable of being sent into motion. Information is set in motion in diverse ways. One main essence of communication, transportation and the technological experienced timely in this light is due to drive for dissemination information as quick as possible.

However in an attempt to take a deep into the world of physics as it relates to information dissemination, it is quite necessary to yet again familiarise ourselves, for those who have forgotten or to acquaint for those who don’t know, with some background which shall later culminate to main essence of the write up.

 

Taking a look back into the Newton’s first law of motion which states that the velocity of an object is constant if the net force acting on it is zero. Thus, only external forces- forces exerted by agents external to the system- will change the motion or course of the system.

Likewise according to the conservation of momentum principles, the total momentum of a system is constant if the net external force acting on it is zero.

Li=∑ (MU) = M1u1=m2u2=m3u3… = m1v1=m2v2=m3v3…….

The formula above is simply interpreting that the velocity of an object and it mass when static (zero momentum) shall equate to the velocity (counting momentum) of an external force (moving object) that collides with it. This scenario implies that either the static body is capable of absorb the momentum of the moving object on collision or the moving body is capable of transferring his momentum to the static body. In summary, there is a transfer of momentum from the moving body of mass, velocity and direction to the other with same or unequal variable of mass, velocity and direction.

Taking a step deeper, for a system made up of a number of objects, the sum of momenta of all the objects at some initial time is equal to the sum of the momenta of all the objects at some later, or final, time if no external forces act on the system. If the system is made up of only one object, this is too simple- velocity and mass are unchanged. On the other hand, if the system is made up of two or more system might not remain unchanged. In the case of multi-object system, if one object’s velocity increases, another object’s velocity decreases to keep the total momentum of the system balanced.

Look out points and Hints

Unweaving the elements that makes the market momentum, particularly information which is the essence of this write up, it is necessary to mention the various in light of the physics of it.

The combination of Mass and velocity are major variables capable of birthing the vector quantity, momentum. Momentum here is in view of information. Thus information has mass and is being set in motion through diverse ways and mechanisms

Thus for the purpose of this, we shall be equating mass as 1 unit and velocity as another unit. Under any scenario when one variable is greater than the other, we shall be assuming that it is 2 times greater than it.

For direction, in the cases where we have opposite directions of a straight line head on collision, we shall be assuming a negative resultant reaction (-) and the converse for the same direction. That is a positive reaction (+) if the objects are moving in the same direction.

Every negative reaction implies that seller is the one at loss, not monetary, but he succumbed to the weight of the seller being exerted on him

The variables which are at par, by implication, cancels out each other making the value of what is left to explain the post collision effect. That is they have equal level of disagreement as far as that variable is concerned.

For opposite directions, inelastic collision has coefficient of -1 one thereby annulling the negative reaction and making it positive

The sellers shall be designated as object A and the buyers as object B.

 In the situations where we have the sellers resultant momentum- relative mass and velocity- outweighing that of the buyer in an opposite direction collision often gives birth to an overall negative reaction  interpreting as the buyers losing and the seller gaining. That is, the buyer gave in to the force from the seller side either due to ignorance or lack or choice among others.

Illustration

If the force from seller side is supplying of cars and the information is being carried is pregnant with this while the forces from the buyers side is demanding of fuel efficient cars, the buyers will have to buy the cars, however fuel efficient or not . That is, ultimately, the seller gains and the buyer losses.

 

 OR

If the forces (information) from the buyers side is demanding of low call rates the force from the buyers side is radiating that of high cost rate, the buyers eventually end of buying the seller goods, thus making the buyer lost and the seller to gain. The reverse could be but rarely the case.

In a scenario when we have two parties, sellers and buyers, getting stuck to each other and moving at the same velocity implies that we have neither a positive or negative reaction but Zero. That is neutral and balanced reaction or optimum reaction

The different scenarios capable of springing forth on event of objects colliding can be explained into two forms, elastic and inelastic. However, different sub-scenarios can be brought from the each of the forms.

Elastic Collision:

Knowing that two static objects cannot collide, there must be at least a movement from an object in relation to the other.  For the purpose of this article, the market forces variable (information) shall be split into 2; mass, velocity. Direction shall be relating to the coefficient of the reaction.

Where mass = to 1 unit of force and velocity = 1 unit. Thus, variables of the actors’ side, buyers and sellers can outweigh each other. For example, where the seller has greater mass and same velocity with that of a buyer, we have a 3:2 ration scenario. That is, seller has 1 unit of mass and 1 unit of velocity while the buyer has 1 unit of mass and 1 unit of velocity but since seller has a greater mass (assumed to the 2 times that of the buyer) we have a 1 +1 unit of mass=2 unit of mass plus 1 unit of velocity equating of a total number of 3 units from the seller and seller having 1 unit of mass plus one unit of 1 unit of velocity equating to total of 2. Thus we have 3: 2 scenario.

We also have a total reaction negativity of 1 i.e. that is -1. That is, 2 units of the buyer is subtracted from the 3 units from the seller = 1 (negative reaction) = -1

 

Scenario 1: same mass and one object in motion.

By illustration, if an object (A) is set into motion, head on against another static object (B) and object A collides with object B at the centre of it, the resultant is that Object B now moves at the same velocity as object A was before the collision. That is object A has 1 unit of mass and 1 unit of velocity while object B has only 1 unit of mass.

We have 2:1 ratio and a -1 reaction.

Relating

If the information from the seller (inherent of mass, velocity and direction like object A) collides with a static object like (zero momentum in object B), the buyer, the result is that B known or unknown, intention or unintentional, succumbs to seller. Thus, he moves in the direction of the seller without the seller having to move anymore(that is make anymore effort) and deals get done.

 

Scenario 2: Unequal mass and one object in motion.

That is, like in scenario 1 above but in the case we have unequal mass of the object as object A outweighs object B.

1 unit of mass x 2 = 2 unit of mass plus 1 unit of velocity = a total of 3 unit from the seller while the buyer has 1 unit of mass without no velocity.

Thus, we have a resultant ratio of 3:1 and a -2 negative reaction.

That is, the post collision scenario is that object B which was previously static (no momentum) now moves in the same direction and pace as object A before the collision but object A keep moving in the same direction but at a much slower pace. If the momentum is transferred completely to object B, A wouldn’t move at all and we have a perfect elastic collision type.

V1=2m2u2+ (m1-m2) u1/m1+m2      and V2=2m1u1+ (m2-m1) m2/m1+m2

Relating: If the information or force (counting momentum) from the sellers is having a higher mass greater than the zero-momentum buyers, the buyers will go at the same pace and direction of the seller. That is, momentum has been passed on to the buyer but seller may have to press a little more. If in the case of the perfectly elastic collision where there is a completely transfer of momentum, then the seller may need not press further.

 

Scenario 3: opposite direction, same velocity and mass.

The resultant effect of this is that the two objects will move in opposite direction with their pre-collision velocity.

1 unit of velocity + 1 unit of mass = 2 unit of momentum from the seller

1 unit of velocity +1 unit of mass= 2 unit of momentum from the buyer

We have 2: 2 rations and 0 negative reactions.  This may be called 0 negative because there may either be a shared gain or transaction, reaction or satisfaction or a share loss of same.

Relating:  if the information from the seller side is moving against that of an on-coming information from the buyer side, at the same velocity and mass, the mass sellers and buyers will move in opposite direction at the same velocity as before the collision. That is the information from the sellers will be rightly cross-checked by the sellers. Thus agreement may be quite difficult as most sellers try to profit of with the ignorance and lack of alternatives of the buyers. That is both sellers and buyers can match up and counter each other and buyer will look for a number of alternatives that they can because of the wealth of knowledge they have in this light. This full power of negotiation is exerted and they could be deal or not deal with each other not running at loss or gain of each other. This scenario is that in a perfectly elastic demand and supply scenario.

Scenario 4: opposite direction, same mass, different velocity

By illustration, if object A is moving head-on in a straight line to a right direction at greater speed against a left-moving object B. on collision, object A will move in an opposite direction at a slower speed while object B will be the same direction at same speed. If the collision is perfectly elastic, momentum will be completely transferred to the other. Thus pre-collision momentum of object A equals to post collision momentum of object B and vice versa.

Buyers side =1 unit of mass + 1 unit of velocity(x2) =3 units

Seller side= 1unit of mass + 1 unit of velocity= 2 units

We have ratio of 3:2 and -1 reaction.

Relating:  if information or force coming from the seller’s side is of same magnitude but at a higher velocity against that from the buyer  means that the momentum information from the buyers side will crossed out, to the extent which it can, with that coming a higher velocity from the seller. The sellers will have to go an opposite direction but at a slower speed while the buyers goes in the same direction at a higher speed. Thus, there is for a short time, a period of reconsideration or reconciliation . That is the buyer is till unsatisfied at way his  need is met because he now possess higher taste or means due to the high information which he has got. However, in a condition where we have a complete transfer of moment, like under a very effective and efficient system, the sellers may not move at all.

Scenario 5: opposite direction, different mass and velocity

In this case, there occurs a bounce off of each other and they move in opposite direction at their pre-collision velocity.

Seller side = 1 unit of mass (x2) + 1 unit of velocity(x2) = 4 units

Buyers side= 1 unit of mass = 1 unit of velocity =2 unit

We have a total of 4: 2 and -2 negative reaction

Relating:  That is, where the sellers’ information or forces outweighs the buyer in a ratio manner like we have here, the buyers and sellers go at opposite direction.

Scenario 6: opposite direction, different mass, same velocity

Under this, the post collision of the lighter object B (Buyer) will be faster than its pre-collision velocity while the post collision of the heavier object A (seller) will be slower than its pre –collision.

Sellers side: 1 unit of mass (x2) + 1 unit velocity = 3

Buyers side: 1 unit of mass+1 unit of velocity =2

We have 3:2 and -1 negativity

Relation: This situation is quite similar to Scenario 4 above, what the behaviour or reaction of the buyer may be based on various other criteria he considers important to him or her.

Scenario 7: Same direction and mass, different velocity.

A same direction scenarios means that we have a positive reaction. Thus, the momentum of the faster one is completely transferred to a slower moving object and equal. Immediately after the collision, the previously faster moving object decreases its speed to the previous moving slow object and vice versa.

Sellers side: 1 unit of velocity + 1 unit of mass(x2) =3

Buyers side: 1 unit of velocity +1 unit of mass=2

We have 3: 2 and a +1 scenario because of the same direction

Relation: if the information momentum from the seller side is greater that of the buyer in the same direction at the point of collision, it mean that the consumer is okay with the result of collision albeit there is room for improvement for better reaction, transaction or  satisfaction

 

 

Scenario 8: Same direction and velocity, different mass

 Here, the velocity of the greater mass is transferred to the lesser one and the momentum of the lesser mass is switched over to that of the greater mass.

Sellers side=1 unit of velocity plus 1 unit of mass(x2) =3

Buyers side+ 1 unit of velocity plus one unit of mass= 2

We have a 3: 2 and a +1 reaction like scenario like we have in scenario 7 above.

Relation:

Same goes as in scenario 7

 

Inelastic collision

Inelastic collision is that type of collision that gives birth to the two objects getting stuck together and moving together after colliding at the same velocity

V1=v2=v… final velocity

M1u1+m2u2= (m1+m2) v

For opposite directions, inelastic collision has coefficient of -1  thereby annulling the negative reaction and making it positive.

Relation

The interpretation of this is that both the force (information) from the buyer and seller side meet at a point and it a way that allows for them to move together at the same velocity.

That is, the resultant answer is 0 positive reactions as the cases may be. Meaning that there is balance of forces equating to zero and there is an actual transaction, satisfaction or positive reaction as both parties’ gains unlike the Scenario 3 above where both parties can either walk or deal with each other with an equally shared sum of gain or loss.  The scenario here is only positive i.e. we only have the possibility of an equally shared gain. This is optimum reaction.

In Summary, where we have a negative reaction, however large or small, implies that the buyers incurs of form of loss, known or unknown, intension or unintentional, because he has got no choice than to succumb to the momentum of the seller and follows his will and market. More so where we have a positive reaction implies that the buyer is quite gainfully but can be gain more depending on his respective scenario and where we have a zero negative reaction implies that we can either have an equal share of gain or loss in terms of reaction or decision, satisfaction and transaction and zero positive implies can we have can only have a share gain of the same. That is optimum reaction is only feasible at this scenario.

Coefficient of Restitution

This is more of an overwhelming light of physics of in this direction.

Coefficient of restitution is the absolute value of the ratio of the velocity of separation to the velocity of approach. The velocity of separation is the difference between the velocities of the two colliding object just after collision. It describes how fast they are moving away from each other. The velocity of approach is the difference between the velocities of the two colliding objects just before the collision. It describes how fast they are moving towards each other.

The coefficient of restitution has no units. For perfectly elastic collision, the coefficient of restitution is 1.0, its maximum value. For perfectly inelastic, the coefficient of restitution is zero, its minimum value. The coefficient restitution is affected by the nature of both objects in the collision.

Thus inferring from the above, the coefficient of restitution for a perfectly inelastic collision is zero just like we have in the inelastic collision above. Physics and the collision principles are almost applicable to almost all facets which operate in some form of mechanism or the other.

By: Adebyi Adeyemi

Twitter: @yemilluminati

Email: Jyflames@yahoo.com

 

 

Reference

 WIKIPEDIA

MECHANICAL SYSTEMS TRAININGFORCES OF MACHINES 110, 2013 tooling university, http://www.toolingu.com/html

THE PHYSICS CLASSROOM

BIOMECHANIC OF SPORT AND EXERCISE BY PETER MCGINNIS, PAGE 92-96

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Urban city Structures: The Nigeria Case (A new Model)

By nature, things capable of growth ascend or descend in particular orders, however, more evidently and inherently in the practical world which we are is that things take a wavy form.

 Great theorist associated with the growth of internal urban structures like, Earnest Burgess (1925), Chauncy Harris, Edward Ullman and Mekenzie (1945) and Homer Hoyt (1939) have made a number of platforms for explaining   what we see in our cities today however varied their theories were.

Burgess concentric zone theory gave a more orderly pattern of how people get settled. Perhaps due to the increase in population and the must to meet their needs, this theory became contorted or distorted as the case may be. Thus, Harris and Hoyt sprung up some other theories in light of this explaining what they saw and perceived the city growth was like in their time.

Briefly, the Burgess concentric zone theory explains that the city is made of 5 concentric zone, the inner most which the (Central Business District) CBD or loop, next in line is the transition zone. The industrial, middle class and high-class residential zone are in succession to the transition zone respectively.

 The CBD is a place where land is put to its highest and best use and any use impairing on this is kicked out. Thus demand actually overlaps on supply and there is a relative scarcity of land. Thus land is most expensive here as they have to give in to overpowering market pressure. The CBD is quite attributed with quite of aged and high rise building  which serves as residents for the poor people who have no commuting funds and have to deal with noise inherent in the therein  as it is an ever busy unit. Industries, offices, commercial centres are located in and around it and old residential buildings at some part for the low income employees. Examples are the old dirty buildings in Obalende and Marina which a number of people reside.  The transition unit which is more a less space welcoming for the expansion of the CBD and the next is for poor residents before the middle class and high-class zone.

Hoyt, however, explained the affinity of any land use to pre-existing infrastructures capable of enhancing it. Thus industries are located close to the railway lines; commercial centres are located along busy road arteries and so on.

The Harris theory is one that preaches more disorderliness or uniformity however it meant well. This is more a model that fits in most developing or third world countries. It explains how cities spring up in any part of the country once a condition is made right or ripe for it. It breaks the York of monopoly the CBD had as seen in the burgess theory. Settlement is a chunk of what is in a demand bag of citizen in the city and nuclei actually grows out when a  seed  that  creates supply is planted somewhere capable attracting of the people and meeting their demands.

This un-controlling of the ‘disorderliness’ (Harris theory) or freedom of a nucleus (growing CBD) is traceable to the bedrock of havoc or crisis as we have it today.

This piece tries to relate the Burgess theory more practically in light of the age as it correlates with income. Albeit, Burgess explained that the rich should live the outermost zone and that should flow-in a descending order of income, the reverse is the case we have in Nigeria. The Areas close to CBD have been used to build terrace house, mansions, duplexes, maisonette, for the high class people whereby we have the poor living miles stone away from the CBD and yet have to report to be CDB daily to meet their needs.  The Likes of Victoria Island, Ikoyi, have been use to high class residential buildings.  Thus, The CBD cannot expand, perhaps why we have the recent development of the EKO Atlantic City, and has to be scattered around giving birth to an uncalled for disorderliness. Even the old buildings being managed by the poor for resident may after some a city regeneration scheme change hands to the high class income earners. We have a huge of supply of houses for the high classers at the expense of the low income people. The inverse of this norm is what has giving birth to quite a number or crisis, inequality as we have today.

The situation of things in Nigeria is often always taking a special form. In as much as we are being given preferential treatment in most affairs pertaining to Africa, what we indeed need is special treatment for our sickness is one that deserves an intensive care unit. The Harris model ¸ which is what we ignorantly settled for is one that bears the most technicalities and is most susceptible to crisis over time as it grows if it is not management properly.  While we have endless being trying to climb out the well we felt into as a result of mismanagement we always keep falling into another ignorantly or due to the wicked motives of by our leaders. Although there should be zonal progression in order of your income as Burgess tried to preached, this is quite best considered only on the ground that income varies amongst the citizens and perhaps the difference in everyone income is stagnant of over the years

 I’m choosing to examine the practicability and possibility of Burgess Theory by the infusion of age group into his model. Although this might give rise to some modifications or bends of what Burgess postulated, one can still match up the similarities of both.

The thread of My View is typically woven with what is practical and obtainable in most developing countries like Nigeria and the best of models to be adopted in subsequent city nuclei’s which will also grow.

In an attempt to drive my point home, let us examine  a typical situation like we have in our country-the flow chart of a newly employed graduate (young age) till the date of retirement is that which takes a ‘funny’ tone.

Some of the traditionally features of a newly employed graduate is low income, high energy, low skills or experience and  a quite far distance from the CBD where is he most likely to be employed. These features actually imply that the young, perhaps gainfully, employee has to spend a huge portion of his major productive age income on transportation to work (CBD) not forgetting that the prices and system to transportation in Nigeria is appalling. Thus, he or she is under compulsion to waste a huge part of your income of very volatile expenses like transportation.

After some progress in status in his employment (perhaps age 40) he can now move a bit closer to the CBD and save a bit of transportation penny. Of course, it is the drive of anyone to leave in the best places and be more convenient so he or she is probably saving for next move.

At such employee’s executive status level in his place of employment (perhaps age 50), he can as well live close to the CBD(ikoyi or vi, Banana island) where he can now  safe enough penny and at the later times (say age 60 and above), he is most likely to retire. Couples years after that when there is not as much income or demands as it used to be, such persons starts thinking of moving out ,maybe back to the outskirt or some other  outer zones as his income permits. Thus, each zone is susceptible some form of disorderliness as the aged to be either with young, middle class, transition zone etc.

Thus period in which the emigration of people from the CBD (high class residential unit) and that which is to be occupied fully again may be a major contributor factor to the recession or downturn experienced in the property market (a fraction of the global). The CDB posses the highest value of land and the pressure of demand is greatest there. The fall or gap of the demand in the CDB goes far as significantly affecting the general property market.

The much income wasted on transportation can be aborted by a system capable of allowing such fraction of their income supposedly meant for transportation to be saved or directed  into an housing system or scheme capable to permitting the young age to living right around the CBD. It is the imbalance and lacuna created by the wastage of money on transportation for  an approximate period over 35 years over centuries of gainfully employed citizens that is contributing to the crisis in our housing sector and beyond into the global market realm.

Thus, the CBD should be inundated with high productive energy of the youth which should not be impaired by transportation.  Thus as the youth become of age and as their income rises they also begin to move a zone away and away until their retirement which shall culminate in them living in the outer zones and the cycles continues. It is understandable that given a simultaneous progress in income and age like we have in most Nigeria families, one can afford to live further away respectively.

It Should also be noted that attractions to the CDB decreases as age increases and attraction to the outer zones increases with it as we have the most natural and serene environment around there.

Although this theory is most workable giving a simultaneous correlation of income and age, the benefits are enormous;

Unsettlement:  The typical chain is for a newly employed (low income) person to move from the outer most zone , where housing is perceived cheapest and transportation highest, to the innermost zone where the high income class(old age ) live and move outwards gradually as the income diminishes. This theory allows for just as descending order whereby movement is only outward from the CBD to the outermost zone.

Cost: the cost of moment as it from the settlement is two-way incurred which can actually be way one incurred.

Dynamism: The two-way movement or settlement progression contributes to the instability ordinary characterised with the property market in the nation. Thus there is a perpetual chance for unbalance to reign in the property market.

 Finance and mortgage institution:  A system capable of making possible the saving or rightly directing the money supposedly to be used as transportation can be made materialised with effective and efficient finance and mortgage system or institution.

Longevity: The stress citizens usually undergo becomes minimal and chances or long life is increased. Also the aged are located in the best, serene, natural environment enhancing of their health.

Focus: there is platform enhancing of focus for the government. Government can provide adequate care and attention of most age class of people especially the old.

Town Planning: A model like this enhances adequate planning of the city. For examples, a number of parks can be located close to the elder zones where they need more of nature and interactions. Also the younger ones can as well play with their family. Green belts, forest zones and so one can be mapped out around this area.

Effective and Efficient Infrastructural provision:  This model makes it easy for infrastructural provisions to be allocated based on need, demand, efficiently and effectively. Elder homes can locate in the elders ‘zone.

In Summary just like Harris’s model, wherever a nucleus (city) is planted, this model can be used to manage it so also to prevent further crisis associated with cities and the economy however mature or premature they are. Also Burgess explains settlement of high income earners at the innermost zone but here is an explanation of settlement of low income earners in the CBD as it relates to age although they ultimately move outward to the outer layer as Burgess postulated. City is seen as the centre of the economy in any country and the city is saved the economy is as well saved.

 

@yemilluminati

THE NIGERIA POLICE STATIONS: A DUMPING GROUND

It is quite appalling at the innumerable illegal or unapproved dumping sites we have ubiquitous in our country. Almost all abandoned buildings, lagoon fronts, valleys are metamorphosed to serve the purpose of a dumping site. Any open space where the owner or government up-keep action is lacking or absent is without questions most likely converted into a dumping ground. In actual fact, most streets, roads, mechanic shops are not exempted from this abnormal phenomenon.

However, for decades, the police stations in the country are also notable grounds for this misappropriated act. Likewise most buildings belonging to the law enforcing agencies concerned with transportation, importation and exportation of vehicles, environmental laws are very much into this mean.  Moreover, the Nigeria Police one that is most disruptive and out of hand as the FRSC, VIO, and Custom Officers may relieve an owner of his or vehicle pending complete and proper documentation of what is expected according to the relevant statues that apply.

On the contrary, virtually all Nigeria police stations have taken a predominance role of dumping grounds for most vehicles that are dysfunctional in our society. Most of the accidental vehicles are dumped there and this menace is traceable to almost all police stations round the country.

This is what prompts and urges me to ask;

  • Is this supposed to be so?
  • Does the establishing act as regard the duty of police postulates that a function of the police station is inclusive as dumping site for dysfunctional or accidental vehicles?
  • Are there no police leaders seeing something conspicuously wrong every time they drive in  the compounds, seeing abandoned vehicles awfully decorating the compounds, as they match into their offices?
  • Can’t there be a body set up amongst them to effectively and rightly oversee the affairs of such vehicles and act?
  • Isn’t it absurd to them seeing this as normalcy?
  • If the immediate police compound can’t be in order or if they can see what is eminently wrong in their compounds, how would they see what is wrong outside their compound?

The dirtiness evidence as you step into the compounds is nothing to write home about. Every Tom Dick and Harry is trying to sell something in there. Haphazard settling of kiosk and canteen is highly inherent in such compounds. No boundaries or fence as to control who steps in or out; yet we empower them to enforce orderliness and cleanliness outside in the nation. It is high time the law enforcement personnel s’ should start leaving by example.

 

 

 

 

 

Market (property) Maturity: Effective and Efficient Information Dissemination, a Crucial Factor.

 

The Smithsonian held sway an economic theory which followed the classical laissez faire approach as propounded by Adam Smith. The summary of this approach is that markets are inherently self-correcting. In essence, if there were any disequilibrium in the market, the ‘’invisible hand’’ would simply adjust the markets and restore it to a state of equilibrium.

The postulation of the this theory by Adam Smith is perhaps screwed to the basis of his realisation or discovery that markets and their maturity is ever fully stretched   out although some other theories in succession, like the Keynesian economics, the Chicago school of thought, the Monetarist school of thought among others have come out quite a modified or different theories to that of Adam Smith as it is often a common practise in the scholars’ world to press forward researches however even if the end result equates to the  beginning.

The general market of anything is always matured and its mechanism is fully stretched out however uneven it may or seem to be. What is most perceived as premature is hinge on the ignorance to the fact that maturity in market sense has a direction it flows to or which the weight tilts to which account for the unevenness in the maturity of the general market.

Definition of market value by The Royal Institution of Chartered Surveyors(RICS) is the estimated for which a property should exchange on the date of valuation between a willing buyer and seller in an arm’s length transaction in after proper marketing wherein  the p[arties had each acted knowledgably , prudently and without compulsion  That is when all elements involved before any transaction from inception to conclusion have undergone a chemistry reaction necessary for the give birth to the right value. Thus, like a chemical reaction, a catalytic can as well play a role to hasten such reaction giving the same result as it would have had without it.

The scenario worth depicting the maturity of any market is like a fan which when it is on, the wind blows outward and perhaps evenly. Moreover, the vents or other object in this light are capable of directing the wind to which side it blows. This scenario is quite similar to the market environment that surrounds an object or property.

Take for instance properties, like any other object market good or commodity, are exchanging hands in the market daily or are capable of doing so  but the frequency are ever dynamics(market- maturity unevenness) owing to different factors that play a role. On one hands, it is an inherent feature of a property to have a slow transaction pace due to the fact that it is quite capital extensive therefore impairing on the maturity of its sphere, a fraction of the whole market. However, an effective mortgage system of other funding means stabilizes the wholeness of its maturity as seen in most developed countries.

The reason behind frequent dynamism in the property, especially when transaction pace is slow, is that such property have not been able to radiate properly and intensively their light of market-maturity or blow intensively and widely their wind of market-maturity which is basically information.

Like in the world of physics when two objects collide, it could either result in an elastic collision or an inelastic collision. Inelastic collision implying that after the interaction created by the collision of the two objects, they are stuck and move at the same velocity while the converse applies for elastic collision. Same goes in the world of information. Information can be likened to such objects, capable of collision which could likewise result in elastic or inelastic collision. That’s information should flow from ends, buyer and the seller side and should collide each other with a force, mass complementary to each other and direction capable of allowing them to move together in the same direction and velocity- Inelastic collision.

The world by default, perhaps ignorantly, tilts away from the truth. As known to most, what the common practise is, is for sellers to always advertise because they are more or less profit driven, i believe. I choose to ask at this junction, ‘is it wrong for a consumer to advertise because he or she is need-meeting driven? Making a balance or equilibrium in any system or a life is quite continuous, ever demanding and always useful. Like i said in relation to the physicist, information are like object of collision and the most profitable is when the two objects roll at the same and direction.

If the weight of information responsibility is tilted to the seller, then there is an imbalance which always creates for higher incurred cost, ineffectiveness and inefficiency among others in a process. Therefore, having a place clients walk in and they readily meet their needs as there is a relative balance of information system between sellers and buyer would be of utmost necessity.

The advancement in technology in view of communication in the nation has tremendously increased over the decade. Although, yet to be imbibed in our practises here, property are now being videolised on official websites, social sites and so on. The question which should be asked here is ‘how close is a client in need of a specific property near to an answer (information) of such?’

The, before now, usual practise is for the client to go round such area he desires to reside or to tell his friends to be on the lookout for ‘’to- let’’ boards on houses. This culminated into the era when the profession of estate surveying and valuation gained dominance and credibility and people who could afford a price tag of agency or management fee patronised them. The advent of quacks in the estate surveying and valuation profession took the same form. Till this day, the typical process for a person looking for a property for whatsoever purpose is still through a physical scout, agent and to some extent through property magazines and websites. Although almost all property companies do have a website and there are even some online sites for properties, many people are yet to give them a face or thought. Could it be that the faith in online property advertisement is lacking in our nation?

From economic history, the congestion of many middle men in any chain of transaction is always producing different vices ranging from high cost of transaction to long period of transaction conclusions, to malicious and fraud susceptibility and a host of others. Although the advancement in technology is laudable in the sense that it has created much avenue for the practice or need for middlemen to be curbed because customers can directly search online for contacts having what they need.

It should be the vision of any economy to press for buyers dealing directly with sellers and a professional to impartially protect the interest of both parties may be required or desired. Information relating to a need of a consumer should be at his or her finger tips to play with. Thus, a system capable of providing and enhancing this should be mapped out, orchestrated and mechanised in earnest.

The importance of an effective database has for centuries being realised by the developed countries. Although the motives that drove that then was quite social. Nowadays, the economy is in the fore-line of those enjoying such action, like investment, that was then done.

Under the scope of the property market in Nigeria, we are yet to have an effective and genuine data base. Statistics tools that have metamorphosed over time are able x-ray trends of property market and characteristics of any particular property, thereby drawing accurate readings and reliable conclusions as to the present and future of any property type whatsoever. Further derivable from this are indices and market trend which can be digitalised and connected nationally and beyond. Although on the contrary, a traditional feature of the property market is its unlikeness to the stock or money market but by this process the property market can be quite relatively efficient and quite dynamic like the formers.

The money and stock market often take predominance role over the property market because of our static approach in rocketing the property market to such height and level. The ultimate future of the property market is to have its trend very much like the stock and money market yet more secured and an edge of inflation. Bring all the three markets, money, stock and property, to the same level of functionality, trend and operation shall equate to optimum economy efficiency. The engaging in intensive and effective data collection capable of being graduated to indexing and digitalising the property market which shall in turn be seen timely on the computer screens, online, websites, newspapers and so on shall give course to consumer to draw near or nearer to its information and the need for it.

@yemilluminati

THE RIGIDITY OF PREPAID METER, A MAJOR FACTOR IMPAIRING ON ITS EFFECTIVENESS

THE RIGIDITY OF PREPAID METER, A MAJOR FACTOR IMPAIRING ON ITS EFFECTIVENESS

Perhaps, the PHCN blew their trumpet of victory when it came to the decision of having prepaid metre in the nation. She felt quite innovative and achieving for solving a milestone problem the nation has suffered in the power sector. The midwives, our leaders in this sector, felt that have delivered the nations from the pangs of pitiable state of electricity in the nation.

 In corollary, since the advent of prepaid metre, many believed that the manifolds of the problem evident before it arrival would be gone but many are yet to have or share an absolutely positive testimony about it. Like a general writ goes,’’ everything that has an advantage has a disadvantage but what is held rightly justifiable by this is that the advantages should very much outweigh the disadvantages

For me, I go with a proposition that every solution has an omission. Thus, I might as well be omitting something and creating some sort of loopholes in my attempt for solutions so anyone’s idea or contribution to patch-up such is the essence of continuous knowledge and discoveries.

It is of some degree of necessity to mention some praise worthy achievement of the prepaid metre in the nation.  They include;

  • Curbing of the common practices of leaving tenants to incur debt of electricity bill,
  • Effective usage of electricity supply as everyone is always conscious of her consumption and use it with only what is needful to be powered is – no wastage
  • Effective management as this in turn spreads on making available these services to other people demanding of it. Thus, the principle of substractibity and excludability playing a vital role in the effectiveness of the public consumption of it.

On the contrary, the presence of the prepaid metre in the nation is heralded with a lot of complaints and dissatisfaction from the consumer’s position. An issue ranging from its high cost of purchase to the multiple constraints one is susceptible to in its acquisition to high cost of service to innumerable static processes to malpractice of it workers.  The chain could elongate and grow thicker.

This problem stings on the people and it is necessary for one to make an attempt to relieve them of such social pain. I’m writing this by taking a position of contribution in what i suppose and believe should be solutions for a fraction of the questions we are yet to have answers to.

Through the microscope I have used to examine the pros and cons of the prepaid meter, my debate is much tilting towards the rigidity of it. The rigidity of the prepaid metre is one which is acting like a stopper valve in the effectiveness of this innovation supposedly geared towards a solution in the power sector. The traditional system which the prepaid metre works by is strictly rigid in the sense that a card is solely recognised by a particular metre which it is, from production, programmed with. Thus, the working system of the prepaid metre is one which should be subject to a scrutinised review so as to get the best there-from.

On the other hand, flexibility has always been an ability whose usefulness is very much connected with high level effectiveness and efficiency as it often follows the path of reduced cost and increasing options or avenues of things getting done.

Take for instance; the Multi Choice Company (providers of the DSTV) do not operate a one card-one machine system. Probably because they have seen, experience of for seen the inestimable obstructing power of rigidity in light of optimum delivery, satisfaction and effectiveness on their service. Likewise in the banking sector, the advent of ATM and POS devices in the nation has never been a one card- one machine system perhaps because of same constraining power of rigidity. Even when we had the NITEL Phones, the one-way usability of it cards was inapplicable.

Hence, it is biting and perhaps binding on power sector to make amends unto positive progresses in this matter so that one can be a step closer to citizen’s satisfaction and a better living standard because we have a huge population which creates for diverse dynamics as people go about trying to meet their needs. This diverse dynamics is one reason why flexibility is required and indispensable in most systems of our nation.

The following points are geared towards infusing or injecting flexibility to the present rigidity we presently have and is suffering from;

Firstly, the one card-one one machine system should be modified. Possibilities or avenues of flexibility should be inculcated in the production and programming of such cards and machines so  that a card has the ability  or capacity to be used on any meter device nationwide just like the ATMs and DSTV decoders do operate.

Secondly, options should or may be created so that units (could be a bundle from e.g. 20 units, 40 units) willing to be inputted in any meter of choice by the right card holder can be viable. This is quite similar to one withdrawing, for example, twenty thousand naira of his account with an ATM card.

Thirdly, a transfer and sharing mechanism should be made possible. This can be made practicable in two ways one of which is directly. That is by giving a bundle (e.g. 20 units) to any meter you so desire through and actual physical insertion of a card into such meter. The second way is the indirect method which is more or less an online or IT practise. That is transfer of unit is done through and online method like the online banking.

I’m not ignorant of the fact that the above proposed ideas may give rise to quite a number of negative vices like gross theft of meter cards, a couple of unjustified transfers and others but this can be curtailed with the last point in the paragraph below.

The security pin culture can also be imbibed so that only the right holder of the card can perform any successful operation with it just like the ATM cards. Effective pin programmes should be infused in the operation of this in view that frauds through meter cards and device can be effectively dealt with online and otherwise.

In conclusion, if the above ideas is being given a chance, I believe the best of the benefits inherent in flexibility would be released unto us hassle- free. Thus effectiveness is given a better chance to survive and a happier satisfied public is made.

Thank you.

@yemilluminati

 

POLICY, A TYPE OF INFRASTRUCTURE

POLICY, A TYPE OF INFRASTRUCTURE

I choose to bring to the fore, once again, my definition of infrastructure as all provisions, tangible or intangible, provided either by the government(mostly by them), or individuals or association of individuals ,or partnership of both that positively enables dwellers’ activities and also act like lubricant to the dwellers of such of nation there by  making possible for less cost and stress to be incurred within  and outside their dwelling or production compounds and making living easier and its standard higher.

Extracting from the above definition, ‘’a type of intangible infrastructure is policy’’

Laws and policies being enacted are quite similar roads, water, electricity, public buildings and a host of other infrastructural serving amenities being provided for public use. Quite a number of characteristics that reflects or likens the tangible (physical infrastructure e.g road) with the intangible ones (policies) include;

Generality: infrastructures (physical) are in actual fact meant for the general populace.  It is a service for both incumbent, new and third party users because on the scale of the principle of excludability and subtractability, public goods are scored quite low.  Excludability applies when access is denied to those who have not paid for the product while subtractability (or rivalry) applies when one person’s use or consumption of a good or service reduces its availability to others. The word ‘’ infrastructure’’ when in any one’s mind should interpret as public. That is something all inclusive and encompassing of everyone within its jurisdiction. This is same for intangible infrastructure, policies as they are quite generalising, binding and perhaps biting on all.

Equitability: policies, intangible infrastructure, are made to even-up the length and width of actions any individual in a nation is willing to undertake. Policies like the Land Use Act, 1978, was geared towards equitability in the accessibility of land for all although this might be close to zero if one was to evaluate the success of LUA. Policies are meant to pave to the top efficiency, equitability, sustainability just as physical infrastructure should. Infrastructure are made for the bringing together, levelling or perhaps generalising most of human activities as we all have to use roads, water, electricity and so on.

Indispensability: Policies are indispensable in nations. In short, where there is no policy, there is no governance system and there is no nation. Physical infrastructure carries as much weight as what intangible infrastructures do as painted here.  Policies and physical infrastructure have this dominating monopolistic trait inherent in them. Anyone can hardly do without them although most developing countries do try so hard to see this in different way- quite harmful to their citizens.

Bedrock: Polices can be very much likened to the bedrock of most human activities in a nation especially in terms of development. Environmental policies, for instance, targeted to specific areas could create an avenue for off shoots of other developments which could be positive or negative. This phenomenon is what is often referred to in an economist language as externalities (positive and negative). So also, if a new physical infrastructure is established in an area, it similarly attracts new up-springs and branch-offs of development which could be positive or otherwise- Externalities.

 Intensiveness and Extensiveness: These two attributes are a typical nature of physical infrastructure. Intensiveness is a qualitative concept of expressing the degree of resources needed to fulfil a given task under strong requirements of communication, computation, storage or simply data-volume where solutions are time-critical or have a mass impact. Before physical infrastructure are embarked upon, it is of utmost necessity to have an intensive data collection and collation which will be used as a benchmark in determining what type of infrastructure is needed in a particular area, at what level it is need, what best technology is needed to adopted, the cost to benefit ratio and so on. This makes physical infrastructure quite labour intensive, data intensive and capital intensive. While intensiveness often has to deal with the depth of preparation being dug, extensiveness is what is birthed there-from. It deals with the length and breadth of the provided infrastructures which people can see. Extensiveness means covering or extending over a great area, far-reaching, comprehensive and thorough. For example; road networks, communication facilities, electricity etcetera

This concept is quite typically applicable to policies creation. Policies are or should be examined thoroughly through a very powerful microscope capable of weighing the pros and cons with use of pre-collected and collated data which are useful tools in such intensive analysis. Extensiveness on the other hand is the concept that it is spread over a very extensive area like the entire country in most cases and it is comprehensive.

Longevity: After the intensive input and extensive delivery of physical infrastructures, they are made to last long years. Some could last well over a century with adequate maintenance. Policies in the same light last without any form of alteration since the day they are being enacted. Some do undergo reviews in response to changes observed by the government just as infrastructures may be expanded or remodelled to serve the public better.

Revenue: quite a number of tax policies and other revenue generating policies do exist as an avenue of finance for the government. So also do we have infrastructural levies matched against the use of the provided infrastructures like the toll gate for road usage at the Lekki express, PHCN bills for electricity, Water bills for water supply and so on.

In conclusion both tangible and intangible infrastructure on the scale of importance is quite at par and none should be given up for the other. Just like the holy writ ‘In the mouth of two or three witnesses shall every word be established’, I hope with this few points of mine, I have been able to convince you by shedding enough light to see without are form of obscurity or confusion and mirror clearly why policies is a type of infrastructure.

Thank you

@yemilluminati

 

 

‘International Competivity’: A Pillar Factor of soaring our Nation’s Economy

‘International Competivity’: A Pillar Factor of soaring our Nation’s Economy

(The Worms around our Eligibility as a Candidate)

The backward state of our nation is to a large extent hinged on the incapacity of her not being an eligible candidate for international competition. Our position in any international productivity or economy influence is like that of the back benchers of a classroom.

The outstanding qualities which allows for  a country to be merited as a qualified and an eligible candidate on international competition grounds from the production or industrialisation umbrella is that of price; a function of cost at all levels and quality; also but not only function of cost  and technology. However, the usability of a product to satisfy the consumer to their expectation as it relates to the price being sold is of utmost consideration.

The overall cost of production is not only a factor or process that surfaces within the individual industries involved in the production of goods but in fact and much more a factor of its environment (our nation) and the overseeing policies being implemented. However, this article is not tolling into the line of the policies.

For instance, if a product is produced in china and even after reaching the final consumers in Nigeria, its affordability is unquestionable as opposed to that of the prices of products being produced in the nation; individuals, production bodies and agencies and the national as a whole should be gingered at this appalling scenario or phenomenon. Taking into consideration the exorbitant import duties, high profile corruption at the customs and port levels and other ordinarily reproaching and price-hiking practices that run through the chain from the port to the final consumers, yet the affordability of these products by the Nigeria masses is over that of the indigenously produced ones, then we are far from the better Nigeria everyone is hoping and striving for.

Even in the Agricultural  sector which is suppose to the a natural edge for our eligibility for international completion, we are yet again sitting at a regardless and shameful corner of those who don’t matter in such a sector unlike years yonder when cocoa and groundnut were at least a push for us in the frontline of international competition.

The reason behind this may not be strange or new to some but I shall choose to concentrate my lens on the below;

Cost of Production: The cost of production is not limited to all cost incurred in the compound of the industries. In most developing countries like ours, the cost incurred outside the walls of the industries compound is that which revolves round the same figure as that which is within. This is wrong and the first major setback in the production line as it affects the end price.

Most residential developers that go into residential properties find themselves catering for as much as that which the Local government should ordinarily cater for. How do I mean? Mr. Hakeem Ogunniran, Managing Director of UACN Property, in a recent news, was giving an example of how 30 to 40 instead of about 5 percent of the budget prepared for a residential development for low- cost housing had being spent on road construction to the site, water supply, electricity and a host of other infrastructural provisions which should in actual fact be a full or partial duty of the government. Most commercial and industrial development require heavier than the residential requirement of infrastructure and as such they incurred more cost in an attempt to make those provision available unto them which in turn reflects in the end price of the product.

The one word that covers the outside-industry-wall factors but plays a vital role in the within the industry walls as it pertains to cost in the article is called infrastructure. Although a number of definitions is attributed to this but for the purpose of the paper, I choose to describe infrastructure as all provisions, tangible or intangible, provided either by the government(mostly by them), or individuals or association of individuals ,or partnership of both that positively enables dwellers activities and also act like lubricant to the dwellers of such of nation there by  making possible for less cost and stress to be incurred within  and outside their dwelling or production compounds and making living easier and its standard higher.

The definition above is quite encompassing, however, notable there-in is the fact that it likened infrastructure to a lubricant. More so, an example of intangible infrastructure is policy. Thus polices are as well a type of infrastructure.

In a paper presented at the 43rd annual conference of the Nigerian Institution of Estate Surveyors and Valuers, March  2013 by Dr. Ghaji Bello, the acting Director general Infrastructure Concession Delivery Commission said that for ‘’every dollar spent on public infrastructure investment, the gross domestic product of the country will increase by approximately 0.05to 0.25 dollars’’. Picture what a thousand dollar will yield, a million dollar will yield and a billion dollar will yield.

On the other hand, the second Vice President of NIESV, Dr Bolarinde Patunola-Ajayi, made this disclosure that infrastructure is the underpinning on which strong national development is built while also speaking recently during the 43rd Annual Conference of the Nigeria Institution of Estate Surveyors and Valuers (NIESV) held in Benin City In a lecture entitled: “Infrastructure development and economic empowerment. He spoke on the premise of a survey report on infrastructure and household by the Lagos State Central Office of Statistics 2006, which revealed that 90 per cent of households in Lagos relied on street vendors and private neighbourhood for water and only about 39 per cent treat their water for safe drinking. He also made mention of  facts also emerged that based on information provided by the Global Competitiveness Index (2012-2013), Nigeria ranked 130 in overall infrastructural development.  Deducible from the above stated facts is pointer to the fact that the overall position of our infrastructure state is one close to ground zero

 Moreover, in an industrial or production environment, the basic infrastructure required outside policy is that of road and electricity which are evidently grossly inadequate and immensely in shortage of what is required.

Roads: In as much as we have inadequate roads, the states of the ones we have are quite poor. The road network is quite terrible and it is definitely poorly scored on a scale of efficiency as the lubrication elemental purpose that should be inherent in an infrastructure is obviously lacking even when compared with other industrialised nations like china which export most of our products to us.

The creation of highly efficient road network gives birth to highly effective road usage. That is purpose actualising road over lengthy and breathy road like that lead hell like the bible describes. Although the roads may be fairly smooth and well constructed but it definitely do not save cost. It is not a matter of hard work anymore but that of smart work. There are a number of roads and drainages construction going on especially in the Lagos state, but the focus point should be on the strategic connectivity and network of them else, more money would needful to be spent on its maintenance because cars have more reasons to remain on the road which in turn creates or contributes to wear and tear, larger fuel consumption and production.

Planes are channelled through shortest possible distance in space, ships are directioned in the same line in the ocean, would it be insane or wrong is cars to employ the same strategy on roads? Thus the efficiency creation strategy if imbibed in road construction would lead to cost-cutting effectiveness. If cars stay fewer hours on the roads, less fuel would be consumed or required and less cost is in turn incurred at the federal level- Marginal profit/ surplus.

Electricity: The president of our nation has an ocean of promises, perhaps personal or general wishes, concerning this matter- fortunately or unfortunately enough for him or and  us, each promise is always carried over the next year which never comes or ends. In my opinion, I try to find a way out of the mystery why the leaders of our nation never choose to see or pick an option of the best way out of our indigenous and generational problem.

We all know fuel is ready substitute for electricity in the nation as most appliance, devices and machines gets powered by it or it powers our generator-an alternative source of electricity.

Over decades, the commitment of funds to the production of fuel and its derivatives is well above that which would have or which is required for adequate power supply in the nation. The availability of steady power supply in turn translates to less fuel being demanded by the regular users (the masses) because only vehicle would remain majorly needful of it and with an advent of efficient road network, more of less fuel will also be demanded. The over time implication of this is that less fuel production would become operational as less fuel would be required or demanded and cost of it production would be minimized leading to a marginal profit which can be directed to other needful areas as subsidy or capital.

The torch of commitment at the federal level should be directed to the power sector of electricity generation over the fuel sector. Reason being that less of cost over that which is required daily in fuel sector is required. More so, there are more light consumers than fuel consumers industrially and in other areas. A government with its citizen living standard at heart who is indeed looking for a way out of various up surging menace most of which are traceable to inhabitability of the social and economy environment that our  leaders have created for it citizen should meet more of most people need over meeting most of we don’t need, perhaps only want. Giving solutions at the smallest cost possible is wisdom.

In summary, among the advantages of the strategies being shared above in light of efficiency and effectiveness of road and also that is electricity is that it increases our standard of living, reduces cost at federal level thereby creating extra funds (finance) to be available for other projects needful to the nation’s sustainability, it also supports the eco green movement and lot more.

There is a mafia quote that says ‘every matter has the handles’. For me I do believe ‘’every matter has two handles or more’ and this is the same with a nation’s budgetary system although unknown to some nations mostly the developing nations  I see the budgetary system as a similar to a two mouth open end tube because cost can be reduced abinitio before funds gets disbursed out to different projects. Cost saved at this point can relate or can be likened to that gotten as revenue ,that is the streamline of cash inflows gotten from projects after being established over time. Thus, whether it is gotten in coupons or streamlines through a completed project or in bulk and abinitio, the essence of both is to create for funds availability.

For developing countries, they often fail at getting revenue from projects because projects hardly get completed and the completed ones are poorly managed. Thus it is best of such nation to find ways to reduce cost and diversify cost saved to other needful areas of their economy.

If these two infrastructural provisions are geared to the peak of efficiency and effectiveness, the prices of a product, an overall function of cost at all levels would be that which will make the country an eligible candidate of international competition. Thus our products get to stand amongst international competitors as we shall be bidding in the same front line like and with the developed countries. Exportation of our goods becomes in more prospects and view. The impact of exportation outweighing its importation is one that economist best appreciate the value. One of its advantages is a positive drastic shift in the economy of such country because exchange rates become friendlier and GDP gets an upward pull. Hence more and more international businesses off shoots as exchange rates are within a friendly bracket. In concision, countries with same currency or close exchange rate are into more business with each other than those of larger difference.

In conclusion, in an attempt for a lasting a solution, it is not enough for a nation to go into production for its citizens alone or a fraction of them as the target consumers. Thus if a country goes into production for solely its citizen or a fraction of them without views  and actions geared towards exportation and international competition, the end of such is an economy devaluation and relegation.

Thank you

@yemilluminati