The Relevance of Economic Integration and Peace on West Africa: a Case Study of Nigeria and Benin
CHAPTER ONE
Objectives of the Study
Specifically, the study shall be guide by the following study:
- To examine the relationship between the economic integration and peace on the progress of West Africa
- To examine the relationship between the economic integration and peace on the international trade within West Africa
- To examine the relationship between language barrier and economic integration and peace on the in West Africa
Chapter Two
Reviewed of related literature
Theory of economic integration
The theory of economic integration combines elements for free trade with foreign trade protection. In an economic community, all restrictions (e.g. import tariffs between member countries are removed, while the community member states collectively or singly, continue to impose these restrictions on imports from non-member states. Thus, while an economic community establishes free trade among member states, it, however imposes restrictions on trade with countries outside the community. The various levels of integration are as follow:
FREE TRADE AREA: We may consider the free trade area as the loosest form of economic integration. In a free trade area, member countries eliminate import duties on goods from other member’s states, but each member state is free to impose its own import duties (which may be different from those imposed by other member states) on imports from non-member countries. An example of a free trade area was the European Free Trade Association (EFTA) which was organized by the United Kingdom as a rival to the European Economic Community and was made up of the U.K., Switzerland, Austria, Norway, Denmark, Sweden and Portugal, it however, collapsed when the United Kingdom became a member of the European Economic Community (EEC)
CUSTOMS UNION: The customs Union is a higher level of economic integration than the free trade area. In a customs union, member countries, but unlike the free trade area, all members maintain common tariff rates against non-member countries. Using our examples of a community made up of countries A, B, and C, a customs Union requires that members eliminate duties on imports from other members, but each member country is now bound to impose common rates on imports from non-member countries. An example of a customs union is the customs Union of the West African States is the customs Union of the West African State in which the French-speaking West African countries, with exception of Togo, are members.
COMMON MARKET: A level of economic integration which is higher than the customs market has all the properties of the customs union, is the common market. The common market has all the properties of the customs Union, but in addition, it provides for movement of labour and capital between member countries.
ECONOMIC UNION: This is a higher level of economic integration than the common market, but in addition, it involves coordination and harmonization of policy in such fields as economic planning, industrialization, monetary policy, and exchange rate determination. This is the level of integration which ECOWAS hopes to attain in the future.
CHAPTER THREE
RESEARCH METHODOLOGY
INTRODUCTION
In this chapter, we described the research procedure for this study. A research methodology is a research process adopted or employed to systematically and scientifically present the results of a study to the research audience viz. a vis, the study beneficiaries.
RESEARCH DESIGN
Research designs are perceived to be an overall strategy adopted by the researcher whereby different components of the study are integrated in a logical manner to effectively address a research problem. In this study, the researcher employed the survey research design. This is due to the nature of the study whereby the opinion and views of people are sampled. According to Singleton & Straits, (2009), Survey research can use quantitative research strategies (e.g., using questionnaires with numerically rated items), qualitative research strategies (e.g., using open-ended questions), or both strategies (i.e., mixed methods). As it is often used to describe and explore human behaviour, surveys are therefore frequently used in social and psychological research.
CHAPTER FOUR
DATA PRESENTATION AND ANALYSIS
INTRODUCTION
This chapter presents the analysis of data derived through the questionnaire and key informant interview administered on the respondents in the study area. The analysis and interpretation were derived from the findings of the study. The data analysis depicts the simple frequency and percentage of the respondents as well as interpretation of the information gathered. A total of eighty (80) questionnaires were administered to respondents of which only seventy-seven (77) were returned and validated. This was due to irregular, incomplete and inappropriate responses to some questionnaire. For this study a total of 77 was validated for the analysis.
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATION
5.1 Introduction
It is important to ascertain that the objective of this study was to ascertain the relevance of economic integration and peace on west Africa. In the preceding chapter, the relevant data collected for this study were presented, critically analyzed and appropriate interpretation given. In this chapter, certain recommendations made which in the opinion of the researcher will be of benefits in addressing the challenges of an the relevance of economic integration and peace on west Africa
Summary
This study was on the relevance of economic integration and peace on west Africa. Three objectives were raised which included: To examine the relationship between the economic integration and peace on the progress of West Africa, to examine the relationship between the economic integration and peace on the international trade within West Africa, to examine the relationship between language barrier and economic integration and peace on the in West Africa. A total of 77 responses were received and validated from the enrolled participants where all respondents were drawn from Nigeria and Benin. Hypothesis was tested using Chi-Square statistical tool (SPSS).
Conclusion
The need for regional economic integration in developing countries with a focus on Nigeria as an ECOWAS member country cannot be over emphasized. It has since become apparent that most countries cannot alwayshave all the resources or know-how to cope with the increasing complex global environment from internal resources; hence, the need to come together in an economic alliance or network based on cooperation, flexibility, and shared interests and objectives. Regional integration, undoubtedly has a potentially important contribution to make to growth and development in African countries. However, in view of the blatant failures of African integration schemes in the past, it is important that useful lessons are drawn from earlier experiences to ensure success. Against this background, countries in West Africa began to look at the possibility of a regional market as a way out. With the declaration of the New International Economic Order based on the principle of collective self-reliance the whole process gathered momentum. Subsequently, the regional cooperation initiatives and consultations spearheaded by Nigeria and Togo led to the formation of Economic Community of West African States (ECOWAS) in 1975. This study reviewed the theory of economic integration, preconditions for successful economic integration, effects of economic integration and the need for regional economic integration. Also, it looked at ECOWAS in its totality from objective, organs, achievements and problems. Empirical evidence showed that both import and balance of trade have direct relationship with the gross domestic product, while export has inverse relationship with the dependent variable (GDP). From the foregoings, it is clear that import and balance of trade have significant impact on the nation’s output, contrary to export that has a negative effect on gross domestic product.
Recommendtion
The following policy recommendations may be adduced. They include: the development and encouragement of manufactured exports predicated on a strong production base rather than production of primary goods which will enhance the nation’s output. Beside, exports should be encouraged while imports of certain products should be discouraged to achieved a favourable balance of trade which will lead to balance of payment surplus that will culminate into an increase in the nation’s output.
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