Pirate Capitalism and the Inert Economy of Nigeria

Two theses are presented in this article. The first is that since the great surge in oil revenues during 1973-4, there has emerged in Nigeria an inert economy, an economy which has reacted passively to the increased revenues. The second thesis relates to the reason for this inertness, namely, that along with all the other causes for slow economic growth, which remain important, Nigeria has moved since the oil-revenue surge from nurture capitalism to what may be called pirate capitalism. Sections: oil revenues and the limited growth response – declining economic growth – relationship between economic growth and oil revenues – causes of the inert economy – from nurture capitalism to pirate capitalism. Notes, tab.